Write 3 Paragraphs For Your Response: analysis your discussion to bring depth for your discussion AND don't forget your critical thinking skills Early on, George Bush, Sr. Helped secure billions in government subsidies for Enron International. And he helped promote Lay as deregulation's Ambassador-at-Large. Enron is a company... that deals with everyone with absolute integrity. We want people to leave the transaction with Enron thinking that they've been dealt with in the highest possible way as far as integrity and truthfulness. He always wrapped himself in the cloak of moral rectitude. But there was one episode, early on, that raised questions about whether he was actually walking the walk. This was the Enron oil scandal, also know as the Valhalla Scandal. While you were at Arthur Anderson, were you involved in an investigation at a company called Enron Oil?" Yes, I was. The issue with the company in 1997 involved the misappropriation of moneys by two traders. In 1987 two oil traders made bets for Enron on whether the price of oil would rise or fall. Oil trading is like gambling: Sometimes you win, sometimes you lose. But Enron Oil always seemed to win, much to Ken Lay's delight. I tried to explain to Ken Lay the tremendous risk that you have in that market. You can lose...ten times your original investment. A veteran trader, Mike Muckleroy, was suspicious of Enron Oil's steady high profits. Well this oil trading business had profits that nobody could really understand and in fact, that many of Ken Lay's lieutenants questioned. They said this business can't be making this much money legitimately. Something weird is going on. Something weird was going on. The first hint came from an anonymous tip about the president of the company, Louis Borget. Mr. Borget had taken some three plus million dollars of corporate funds and put it in a personal account of his. There were offshore accounts phony books and a trail that led from the company's treasurer, Tom Mastroeni, to a mysterious Lebanese speculator no one could find: M. Yass. What name did you suspect that was? My ass, you know. And M Smait, well so that's Maxwell Smart. I mean, these guys are playing games Borget and Mastroeni were summoned to Houston. First, they presented falsified bank records to Enron. Then they admitted they had diverted company profits to personal accounts. It was brought to the attention of the Enron Board. Auditors were brought in as well, to look at the whole thing. At the board meeting, the auditors told Lay that Borget and his traders were manipulating earnings destroying daily trading records, and probably gambling way beyond their limits. The next day we found out that Lay's decision was to basically change nothing as far as the operation's concerned. And the reason he gave was that this was the only part of the combined company that was making any money and that he could not, you know, kill the golden goose. The traders weren't fired, or even disciplined. Instead, Enron sent a telex to Borget: Please keep making us millions. Instead of reducing Enron's risk, Lay encouraged his traders to gamble more. But then their luck changed. Two months later, here I got this panic call that they had drawn down 90 million dollars in the previous five days. What we could do is just try and find out what kind of guerilla we had loose up there. Muckleroy hopped on the next plane to New York. He knew Mastroeni had another set of books, and he would do whatever it took to get them