Enron is the perfect example of the Wall Street sweetheart reaching dramatic heights and collapsing even more dramatically.
The Enron Corporation, based in Houston, Texas, was once the sixth-largest energy trading company in the world. Its demise started in 2001, when the Securities and Exchange Commission (SEC) started investigating the company’s transaction after Enron announced a third-quarter loss of $618 million. That was the trigger for what many consider the largest, most complicated accounting scandal in history.
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