·Popular past posts ·

World's stupidest CEOs. It's amazing how little the CEOs of the Fortune 500 understand, by their own admission. WSJ:

Prosecutors alleged Mr. Lay signed 27 documents agreeing to abide by the lending restrictions, called Regulation U, but nonetheless used the loans to buy stock, or repay Enron loans in excess of the 50% limitation. After one loan was discovered to be in violation, he was warned not to violate the provision and subsequently borrowed from another bank, they said.

An FBI agent testified that by skirting the lending provisions Mr. Lay was able to avoid about $12 million in taxes and stock-exercise costs that would have been required to bring the loans into compliance at the end of 1999.

At the time most of the loans were requested, Mr. Lay said he didn't "fully understand it, and I'm not sure my staff did either." Questioned by his defense attorney, Mr. Lay testified that the signatures on several documents were mechanically affixed and dated by an assistant while he was traveling.

With the magic of his Autopen, Ken Lay managed not to pay $12 million in taxes and all he can say is "whoops."

Where was Lay traveling while his Autopen saved him $12 million? Paris, then on to Davos, then India. And all because of a little misunderstanding.

Gosh darn it, CEOing is "hard work"!

{ 8:43 AM }

.