Enron and World Finance

HENRI-CLAUDE DE BETTIGNIES Chair in Leadership and Responsibility and Professor of Asian Business and Comparative Management at INSEAD, FranceHANS J. BLOMMESTEIN Head of Capital Markets Programme at the OECD, and Professor of Finance, Tilburg University, The NetherlandsHOHN R. BOATRIGHT Professor of Business Ethics, Graduate School of Business, Loyola University, Chicago, USAJOHN DOBSON Researcher, California Polytechnic State University, USAEDWARD DOMMEN President of the Scientific Committee of the Geneva International Academic Network, SwitzerlandROBERT G. KENNEDY Professor, Departments of Management and Catholic Studies' University of St Thomas, USABETH KRASNA Independent Board Member, Vaud Cantonal Bank, Switzerland; Federal Institutes of Technology; Raymond Weil South AfricaFRANÇOIS-MARIE MONNET Formerly Chair of the Swiss Bond Commission of the European Federation of Financial Analysts' Societies; member of the Swiss Stock Exchange Bond Index Commission; Board of Directors of the SICAV, created to respond to the needs of institutional investorsFRANK PARTNOY Professor of Law, University of San Diego, USAETIENNE PERROT Economist specializing in economic rent and corruptionCATHERINE SAUVIAT Senior Economist, Institut de Recherches Economiques et Sociales, FranceDOMINGO SUGRANYES Member of the Executive Board of MAPFRE, an international Spanish-based mutual insurance groupANTHONY TRAVIS Partner, PricewaterhouseCoopers, Geneva, Switzerland

• List of Tables and Boxes Acknowldgements Notes onn the Contributors List of Abbreviations Overview of the Book; A.Cornford PART 1: ENRON: ORIGINS, CHARACTER AND FAILURE Enron and Internationally Agreed Principles for Corporate Governance and the Finance Sector; A.Cornford A Revisionist View of Enron and the Sudden Death of 'May'; F.Partnoy Who Is Who in the World of Financial Swaps and Special Purpose Entities?; F-M.Monnet PART 2: ETHICS IN THOUGHT AND ACTION An Ethical Diagnosis of the Enron Affair; E.Perrot Anonymity: Is a Norm as Good as a Name?; E.Dommen Spaces for Business Ethics; D.Sugranyes PART 3: CORPORATE GOVERNANCE AND AUDITING The Demise of Andersen: Corporate Governance Failure; C.Sauviat Enron et al and Implications for the Auditing Profession; A.Travis Enron Revisited: What Is a Board Member to Do?; B.Krasna How to Restore Trust in Financial Markets?; H.J.Blommestein PART 4: CORPORATE CULTURE AND ETHICS Enron: The Collapse of Corporate Culture; J.Dobson Ethics, Courage and Discipline: The Lessons of Enron; R.G.Kennedy Developing Leadership and Responsibility: No Alternative for Business Schools; H-C. de Bettignies Ethics for a Post-Enron America; H.R.Boatright PART 5: CONCLUSION Enron: Visiting the Immersed Part of the Iceberg; P.H.Dembinski & J-M.Bonvin Index

'The essays in this book greatly enhance our understanding of the causes of one of the most important events in financial history. The authors examine in notable depth the ethical and governance dimensions of the Enron saga, while providing a fascinating commentary on the nature of modern finance capitalism.' - John Plender, Financial Times and author of Going off the Rail - Global Capital and the Crisis of Legitimacy 'Enron and World Finance addresses the most important issue of our time...This brilliant collection of essays with its remarkably insightful introduction and conclusion require us to consider what might be called the tyranny of economics...Enron is important not only in itself but also as a warning signal of the predictable destructive consequences of the failure of language.' - Robert A. G. Monks, Lens Governance Advisors, USA 'Enron offers an 'ideal' example of using or perhaps misusing financial innovations within modern corporations. The book Enron and World Finance provides a very insightful overview of this memorable case where the ethical dimension of an organization is nonexistent. As professors of Finance, we welcome such a book that illustrates the pitfalls of financial creativity when it ignores or abuses the boundaries of an honest corporate culture and of its management.' - Marc Chesney and Rajna Gibson, Professors of Finance, Swiss Banking Institute, University of Zurich, Switzerland 'The book provides, at once, a fresh understanding of the place of ethical thought in financial markets, and a focus on leadership and responsibility for the implementation of ethical duties. I commend this fascinating book to a wide readership in financial and academic institutions.' - Professor Dr. Hans Tietmeyer, Bundesbankprasident i.R., Germany