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| CEO Dennis Kozlowski, who resigned last week, made $62 million last year, including stock options. Unlike many other CEOs, he didn't waive the $75,000 fee for serving on his board of directors |
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| Former chairman Ken Lay collected some $200 million in Enron compensation from 1999 until he resigned in January, including a $7 million annual incentive in 2000 |
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| Compared with other high-flying execs, chairman Gary Winnick made a relatively paltry $3.7 million in 2000, according to executive compensation firm Pearl Meyer & Partners |
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| Adelphia guaranteed $3.1 billion in loans to off-balance-sheet partnerships owned by founder John Rigas' family. Some of the money was used to build the Rigases a golf course |
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| Tyco has been accused of "spring-loading": padding earnings growth by acquiring companies after making them prepay expenses and forgo
new revenue. The SEC found no wrongdoing |
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| Enron used hundreds of off-balance-sheet partnerships to hide billions in debt. The firm also sold dubious assets to these partnerships at jacked-up prices to create bogus income |
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| The telecom boosted its reported profits by "swapping" network capacity with another carrier. Global booked the sales revenue immediately and spread out the cost of purchases |
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| The company announced in March that it would restate its earnings for the past three years to account for the off-balance-sheet partnerships owned by the Rigas family |
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| Kozlowski and his chief financial officer have sold more than $500 million of Tyco stock back to the company since 1999 while publicly declaring that they rarely, if ever, unloaded their shares |
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| Lay unloaded more than $100 million of Enron stock in the past three years. Last year alone, he sold $25.7 million in company stock as the share price fell from $80 to less than $50 |
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| From 1999 to last November, Global Crossing executives sold more than $1.3 billion of company stock, with Winnick cashing in some $735 million worth |
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| The family borrowed $1.8 billion from Adelphia to buy more of its stock and convertible bonds and subsequently used corporate funds to cover $241 million in margin calls |
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| By incorporating Tyco in Bermuda, the ex-CEO, who was indicted last week for evading sales taxes on his personal art collection, saved Tyco more than $400 million in taxes last year |
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| Enron paid no income taxes in four of the past five years. It reportedly saved $1 billion in taxes by using a series of loans and transfers with some of its 600 subsidiaries in the Cayman Islands |
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| Global Crossing is run primarily out of its office in Beverly Hills, Calif., but the company is incorporated in Bermuda to avoid U.S. corporate tax
on overseas income |
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| The Rigases could face tax penalties for the guaranteed loans and any transactions that were not conducted at arm's length between Adelphia and Rigas-owned businesses |
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| Several board members used to work for Tyco or companies it acquired. An outside director was paid $10 million last year for helping arrange Tyco's $10 billion purchase of CIT Group |
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| Enron made generous payments to its directors and institutions linked to them. A board member, who resigned in May 2001, made nearly $200,000 a year consulting for Enron |
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| Half the current board members are present or former Global Crossing executives. The board has an unusually high turnover rate: 10 directors quit last year alone |
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| Before they resigned last month, Rigas and his three sons accounted for four of the company's nine board members. Rigas' son-in-law refused to step down despite calls for his resignation |
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| No contrition here, no comments to the press, not even a blanket denial. The only pleading Kozlowski has done so far is a terse "not guilty" in court last Tuesday |
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| Before pleading the Fifth, Lay told Congress about his "profound sadness about what has happened to Enron." He sent his tearful wife Linda to tell viewers on NBC that "we've lost everything" |
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| Winnick has said zip about unloading so much company stock. Major construction continued at his Bel Air, Calif., estate even as the firm struggled through bankruptcy proceedings |
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| The elder Rigas hasn't gone public but reportedly wept in front of creditors
after agreeing to relinquish control of his company |
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— By Julie Rawe
PHOTOS (left to right): MARIO TAMA/GETTY IMAGES; CALLIE SHELL FOR TIME; MARISSA; HARRY SCULL JR/GETTY IMAGES
FROM THE JUNE 17, 2002 ISSUE OF TIME MAGAZINE; POSTED MONDAY, JUNE 10, 2002 |
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