Enron finance chief facing ten years in jail

Former Enron finance chief Mr Andrew Fastow is facing up to ten years in jail after pleading guilty to two counts of conspiracy…

Former Enron finance chief Mr Andrew Fastow is facing up to ten years in jail after pleading guilty to two counts of conspiracy.

Mr Fastow's wife Lea (42)  is set to plead guilty to a tax charge. She was Enron's former assistant treasurer.

The Fastow plea deals stalled last week after a judge refused to guarantee Lea Fastow a five-month prison sentence, as agreed with prosecutors. Her lawyer said the couple insisted on the five-month sentence to ensure that their two young sons have at least one parent at home.

US District Judge David Hittner demanded that he retain the right to alter her term and it is not immediately known what sentence he would order.

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Mr Fastow (42) is the highest-ranking Enron executive charged in the 2001 collapse of the Houston-based energy company. Without a plea, he would have gone to trial on 98 counts of fraud, money laundering, insider trading and other charges.

Prosecutors say he masterminded a range of partnerships and tangled financing deals that hid Enron debt and inflated company profits while funnelling millions of dollars to him, his family and selected friends.

Some experts believe the plea could break open the case against former chairman Kenneth Lay and former chief executive Jeffrey Skilling.

PA