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Sunday, January 29, 2006 - Page updated at 12:00 AM

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The principals awaiting trial

Enron founder Kenneth Lay

and former CEO Jeffrey Skilling

The trial is to begin Monday. Skilling faces 35 counts, including fraud, conspiracy and insider trading, on charges for alleged schemes to fool investors into believing Enron was financially healthy so Skilling and Lay could make millions from sales of inflated stock.

Lay faces seven counts of fraud and conspiracy on allegations of perpetuating the ruse after Skilling's resignation in 2001, less than three months before Enron crumbled into bankruptcy. Both have pleaded not guilty.

In a separate case, Lay is charged with one count of bank fraud and three counts of lying to banks. Lay is accused of misleading banks about his intention to use $75 million in personal loans to buy Enron stock on margin. A nonjury trial in the separate case is to begin shortly after jurors in the first case begin deliberations.

Copyright © 2006 The Seattle Times Company


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