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Ken Lay's down!


duey

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Several articles have addressed this.  Here are two suggesting that civil suits may continue.

 

Time.com: With the death of former Enron CEO Ken Lay, his case legally died as well. But the civil claims against him will live on

Forbes.com: Lay Cheats Justice

EDIT: Here's one more.

All Headline News

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From today's Houston Chronicle:

 

If any of Lay's assets were frozen by the government the freeze would go away as the case was vacated, Smith said. That means the plaintiffs in the civil cases would have to scramble to get a lock on those assets, which would be particularly hard to do in the civil arena.

 

Perhaps even more significant for the civil cases, once the case is vacated it's unlikely Lay's prior indictment and conviction could be used as evidence in any ensuing trials, Smith said.

 

"They would have the burden of proof to prove his guilt all over again," Smith said. "It's a mess for the government and the victims, who were probably already counting the money.

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From today's Houston Chronicle:

 

If any of Lay's assets were frozen by the government the freeze would go away as the case was vacated, Smith said. That means the plaintiffs in the civil cases would have to scramble to get a lock on those assets, which would be particularly hard to do in the civil arena.

 

Perhaps even more significant for the civil cases, once the case is vacated it's unlikely Lay's prior indictment and conviction could be used as evidence in any ensuing trials, Smith said.

 

"They would have the burden of proof to prove his guilt all over again," Smith said. "It's a mess for the government and the victims, who were probably already counting the money.

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The'll go after the money because his family cannot reap the benefits of his crime.

 

From The Financial Express

But while the death of lay may have limited government efforts in his criminal case, he remains the subject of civil lawsuits by the Securities and Exchange Commission and former investors and Enron employees.

 

Those lawsuits could still proceed with the aim of taking control of some of Lay's remaining assets, the report said.

 

[snip]

 

A person involved in the government's action told the paper that Lay's death did not necessarily rule out proceeding with forfeiture actions, explaining, ‘the family at the end of the day cannot sit on the fruits of the fraud’.

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A Civil Suit for what?

 

Any of his alleged crimes (money laundering) are federal jurisdiction.

 

Civil suits are not applicable to these types of crimes.

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Fraud, generally. And you don't need a criminal charge to file a civil suit, by definition.

 

Probably wouldn't be worth it, though. Once the take from a civil suit - minus lawyers' fees - were split between everyone, they'd get about thirty cents apiece. :lol:

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I don't think that they had much of a choice when it came to their pension plans.

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Pension or 401K?

 

They had a wide array of choices for their 401K plans. Those who lost their life savings chose poorly.

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Fraud, generally.  And you don't need a criminal charge to file a civil suit, by definition. 

 

Probably wouldn't be worth it, though.  Once the take from a civil suit - minus lawyers' fees - were split between everyone, they'd get about thirty cents apiece.   :P

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I'm wondering if they could use the civil component of the RICO laws to sue his family.

 

Here is a link to RICO.

 

Here is a link to the Civil Remedy section (in particular part "c").

Any person injured in his business or property by reason of a violation of section 1962 of this chapter may sue therefor in any appropriate United States district court and shall recover threefold the damages he sustains

 

Triple damages could bring it up to 90 cents, and you could stick his wife with the legal bills. :D

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I'm wondering if they could use the civil component of the RICO laws to sue his family. 

 

Here is a link to RICO.

 

Here is a link to the Civil Remedy section (in particular part "c").

Triple damages could bring it up to 90 cents, and you could stick his wife with the legal bills.  :P

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Hard to say (RICO's a B word-mother of a law), but it looks like section 1962 says his family can keep the money, just so they stick it in a CD or T-Bills.

 

But I could be wrong...RICO's tough to comprehend at the best of times. Given the breadth and complexity of the statute, though, and the myriad opportunities it presents for abuse...I'm pretty sure RICO provides a legal justification for invading Micronesia over the Enron collapse...

 

I don't like RICO. Can you tell? :D

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