Top Exec Tape Touts Enron 401(k) Stock Investment: Waxman

February 22, 2002 ( - A US Congressman says he has a video that shows managers at Enron urging employees to invest all their retirement money in Enron stock at a company meeting.

Representative Henry Waxman (D-California) said a video from 1999 appears to contradict testimony offered by Enron human resource executive Cindy Olson on February 5.

‘Absolute’ Suggestion?

According to the congressman, a woman identified only as ‘Cindy’ on the video responds ‘absolutely’ when asked by an employee, ‘Should we invest all of our 401(k) in Enron stock?’

Waxman also said that Enron executive Jeffrey Skilling nodded his head in agreement to the word ‘absolutely.’  The Congressman also said that Enron Chairman Kenneth Lay, chief operating officer Skilling and vice chairman Joseph Sutton were at the podium when the question was asked and answered, according to a report by the Associated Press.

Waxman outlined the contents of the videotape in a letter to Sen. Joseph Lieberman, who chairs the Senate Government Affairs Committee that Olson testified before.

Tape Delay

According to the report, the videotape about the 401(k) plan and Enron stock is labeled Feb. 1, 1999, but Waxman said the meeting refers to events that took place well after that date and that the meeting probably took place in early December 1999.

The congressman said Enron lawyers recently provided nine videotapes of the company’s all-employee meetings, which consisted of presentations and responses by management to employees’ questions.

Waxman has been a vocal critic of Enron’s activities, even prior to the former energy trading giant’s bankruptcy filing.

Waxman has an Enron Tip Line on his web site at