the only innovation with enron is enron wasn't a wall street firm. they were supposed to be an energy firm that for some reason was doing, you know, home video deals and any other kind of deal they could get their mitts on. when enron collapsed at the end of 2001, the scale of the scandal was unprecedented in american business history. >> the extent of the devastation is still mind-boggling. enron was the seventh largest corporation in the country when it collapsed. wiping out $63 billion in shareholder value. putting 27,000 people out of work. its glass tower and crooked "e" leaving an indelible mark on houston, enron's hometown and site of the trial. >> not only was the collapse a personal disaster for the individual people who worked there who lost everything, it was also a huge political disaster for the george w. bush administration. enron's founder and ceo was one of george w. bush's biggest political donors. enron, itself, was for a time george w. bush's top career donor. when dick cheney was crafting the nation's energy policy behind closed d

they defend the law as effective in preventing more enrons. >> enron was the 7th largest corporationtry, and it had a huge effect not just on enron on their shareholders and their other stakeholders but on our over call economy. we lost over $8 trillion in market cap as a result of enron, and world com and those scandals. you've not seen anything near on the scale of those. >> we know that some large firms pay 5 million a year. the smaller firms is even worse, they pay a lower amount but it's a higher part of their revenues. 2, 3% of revenues at some companies are being paid to accountants for these fees. it's also resulted in lower ipo's, decrease in ipo's on u.s. exchanges. >> reporter: so historic has this law becomes that oxley tells us people think his first name is sarbay. jenna: a famous father arrested yesterday released from jill and hours later busted again. rick who has such luck? >> reporter: we don't normally spend a lot of time talking about celebrity train wrecks. all right, maybe sometimes we do. we thought this story was so crazy you'd want to hear about it. lindsay

where with this exact so we've seen enron in the present exists and you know the bench of course tell you that the accounting methodology of the user and fair girl for whatever type of response they want to do with this and that but accounting irregularities in the use of fraud in the accounting had been at the heart of how banks have been able to hide wrist and leverage remember we had lehman there and they were using. i forget the specific type of repo they were using repo one hundred five to kind of shift risk around their balance sheet and borrow money when they needed it and offload risk when auditing was coming so that's central to the way the banks have been able to lever up right and we just talked about levering out so people should know what it means that. we certainly appreciate you break it all down for us as we await more news out of europe there's certainly a lot coming out right now that was nature causing us our producer who's also a blogger covering delta dot com. all right we started the show with all of the headlines that were very important to break down we think y

to what exsten thtent is this l enron? >> right. in california, about five or six people tht state who apparently can understand the complex campaign finance law. now i find that hard to believe but that's what the politicians are telling us, that these rules and regulations are so complicated that only a few people get trusted with them. that's why so many people apparently went to this woman and opened their books and their checkbooks to her in a way that's now proving to be completely insane. >> elected officials who are supposed to be finding the public -- >> very good question. it is not good that there are so many democrats involved here and that has given the republicans the ammunition to say these are the people that are watching your tax dollars. apparently they weren't watching their own. i think it could be a campaign issue. >> want to talk about michelle bachmann in town. before we do that, average people who donated to these campaigns, average koorganizatis that durky was involved with, how does that work? >> a lot of p

many absurdities in this whole drama on full well for more insight on the gas verdict i'm joined by enron to temporal he's the head of the european geo political form joining us in brussels and when we've heard that the word from there is that this trial was politically motivated that's the general consensus do you agree with that . of course a lot of people are actually declaring that it's politically motivated and it's attention grabbing headlines that we're looking at now in ukraine but i think for me the bigger question here the bigger issue if you lie is that this case this very sad and sorry case demonstrates how different ukraine's political culture. is to that all of the west or the mainstream european union countries let's say i mean what we're really seeing here is a case which demonstrates that you know politics in ukraine and the let's say the ability of one politician to come into a position of political power is for the purpose of extracting revenge on previous political opponents and in fact you know nullifying or you can even say more drastically destroying previous politi

a lot of people talk about the corruption in the accounting business remember arthur andersen was enron's accountant they didn't survive they were put out of business and that business was sucked up by the remaining accountancy of which pricewaterhouse is one of them but we have these too big to fail and the reading agencies in the in these accounting agencies and the banks and you also have at max in the other key element of the global financial fraud going on and that's the military industrial complex fraudulent defense contractors paid one trillion dollars hundreds of defense contractors that defrauded the u.s. military received more than one point one trillion in pentagon contracts during the past decade according to a department of defense report prepared for senator bernie sanders he said the ugly truth is that virtually all of the major defense contractors in this country for years have been engaged in systemic fraudulent behavior while receiving hundreds of billions of dollars of taxpayer money that's another big dimension of the banking scandal somebody pointed out it's not bread

. >> a decade ago, amid the passive accounting scandals that toppleed enron, worldcom and arthur andersen was a republican president who signed in law the public company accounting reform and investor protection act. better known as sarbanes-oxley after the two sponsored or sox for short. >> free markets are not a jungle where only the unscrupulous survives. >> sox's heart and soul is section 404 which requires publicly held companies to include in the annual reports their own assessment of the internal accounting controls and that of an independent auditor. conservatives site compliance cost of 404, originally estimated by the securities and exchange commission to be $91,000 per company. but later revived upward by the sec to $2.8 million per company. >> smaller firms pay lower amount but higher cost of revenue. results in lower, decrease in ipo and u.s. exchanges. >> former congressman oxly defends his signature legislation but is open to amendments. >> i think a lot of people i talk to now say they feel it was tough medicine but we needed that to restore confidence in investing public.

this fund created after the enron scandal. corporations pay $2.50 cents into an account generating almost $15 million. victims called on the secretary of state to start comp stating victims. the fund only paid out $92,000 to seven people, since inception in twet. this group submitted it's claim in pay, 2010. >> we know of 50 to 60 elders that have passed away of the 500. >> the secretary of state office says no everyone is eligible because a court has to say fraud happened and then, money is dispersed only in july. >> there is a waiting period. out of respect for all eligible victims so everyone has a shot at that pool of money. >> the fund is used so infrequently the governor and lawmakers seized $10 million last year to pay other bills, making victims think the money is actually a slush fund. noel is frustrated because his fixed income could use a boost. >> you live easier, we've had to cut back. >> and there are protestors focus is chef on. the rally started just a short time ago and will include a march on the chevron refi

there will always be some scams from enrons but where there is competition, those scams will be a tinyf the economy. businesses get rich under capitalism is serving their customers well. that is how gates and steve jobs got rich. word gets out about the good products and good companies. scammers lose their customers and they lose customers to good businesses. what happened to alka-seltzer, bokts now has a warning may cause stomach bleeding. thanks to competition, word has gotten out what we should take if we have an upset stomach. antacids, now they are best sellers. the market works this stuff out. it's good that we have consumer reports like arnold diaz chasing people down embarrassing them, warning them us about them. now thanks to the internet we have more consumer protection, it makes it harder for cheat teors hide. when people injury others or commit fraud, we have contract laws that can be used to punish them. that is enough. we don't need more laws. this paper doesn't help. it just raises costs. leaves us with less freedom. today's consumer protection hurts consumers more than

. >> when enron occurred and when savings and loan occurred lots of people went to jail. and more than a thousand were actually tried. nothing happened so far. i think people are deeply disturbed. we have to remember that we're in this mess today because wall street got greedy. >> the protests began three weeks ago and spread to dozens of cities including san francisco this, is amateur video received from you reports. of the encampment outside of the federal reserve. >> the transportation security administration is apologizing to a san francisco-bound breast cancer survivor for a pat down she called humiliating. she went through a full body scanner in kennedy airport and it detected metal tissue expanders implanted after her mastectomy. a tsa agent refused to let her get out her medical card which has information. the tsa says that card would not have spared her the pat down but it would have been done privately. >> and a santa clara schoolteacher has one of the best supplied classrooms in the country. she received a thousand dollars worth of supplies today from office ma

there will always be some scams from enrons but where there is competition, those scams will be a tinyusinesses get rich under capitalism is serving their customers well. that is how gates and steve jobs got rich. word gets out about the good products and good companies. scammers lose their customers and they lose customers to good businesses. what happened to alka-seltzer, bokts now has a warning may cause stomach bleeding. thanks to competition, word has gotten out what we should take if we have an upset stomach. antacids, now they are best sellers. the market works this stuff out. it's good that we have consumer reports like arnold diaz chasing people down embarrassing them, warning them us about them. now thanks to the internet we have more consumer protection, it makes it harder for cheat teors hide. when people injury others or commit fraud, we have contract laws that can be used to punish them. that is enough. we don't need more laws. this paper doesn't help. it just raises costs. leaves us with less freedom. today's consumer protection hurts consumers more than it helps them. c

low 70's enron the beltway tomorrow afternoon, partly cloudy. added clouds tomorrow. of rain on thursday. temperatures behind the showers in the mid 50's. cool from friday into the weekend. possible rain on saturday. >>> taking everyone to a picture of north on 395. headlights are northbound approaching duke street and seminary rd., still moving at speed. looks good on the rosslyn side of town. looks beautiful on 110 and washington boulevard. in case you are working near the pentagon, that is. as far as the maryland side, there was a crash on 270 southbound near 80/urbana. they've moved that on to the shoulder. then there was activity down near 109. normal volume there. construction overnight on the beltway is gone at connecticut avenue. back to you. >> thank you. >>> turning to attack on what is making business headlines. >> linda bell joins us from new york. she has a look in the day ahead. good morning. >> good morning. talking about the big shipping deals, free shipping deals for the holiday season. seras has a special promo code on qualified orders totaling more

when enron collapsed in 2002, shareholders lost between $11 billion and $60 billion.employees lost $2.1 billion in pension plans. 5,600 jobs were destroyed and enron's top execs whose recklessness and greed destroyed the company received $1.4 billion in compensation. in 2007, after watching its stock value fall from $300 billion to $6 billion in two years, citigroup pushed its c.e.o. out the door and incidentally gave him $38 million as a severance package. in late 2008, with the financial system on the verge of collapse, 17 troubled banks that had just accepted billions of dollars in taxpayer assistance doled out more than $2 billion in bonuses and other payments to their highest earners. dodd-frank, the wall street reform bill, reduces the incentives for c.e.o.'s to place short-term gains above long-term health of their companies by increasing transparency and giving shareholders some say over executive compensation. it's another way that the new wall street reforms can restore stability and integrity to our markets and sustainable growth for our economy. mr. presid

enron should have been a warning. we let it go. where do we end up? in the biggest crisis since the great depression. >> we're here to inspire a nationwide movement. >> we're here to inspire a nationwide movement. >> joining me now, adam green, whose organization the progressive change campaign committee was at the protests today in new york. also former louisiana governor and current republican presidential candidate buddy roemer who met with the protesters today in new york. thank you both for joining me tonight. buddy, this is your second night in a row on the show. can i call you buddy? >> i'm going to make a conservative out of you. >> i'm from the north. so i have no friends named buddy. this is my -- >> if your real name is charles ellison roemer iii, you call me buddy. >> what did you learn going down on the site? >> i didn't do much talking. i did a lot of listening. maybe i'm not a good politician. i wanted to see what their feelings were. i found them to be american. i know they've been called un-american. i found them to be very american.

ill don go to dinrar we d ot tohi allt drar t w f ar r's tll trket t you thinkoure hping the et enronment ve0 aro mes. >>ohn:t's0 srt tn 300 mes tho sand> miln:?t' >> i ta farmer ihosnd mil t ickinfaern i coup tleckuned pounds. y see howt w .upuned pnd u ow yeeow make w it feel g maout themselve itndeel ges g emsees to tkhevend aut ohn: and emse loals g y aut som hing n: talndabou l anoter g i y natal f omhangt ialou sup iootat fha isot a upio new saes ot a pitewsa. p thyavco. out wh nur th co rat outison [ lahterh raon laer >>oh il you rat rea yoh ou careat? ry re turafood isn betr? >>ore an 30% o t he urarooddusnet th >>e 3me0%wo tears agrodu thadeae rd nadatural in fn o iet. wo nur fornonmen ou a look theor a lking at t thi lngok o juitcehe d ulng don't t hav tehi are jrenc foone d t hey au dri'tavde therere sa. foe the a itri whe on sa the fnt it the pakagee say nheuralnd page other ee s says nur juind yheou moray s kelyo bu j it. m r >> john: helyo enr for consu r>>oh reed.r xt fweho c ourguest seds the re ho good, ouue bust t fir trade coffee gd, d but brauyg cfee amricanhi dvebo lo

regulation bill and the capital gains tax that makes them make investment income and banes oxley after the enron debacle. republican who is want to deregulate to come out and say the folks on the wrong side of the movement are the folks who want to regulate wall street more. >> thank you very much for joining us. thanks, ezra. >>> an occupy is planned for dan weldon. a lot of questions are being raised about the fire that took his life. he was killed in the horrifying 15-car pile up near the beginning of the las vegas 300 race on sunday. now questions are being raised n the race from the start.ce joining me by phone is sports illustrated senior writer, lars. there improvements on the way regarding indy racing, but the changes are coming too late for dan. what do you make of the safety issues? >> dan was only a part-time driver this year and spent time working with indy car tests and the new design of a car coming out next year. i'm not sure that could have prevented what transpired on sunday. there is too many cars on the track, no question. 34 is too many indy cars on a 1.5 mile track like las

he was in charge of turg the collapse of enron.on a year at mckenzie and made 3 million a year sitting on the boards of other companies including goldman sachs. his net worth is estimated at $100 million. but 100 million wasn't apparently enough according to an sec complaint. gupta phoned a friend, a billionaire hedge fund founder and allegedly gave him an early tip about the goldman sachs earnings report which had not been yet made public. the billionaire hedge fund operator made about 8 million on that alleged tip. in september of 2008, according to the sec complaint, gupta gave his billionaire hedge fund friend another tip. the billionaire made $840,000 on that alleged tip. i know that sounds like a lot of money, 840,000, but 840,000 was actually 1/20 of 1% of the billionaire's wealth. .05% of the billionaire's wealth. so bring that down to real world scale, if you had say $10,000 in wealth, in savings, in the bank, what federal crime would you be willing to commit for 5 bucks? how much jail time, federal pen time would you be w

>> after the 2002 the fall of enron and worldcom a number of people said there will be more financialestack and it is going involve the housing market and derivatives. but attempts to regulate dereporting livetives went no where at all in the antigovernment environment of the bush era. >> so you shaw coming. did you invest and make a fortune with your wisdom, foresight? >> many people saw this coming. a lot of people were saying look, the wash watch dogs are not strong enough to prevent bad things from happening on wall street. >> thank you. the protesters may be right in their hatred of croney capitalism and bailouts, good for them. for them. but most of them are just d the markets never stop moving. of course, neither do i. solution: td ameritrade mobile. i can enter trades. on the run. even futures and forex. complex options? done. the market shifts... i get an alert. thank you. live streaming audio. advanced charts. look at that. all ght here. wherever "here" happens to be. mobile trading from td ameritrade. number one in online equity trades. trade commission-free for 30 days, pl

we had these regulations after enron.we had sarbanes oxley. >> bill: pollution. >> we need pollution. >> bill: pollution of the financial system regulations. >> now we have dodd frank 200319 -- 2319 pages. that's insane. >> bill: smart guys who make rules that have to be followed. >> if i make a bet with you a contract it's unfair to you because i'm smarter than you. these regulators cannot anticipate how they can protect you and laying on regulations. >> bill: if they see things that are brought to their attention they have got to get it out to the public and they didn't. stossel, always provocative thank you very much. plenty more ahead as the factor moves along this evening. farrakhan lacing over obama. megyn kelly with more. ordered to stand trial in >> bill: culture warrior segment tonight. new york city will begin mandatory exed classes for sixth graders next year. some of the instruction will be very explicit. parents can only opt out of the birth control classes but the kids have to sit through everything else. >>

ill don go to dinrar we d ot tohi allt drar t w f ar r's tll trket t you thinkoure hping the et enronmenth 2nghe pounds oenfen vetaes a punrove ve0 aro mes. >>ohn:t's0 srt tn 300 mes tho sand> miln:?t' >> i ta farmer ihosnd mil t ickinfaern i coup tleckuned pounds. y see howt w .upuned pnd u ow yeeow make w it feel g maout themselve itndeel ges g emsees to tkhevend aut ohn: and emse loals g y aut som hing n: talndabou l anoter g i y natal f omhangt ialou sup iootat fha isot a upio new saes ot a pitewsa. p thyavco. out wh nur th co rat outison [ lahterh raon laer >>oh il you rat rea yoh ou careat? ry re turafood isn betr? >>ore an 30% o t he urarooddusnet th >>e 3me0%wo tears agrodu thadeae rd nadatural in fn o iet. wo nur fornonmen ou a look theor a lking at t thi lngok o juitcehe d ulng don't t hav tehi are jrenc foone d t hey au dri'tavde therere sa. foe the a itri whe on sa the fnt it the pakagee say nheuralnd page other ee s says nur juind yheou moray s kelyo bu j it. m r >> john: helyo enr for consu r>>oh reed.r xt fweho c ourguest seds the re ho good, ouue bust t fir trade coffee gd

>> after the 2002 the fall of enron and worldcom a number of people said there will be more financialry sestack and it is going involve the housing market and derivatives. but attempts to regulate dereporting livetives went no where at all in the antigovernment environment of the bush era. >> so you shaw coming. did you invest and make a fortune with your wisdom, foresight? >> many people saw this coming. a lot of people were saying look, the wash watch dogs are not strong enough to prevent bad things from happening on wall street. >> thank you. the protesters may be right in their hatred of croney capitalism and bailouts, good for them. for them. but most of them are just dhoso really save you 15% or more on car insurance? host: do people use smartphones to do dumb things? man 1: send, that is the weekend. app grapgic: yeah dawg! man 2: allow me to crack...the bubbly! man 1: don't mind if i doozy. man 3: is a gentleman with a brostache invited over to this party? man 1: only if he's ready to rock! ♪ sfx: guitar and trumpet jam vo: geico. 15 minutes could save you 15% or more on car i

>> after the 2002 the fall of enron and worldcom a number of people said there will be more financial sestack and it is going involve the housing market and derivatives. but attempts to regulate dereporting livetives went no where at all in the antigovernment environment of the bush era. >> so you shaw coming. did you invest and make a fortune with your wisdom, foresight? >> many people saw this coming. a lot of people were saying look, the wash watch dogs are not strong enough to prevent bad things from happening on wall street. >> thank you. the protesters may be right in their hatred of croney capitalism and bailouts, good for them. but most of them are just d capital one's new cash rewards card gives you a 50 percent annual bonus. so you earn 50 percent more cash. if you're not satisfied with 50% more cash, send it back! i'll be right here, waiting for it. who wouldn't want more cash? [ insects chirping ] i'll take it. i'll make it rain up in here. [ male announcer ] the new capital one cash rewards card. the card for people who want 50% more cash. what's in your wallet? sorry i'l

i think herman cain is the enrons of campaigns. lot of evidence that he's got a campaign machine out there. once you get to iowa, and rick perry said this on an interview last night on television, once you -- you've got to wait until you actually see people voting. does the flat tax get him back into the game? a little bit. it gives him more substance. the birther thing is kind of a distraction. but once people actually start voting, we'll see where they really are. you know, i think one of the things about this poll that you see is that a lot of people haven't really made up their minds to commit to a particular voter. so that's where it's going to play out between now and i think it's, what, 68 days or something like that before we get to the iowa caucuses. that's when we'll actually see the rubber hit the road. >> ed rollins said if mitt romney wins the iowa caucus, it's done. because he's going to win in new hampshire. >> i always believe ed rollins. and new hampshire, he's got a 20, 25-point lead in most of the polls in new ha