Cantwell calls for release of all Enron tapes

EVERETT, Wash. - Jun 7 (The Associated Press)

Sen. Maria Cantwell on Monday called on the U.S. Justice Department to release all the audio tapes it has of conversations by Enron Corp. energy traders.

At a news conference with Snohomish County Public Utility District officials, the Washington Democrat said the tapes could help the PUD and others in their legal battles with the Houston company.

Enron filed for bankruptcy in 2001 amid devastating revelations of hidden debt, inflated profits and shady accounting.

The Snohomish PUD wants Enron to forfeit millions of dollars in ill-gotten gains over the energy trading scandal. Separately, Enron is suing the utility, saying it acted illegally when it ended a contract.

Cantwell said tapes that are now in the custody of the Justice Department as part of its investigation could provide evidence of manipulation and the intent of Enron employees.

Some tapes that were widely heard for the first time last week revealed Enron traders laughing about manipulating the electricity market in California three and four years ago during the West Coast power crunch.

PUD lawyer Eric Christensen said Monday that those transcripts represented only about six to eight weeks worth of trading. He and other PUD officials said there are tapes covering another 18 months to two years that could further show how seriously Enron manipulated energy markets.

Cantwell said the PUD could afford to transcribe only a small portion of the tapes and that it cost more than $100,000 to do so. She said the Justice Department should pay to transcribe the remaining tapes.