FacebookTwitterGoogle+RedditEmail

Time for Special Counsel in Thomas White Affair

by Joan Claybrook

In testimony last week before the Senate Commerce Committee, Army Secretary Thomas White stated that he has not been contacted by the Federal Energy Regulatory Commission (FERC) about his possible involvement in the manipulation of California’s deregulated energy market while he headed Enron Energy Services. He also confirmed that he has not been contacted by the Securities and Exchange Commission (SEC) about whether he profited from the sale of Enron stock because of insider information.

Given these statements by Mr. White, it does not appear that these regulatory agencies, both headed by appointees of President Bush, are serious about determining whether the Army secretary committed any wrongdoing during his tenure at Enron. We, as many others, are concerned about the diligence with which these agencies are pursuing those corporate leaders whose actions have been called into question during the evolving corporate crime wave.

If the SEC launches an insider trading investigation of Martha Stewart based on the fact that she made one or two phone calls to an insider at ImClone and then sold her 4,000 shares of stock, it seems obvious that if Mr. White had 77 conversations with Enron employees and sold $12 million in stock prior to the company’s collapse, someone should look into it.

In addition, documents have been made public that raise serious questions about whether Enron Energy Services, the Enron unit headed by White between 1998 and 2001, was involved in schemes, with nicknames such as “Fat Boy” and “Get Shorty,” to manipulate California’s deregulated energy markets during an electricity crisis that cost consumers and the state treasury billions of dollars and drove the state’s largest electricity utility into bankruptcy. FERC records show that despite White’s testimony that his Enron division was a retail seller of electricity, Enron Energy Services was registered as a wholesale energy trader and did conduct trades with other Enron units that served to drive up prices.

President Bush should call for, and Attorney General John Ashcroft should appoint, a special counsel to investigate whether White participated in or knew about possibly illegal market manipulation and whether he benefited from stock sales based on insider knowledge or committed any other crimes.

Joan Claybrook is director of Public Citizen.

 

More articles by:

CounterPunch Magazine

minimag-edit

bernie-the-sandernistas-cover-344x550

zen economics

Weekend Edition
February 24, 2017
Friday - Sunday
Jeffrey St. Clair
Roaming Charges: Exxon’s End Game Theory
Pierre M. Sprey - Franklin “Chuck” Spinney
Sleepwalking Into a Nuclear Arms Race with Russia
Paul Street
Liberal Hypocrisy, “Late-Shaming,” and Russia-Blaming in the Age of Trump
Ajamu Baraka
Malcolm X and Human Rights in the Time of Trumpism: Transcending the Master’s Tools
John Laforge
Did Obama Pave the Way for More Torture?
Mike Whitney
McMaster Takes Charge: Trump Relinquishes Control of Foreign Policy 
Patrick Cockburn
The Coming Decline of US and UK Power
Louisa Willcox
The Endangered Species Act: a Critical Safety Net Now Threatened by Congress and Trump
Vijay Prashad
A Foreign Policy of Cruel Populism
John Chuckman
Israel’s Terrible Problem: Two States or One?
Matthew Stevenson
The Parallax View of Donald Trump
Norman Pollack
Drumbeat of Fascism: Find, Arrest, Deport
Stan Cox
Can the Climate Survive Electoral Democracy? Maybe. Can It Survive Capitalism? No.
Ramzy Baroud
The Trump-Netanyahu Circus: Now, No One Can Save Israel from Itself
Edward Hunt
The United States of Permanent War
David Morgan
Trump and the Left: a Case of Mass Hysteria?
Pete Dolack
The Bait and Switch of Public-Private Partnerships
Mike Miller
What Kind of Movement Moment Are We In? 
Elliot Sperber
Why Resistance is Insufficient
Brian Cloughley
What are You Going to Do About Afghanistan, President Trump?
Binoy Kampmark
Warring in the Oncology Ward
Yves Engler
Remembering the Coup in Ghana
Jeremy Brecher
“Climate Kids” v. Trump: Trial of the Century Pits Trump Climate Denialism Against Right to a Climate System Capable of Sustaining Human Life”
Jonathan Taylor
Hate Trump? You Should Have Voted for Ron Paul
Franklin Lamb
Another Small Step for Syrian Refugee Children in Beirut’s “Aleppo Park”
Ron Jacobs
The Realist: Irreverence Was Their Only Sacred Cow
Andre Vltchek
Lock up England in Jail or an Insane Asylum!
Rev. William Alberts
Grandiose Marketing of Spirituality
Paul DeRienzo
Three Years Since the Kitty Litter Disaster at Waste Isolation Pilot Plant
Eric Sommer
Organize Workers Immigrant Defense Committees!
Steve Cooper
A Progressive Agenda
David Swanson
100 Years of Using War to Try to End All War
Andrew Stewart
The 4CHAN Presidency: A Media Critique of the Alt-Right
Edward Leer
Tripping USA: The Chair
Randy Shields
Tom Regan: The Life of the Animal Rights Party
Nyla Ali Khan
One Certain Effect of Instability in Kashmir is the Erosion of Freedom of Expression and Regional Integration
Rob Hager
The Only Fake News That Probably Threw the Election to Trump was not Russian 
Mike Garrity
Why Should We Pay Billionaires to Destroy Our Public Lands? 
Mark Dickman
The Prophet: Deutscher’s Trotsky
Christopher Brauchli
The Politics of the Toilet Police
Ezra Kronfeld
Joe Manchin: a Senate Republicrat to Dispute and Challenge
Clancy Sigal
The Nazis Called It a “Rafle”
Louis Proyect
Socialism Betrayed? Inside the Ukrainian Holodomor
Charles R. Larson
Review: Timothy B. Tyson’s “The Blood of Emmett Till”
David Yearsley
Founding Father of American Song
FacebookTwitterGoogle+RedditEmail