"The sudden and total collapse of ENRON, the losses suffered by its shareholders, and the reasons behind such massive losses deserve a full investigation," said Senator Collins. "I''m particularly concerned with reports that top executives at ENRON were selling their shares of company stock at very high profits while lower-level employees were forbidden from selling theirs. The question of whether these executives knew of the company''s impending financial situation and sold stock based on that knowledge is certainly a legitimate one."
ENRON, one of the nation''s largest energy traders, has filed for Chapter 11 bankruptcy, amid allegations of deliberately concealed losses and inflated earnings.
"I applaud Senators Lieberman and Levin for their leadership on this issue and I''m pleased to join them in launching this investigation," Collins added. "There are many questions surrounding the conduct of ENRON''s top management that need to be answered promptly and publicly."
The hearings will be held soon after Congress reconvenes later this month.