the CNBC original production in this the CNBC original production in this
episode of American greed Ebber’s is an episode of American greed Ebber’s is an episode of American greed Ebber’s is an
amazing story because he came from amazing story because he came from amazing story because he came from
nothing and was on top of the financial nothing and was on top of the financial nothing and was on top of the financial
world I mean he was worth billions world I mean he was worth billions world I mean he was worth billions
Bernard CEO of WorldCom rises Bernard Ebbers CEO of WorldCom rises Bernard Ebbers CEO of WorldCom rises
from rags to riches and then falls from from rags to riches and then falls from from rags to riches and then falls from
pinstripes to prison stripes don't push pinstripes to prison stripes don't push pinstripes to prison stripes don't push
don't push get all the way but when he don't push get all the way but when he don't push get all the way but when he
tumbles brings thousands of tumbles brings thousands of tumbles brings thousands of
investors down with him people that investors down with him people that investors down with him people that
invest in the stock were definitely invest in the stock were definitely invest in the stock were definitely
victims to a con game and later it just victims to a con game and later it just victims to a con game and later it just
seemed like a like a sure hit Hollywood seemed like a like a sure hit Hollywood seemed like a like a sure hit Hollywood
producer Joseph Medawar says he's producer Joseph Medawar says he's producer Joseph Medawar says he's
working on TV's next big hit but it's working on TV's next big hit but it's working on TV's next big hit but it's
really just a big scam dropping more really just a big scam dropping more really just a big scam dropping more
than 70 investors out of millions of than 70 investors out of millions of than 70 investors out of millions of
dollars Medawar was extraordinarily good dollars Medawar was extraordinarily good dollars Medawar was extraordinarily good
and what he did he was a consummate and what he did he was a consummate and what he did he was a consummate
Continent I would ask the witnesses to arrive I would ask the witnesses to arrive
and raise your right hand in the summer and raise your right hand in the summer and raise your right hand in the summer
of 2002 a CEO is called before Congress of 2002 a CEO is called before Congress of 2002 a CEO is called before Congress
grilled about why his company has gone grilled about why his company has gone grilled about why his company has gone
bust and why shareholders have lost a bust and why shareholders have lost a bust and why shareholders have lost a
total of 180 billion dollars each of you total of 180 billion dollars each of you total of 180 billion dollars each of you
is now in a row that afternoon mr. is now in a row that afternoon mr. is now in a row that afternoon mr.
chairman I served as CEO of WorldCom for chairman I served as CEO of WorldCom for chairman I served as CEO of WorldCom for
17 years during that time I helped a 17 years during that time I helped a 17 years during that time I helped a
small company rise to one of America's small company rise to one of America's small company rise to one of America's
largest corporations Bernard largest corporations Bernard largest corporations Bernard
former CEO of WorldCom symbolizes an era former CEO of WorldCom symbolizes an era former CEO of WorldCom symbolizes an era
of corporate greed and fraud of corporate greed and fraud of corporate greed and fraud
WorldCom is one of the fastest-rising WorldCom is one of the fastest-rising WorldCom is one of the fastest-rising
companies in US history and one of the companies in US history and one of the companies in US history and one of the
hardest to fall the year is 1983 at a hardest to fall the year is 1983 at a hardest to fall the year is 1983 at a
diner in the small town of Hattiesburg diner in the small town of Hattiesburg diner in the small town of Hattiesburg
Mississippi local businessmen meet over Mississippi local businessmen meet over Mississippi local businessmen meet over
coffee and donuts ma bells monopoly on coffee and donuts ma bells monopoly on coffee and donuts ma bells monopoly on
long distance is breaking up the long distance is breaking up the long distance is breaking up the
businessmen see an opportunity to get in businessmen see an opportunity to get in businessmen see an opportunity to get in
on the long-distance game in the early on the long-distance game in the early on the long-distance game in the early
days the hardest hardest job that we had days the hardest hardest job that we had days the hardest hardest job that we had
was explaining to people and convince was explaining to people and convince was explaining to people and convince
them that we could do the same thing them that we could do the same thing them that we could do the same thing
that AT&T had been doing at that time that AT&T had been doing at that time that AT&T had been doing at that time
and we could provide a long-distance and we could provide a long-distance and we could provide a long-distance
service and provide it for him for less service and provide it for him for less service and provide it for him for less
money money money
Marie Waldron is a Mississippi Marie Waldron is a Mississippi Marie Waldron is a Mississippi
entrepreneur and the idea man behind a entrepreneur and the idea man behind a entrepreneur and the idea man behind a
new venture called long-distance new venture called long-distance new venture called long-distance
discount service or L DDS for short discount service or LDDS for short discount service or LDDS for short
Waldron's seeking investors to help him Waldron's seeking investors to help him Waldron's seeking investors to help him
raise six hundred and fifty thousand raise six hundred and fifty thousand raise six hundred and fifty thousand
dollars among the seven partners who dollars among the seven partners who dollars among the seven partners who
sign on is Bernie I was impressed sign on is Bernie I was impressed sign on is Bernie I was impressed
with Marty with Marty with Marty
I think Bernie you know had a good heart I think Bernie you know had a good heart I think Bernie you know had a good heart
he was hardworking he was business I he was hardworking he was business I he was hardworking he was business I
mean he he was not a lot of joking and mean he he was not a lot of joking and mean he he was not a lot of joking and
fun or anything like it but I liked what fun or anything like it but I liked what fun or anything like it but I liked what
I saw at this point I saw at this point I saw at this point
Bernie is totally obscure Bernie is totally obscure Bernie is totally obscure
he's worked as a milkman a bar bouncer he's worked as a milkman a bar bouncer he's worked as a milkman a bar bouncer
and a basketball coach then he gets in and a basketball coach then he gets in and a basketball coach then he gets in
the motel business the motel business the motel business
this is first property a humble this is Ebber's first property a humble this is Ebber's first property a humble
little place on the edge of a little place on the edge of a little place on the edge of a
Mississippi Highway here earns the Mississippi Highway here earns the Mississippi Highway here earns the
reputation as a penny pincher Bernnie reputation as a penny pincher Bernie reputation as a penny pincher Bernie
told me a lot of times that he didn't told me a lot of times that he didn't told me a lot of times that he didn't
know anything about the long distance or know anything about the long distance or know anything about the long distance or
the telephone business but he knew how the telephone business but he knew how the telephone business but he knew how
to read numbers and he was a number to read numbers and he was a number to read numbers and he was a number
cruncher that even in his first the cruncher that even in his first the cruncher that even in his first the
first Motel you know they cleaned the first Motel you know they cleaned the first Motel you know they cleaned the
rooms they did the washing they'd they rooms they did the washing they'd they rooms they did the washing they'd they
clean all the linens and everything but clean all the linens and everything but clean all the linens and everything but
you know instead of hiring somebody to you know instead of hiring somebody to you know instead of hiring somebody to
do it he did it himself do it he did it himself do it he did it himself
Ebbers frugal ways serve the start up Ebbers frugal ways serve the start up Ebbers frugal ways serve the start up
well LDDS needs to be lean and mean in well LDDS needs to be lean and mean in well LDDS needs to be lean and mean in
order to offer cut-rate long distance order to offer cut-rate long distance order to offer cut-rate long distance
before long customers are beating a path before long customers are beating a path before long customers are beating a path
to its door it mushroomed fast you know to its door it mushroomed fast you know to its door it mushroomed fast you know
it went from 240 to a thousand and then it went from 240 to a thousand and then it went from 240 to a thousand and then
just just tens of thousands and I just just tens of thousands and I just just tens of thousands and I
couldn't even tell you how fast that couldn't even tell you how fast that couldn't even tell you how fast that
growth loss a year and a half later growth loss a year and a half later growth loss a year and a half later
bernie Ebbers moves from partner to bernie Ebbers moves from partner to bernie Ebbers moves from partner to
president under Ebbers watch l DDS goes president under Ebbers watch LDDS goes president under Ebbers watch LDDS goes
on a buying spree snapping up other long on a buying spree snapping up other long on a buying spree snapping up other long
distance carriers throughout the south distance carriers throughout the south distance carriers throughout the south
and in just 10 years the little company and in just 10 years the little company and in just 10 years the little company
that was born in a Mississippi diner has that was born in a Mississippi diner has that was born in a Mississippi diner has
grown into one of the world's largest grown into one of the world's largest grown into one of the world's largest
telecom companies with a market telecom companies with a market telecom companies with a market
capitalization of six billion dollars capitalization of six billion dollars capitalization of six billion dollars
Ebbers gives the company a new name Ebbers gives the company a new name Ebbers gives the company a new name
WorldCom WorldCom WorldCom
a name that seems to fit Ebbers outsized a name that seems to fit Ebbers outsized a name that seems to fit Ebbers outsized
personality he was sort of this brazen personality he was sort of this brazen personality he was sort of this brazen
guy who just started doing all these guy who just started doing all these guy who just started doing all these
acquisitions buying you know it's acquisitions buying you know it's acquisitions buying you know it's
smaller companies all of a sudden he smaller companies all of a sudden he smaller companies all of a sudden he
went for the Big Kahuna which was MCI went for the Big Kahuna which was MCI went for the Big Kahuna which was MCI
and swallowed it and everybody was sort and swallowed it and everybody was sort and swallowed it and everybody was sort
of amazed because this was this tiny you of amazed because this was this tiny you of amazed because this was this tiny you
know brash little company in Mississippi know brash little company in Mississippi know brash little company in Mississippi
buying MCI which was a household name buying MCI which was a household name buying MCI which was a household name
WorldCom has seven billion in annual WorldCom has seven billion in annual WorldCom has seven billion in annual
a fraction of the annual revenue of its a fraction of the annual revenue of its a fraction of the annual revenue of its
takeover target MCI which brings in 18 takeover target MCI which brings in 18 takeover target MCI which brings in 18
billion in business news several federal billion in business news several federal billion in business news several federal
agencies are going to work for viewing agencies are going to work for viewing agencies are going to work for viewing
WorldCom's proposed buyout of MCI this WorldCom's proposed buyout of MCI this WorldCom's proposed buyout of MCI this
would be the biggest corporate merger in would be the biggest corporate merger in would be the biggest corporate merger in
US business history and they called it US business history and they called it US business history and they called it
WorldCom didn't call it MCI and you know WorldCom didn't call it MCI and you know WorldCom didn't call it MCI and you know
sort of built it from there sort of built it from there sort of built it from there
in 1996 WorldCom builds a sparkling new in 1996 WorldCom builds a sparkling new in 1996 WorldCom builds a sparkling new
corporate campus its stock is a high corporate campus its stock is a high corporate campus its stock is a high
flyer enriching both investors and flyer enriching both investors and flyer enriching both investors and
employees was a constant change constant employees was a constant change constant employees was a constant change constant
excitement Glen Smith is an internal excitement Glen Smith is an internal excitement Glen Smith is an internal
auditor at world cup the stock price auditor at WorldCom the stock price auditor at WorldCom the stock price
when I came over was you know very very when I came over was you know very very when I came over was you know very very
high so a lot of the talk he would hear high so a lot of the talk he would hear high so a lot of the talk he would hear
around the water cooler was you know around the water cooler was you know around the water cooler was you know
when you're going to sell your stock it when you're going to sell your stock it when you're going to sell your stock it
was exciting it was fine people enjoyed was exciting it was fine people enjoyed was exciting it was fine people enjoyed
working there was a good place to work working there was a good place to work working there was a good place to work
Bernie Ebbers a former high school Bernie Ebbers a former high school Bernie Ebbers a former high school
basketball coach is now the toast of basketball coach is now the toast of basketball coach is now the toast of
Wall Street people were excited partly Wall Street people were excited partly Wall Street people were excited partly
because they had the backing of Solomon because they had the backing of Solomon because they had the backing of Solomon smith
as the Barney and Citigroup and there Solomon Smith Barney and Citigroup and there Solomon Smith Barney and Citigroup and there
was sort of the sense that these were was sort of the sense that these were was sort of the sense that these were
the new kids on the block and they had a the new kids on the block and they had a the new kids on the block and they had a
great idea and you know they were going great idea and you know they were going great idea and you know they were going
to take over kind of a sleepy telecom to take over kind of a sleepy telecom to take over kind of a sleepy telecom
business and shake it up Bernie you know business and shake it up Bernie you know business and shake it up Bernie you know
he's he's not personally had a big ego he's he's not personally had a big ego he's he's not personally had a big ego
and he couldn't mean he can eat that ego and he couldn't mean he can eat that ego and he couldn't mean he can eat that ego
look people start patting him on the look people start patting him on the look people start patting him on the
back then what a good company cause back then what a good company cause back then what a good company cause
everybody in 1999 everybody in 1999 everybody in 1999
Bernie Ebbers salary is nine hundred and Bernie Ebbers salary is nine hundred and Bernie Ebbers salary is nine hundred and
thirty five thousand dollars a year but thirty five thousand dollars a year but thirty five thousand dollars a year but
like many CEOs his salary is dwarfed by like many CEOs his salary is dwarfed by like many CEOs his salary is dwarfed by
the income he receives from bonuses and the income he receives from bonuses and the income he receives from bonuses and
stock options that year alone Ebbers stock options that year alone Ebbers stock options that year alone Ebbers
receives 27 million dollars worth of receives 27 million dollars worth of receives 27 million dollars worth of
WorldCom stock options WorldCom stock options WorldCom stock options
despite his wealth Ebbers walks and despite his wealth Ebbers walks and despite his wealth Ebbers walks and
talks like a good old boy and earned the talks like a good old boy and earned the talks like a good old boy and earned the
nickname the telecom cowboy and that's nickname the telecom cowboy and that's nickname the telecom cowboy and that's
sort of the the vibe that he gave out sort of the vibe that he gave out sort of the vibe that he gave out
around the office they walked around around the office they walked around around the office they walked around
impressed blue jeans and an unlit cigar impressed blue jeans and an unlit cigar impressed blue jeans and an unlit cigar
and you're very casual very folksy kind and you're very casual very folksy kind and you're very casual very folksy kind
of guys on Wall Street loved that he of guys on Wall Street loved that he of guys on Wall Street loved that he
wasn't your typical suit-and-tie type wasn't your typical suit-and-tie type wasn't your typical suit-and-tie type
CEO and that really played well the CEO and that really played well the CEO and that really played well the
investors it played well certainly down investors it played well certainly down investors it played well certainly down
south south south
and I think Wall Street saw that as a and I think Wall Street saw that as a and I think Wall Street saw that as a
refreshing change I think some people refreshing change I think some people refreshing change I think some people
thought he was you know a little goofy thought he was you know a little goofy thought he was you know a little goofy
maybe were laughing at him a little bit maybe were laughing at him a little bit maybe were laughing at him a little bit
but they thought hey you know he's done but they thought hey you know he's done but they thought hey you know he's done
pretty well he's built this company from pretty well he's built this company from pretty well he's built this company from
nothing and they just but you know nothing and they just but you know nothing and they just but you know
they've played a small little bit well they've played a small little bit well they've played a small little bit well
so there's got to be something to this so there's got to be something to this so there's got to be something to this
guy strategy the strategy is one of guy strategy the strategy is one of guy strategy the strategy is one of
aggressive acquisition of WorldCom's aggressive acquisition of WorldCom's aggressive acquisition of WorldCom's
competitors the other part of the competitors the other part of the competitors the other part of the
strategy is cost control just like in strategy is cost control just like in strategy is cost control just like in
the old motel days Ebbers would the old motel days Ebbers would the old motel days Ebbers would
clean rooms himself to save a bug he clean rooms himself to save a bug he clean rooms himself to save a bug he
still has the reputation as a skinflint still has the reputation as a skinflint still has the reputation as a skinflint
everybody agreed that he was very everybody agreed that he was very everybody agreed that he was very
hands-on they like to call micromanager hands-on they like to call micromanager hands-on they like to call micromanager
I mean he was just very much in the I mean he was just very much in the I mean he was just very much in the
weeds he was very focused on money a lot weeds he was very focused on money a lot weeds he was very focused on money a lot
of people called him cheap but he would of people called him cheap but he would of people called him cheap but he would
also do other strange things like count also do other strange things like count also do other strange things like count
coffee filters to make sure you know coffee filters to make sure you know coffee filters to make sure you know
that people weren't drinking too much that people weren't drinking too much that people weren't drinking too much
coffee it was communicated throughout coffee it was communicated throughout coffee it was communicated throughout
the company that that there would be no the company that that there would be no the company that that there would be no
more free coffee and I can remember the more free coffee and I can remember the more free coffee and I can remember the
day I came to the office and sure enough day I came to the office and sure enough day I came to the office and sure enough
the movers were there they hauled out the movers were there they hauled out the movers were there they hauled out
the free you know the coffee pot and the free you know the coffee pot and the free you know the coffee pot and
rolled in the machines you've seen the rolled in the machines you've seen the rolled in the machines you've seen the
machines where you you know pay thirty machines where you you know pay thirty machines where you you know pay thirty
five cents a cup drops down his idea was five cents a cup drops down his idea was five cents a cup drops down his idea was
sort of if you if you really hammer on sort of if you if you really hammer on sort of if you if you really hammer on
those pennies then the dollars will take those pennies then the dollars will take those pennies then the dollars will take
care of themselves and he managed that care of themselves and he managed that care of themselves and he managed that
way but Bernie eber's is a study in way but Bernie eber's is a study in way but Bernie eber's is a study in
contradiction while he runs WorldCom contradiction while he runs WorldCom contradiction while he runs WorldCom
like a miser in his personal life he's a like a miser in his personal life he's a like a miser in his personal life he's a
spendthrift when American greed returns spendthrift when American greed returns spendthrift when American greed returns
see how Bernie Ebbers freewheeling ways see how Bernie Ebbers freewheeling ways see how Bernie Ebbers freewheeling ways
put investors fortunes in jeopardy put investors fortunes in jeopardy put investors fortunes in jeopardy
he loved buying things and he loved he loved buying things and he loved he loved buying things and he loved
buying things with other people's money buying things with other people's money buying things with other people's money
[Music] in the late 90s Bernie Ebbers the CEO of in the late 90s Bernie Ebbers the CEO of
WorldCom is flying high his WorldCom is flying high his WorldCom is flying high his
long-distance company is a Wall Street long-distance company is a Wall Street long-distance company is a Wall Street
darling and nearly everyone seems to be darling and nearly everyone seems to be darling and nearly everyone seems to be
shouting buy and in world comes home shouting buy and in WorldCom’s home shouting buy and in WorldCom’s home
town of Clinton Mississippi Bernie Ebbers town of Clinton Mississippi Bernie Ebbers town of Clinton Mississippi Bernie Ebbers
is a hero now everybody thought they had is a hero now everybody thought they had is a hero now everybody thought they had
it going on you know they were gonna buy it going on you know they were gonna buy it going on you know they were gonna buy
sprint and didn't like there was any sprint and didn't like there was any sprint and didn't like there was any
stopping fall John Mosley owns an auto stopping fall John Mosley owns an auto stopping fall John Mosley owns an auto
body shop in Clinton Mosley and his body shop in Clinton Mosley and his body shop in Clinton Mosley and his
business partners sink thirty thousand business partners sink thirty thousand business partners sink thirty thousand
dollars into world Stock look fair dollars into WorldCom stock look fair dollars into WorldCom stock look fair
great thought it was gonna be a good great thought it was gonna be a good great thought it was gonna be a good
deal you know good investment something deal you know good investment something deal you know good investment something
to grow a little bit of money for a long to grow a little bit of money for a long to grow a little bit of money for a long
term and felt good about it Bernie term and felt good about it Bernie term and felt good about it Bernie
Ebbers is feeling good too about Ebbers is feeling good too about Ebbers is feeling good too about
WorldCom's future the telecom cowboy is WorldCom's future the telecom cowboy is WorldCom's future the telecom cowboy is
pulling in 36 million a year most of it pulling in 36 million a year most of it pulling in 36 million a year most of it
in the form of world comes stock options in the form of WorldCom’s stock options in the form of WorldCom’s stock options
all the while Ebbers is taking away all the while Ebbers is taking away all the while Ebbers is taking away
employees free coffee but when it comes employees free coffee but when it comes employees free coffee but when it comes
to spending money on himself ever spares to spending money on himselfEbbersspares to spending money on himselfEbbersspares
no expense well it might be easier to no expense well it might be easier to no expense well it might be easier to
talk about what he didn't buy Shawn talk about what he didn't buy Shawn talk about what he didn't buy Shawn
Coffey is a lawyer who represents Coffey is a lawyer who represents Coffey is a lawyer who represents
WorldCom investors WorldCom investors WorldCom investors
he bought a hockey team he bought a he bought a hockey team he bought a he bought a hockey team he bought a
yacht building company he bough lots of yacht building company he bought lots of yacht building company he bought lots of
yachts by 1996 he had like 132 foot yachts by 1996 he had like 132 foot yachts by 1996 he had like 132 foot
called the aquasition instead of the called the aquasition instead of the called the aquasition instead of the
acquisition that was his little play on acquisition that was his little play on acquisition that was his little play on
words words words
the aquasition actually had a remote the aquasition actually had a remote the aquasition actually had a remote
control that you could steer from a hot control that you could steer from a hot control that you could steer from a hot
tub which I don't know if you ever used tub which I don't know if youEbbersused tub which I don't know if youEbbersused
it I imagine he did but he went from it I imagine he did but he went from it I imagine he did but he went from
buying yachts to actually buying a yacht buying yachts to actually buying a yacht buying yachts to actually buying a yacht
building company he bought the largest building company he bought the largest building company he bought the largest
ranch privately owned ranch on the ranch privately owned ranch on the ranch privately owned ranch on the
planet up in Canada planet up in Canada planet up in Canada
he bought a half a million acres of he bought a half a million acres of he bought a half a million acres of
timberland in the southeast timberland in the southeast timberland in the southeast
he bought a crawfish farm he bought a he bought a crawfish farm he bought a he bought a crawfish farm he bought a
golf course he invested in a golf course he invested in a golf course he invested in a
refrigerated trucking company he refrigerated trucking company he refrigerated trucking company he
invested in a soybean and rice farm he invested in a soybean and rice farm he invested in a soybean and rice farm he
built a five million dollar lodge built a five million dollar lodge built a five million dollar lodge
Clinton Mississippi so it was Clinton Mississippi so it was Clinton Mississippi so it was
conspicuous consumption in uppercase conspicuous consumption in uppercase conspicuous consumption in uppercase
letters the money to buy all these letters the money to buy all these letters the money to buy all these
trophies comes from personal loans trophies comes from personal loans trophies comes from personal loans
underwritten by JP Morgan and Citibank underwritten by JP Morgan and Citibank underwritten by JP Morgan and Citibank
and all the loans totaled 408 million and all the loans totaled 408 million and all the loans totaled 408 million
dollars Ebbers secures them with world dollars Ebbers secures them with WorldCom dollars Ebbers secures them with WorldCom
stock he was getting all these loans stock he was getting all these loans stock he was getting all these loans
based on you know the companies you know based on you know the companies you know based on you know the companies you know
reputation and I think that was because reputation and I think that was because reputation and I think that was because
he sort of saw these things as the he sort of saw these things as the he sort of saw these things as the
golden ring of having you work so hard golden ring of having you work so hard golden ring of having you work so hard
and climb so far for the moment Ebbers is and climb so far for the moment Ebbers is and climb so far for the moment Ebbers is
enjoying his farms and ranches and enjoying his farms and ranches and enjoying his farms and ranches and
yachts his life is built on the belief yachts his life is built on the belief yachts his life is built on the belief
that world Stock will continue to that WorldCom stock will continue to that WorldCom stock will continue to
defy gravity defy gravity defy gravity
but there's trouble on the horizon by but there's trouble on the horizon by but there's trouble on the horizon by
early 2000 the outlook for the telecom early 2000 the outlook for the telecom early 2000 the outlook for the telecom
business is storming the long-distance business is storming the long-distance business is storming the long-distance
business was just not a cash cow anymore business was just not a cash cow anymore business was just not a cash cow anymore
it once had been but it had just been it once had been but it had just been it once had been but it had just been
decimated probably because there was so decimated probably because there was so decimated probably because there was so
much competition on Wall Street the much competition on Wall Street the much competition on Wall Street the
entire telecom sector takes a nosedive entire telecom sector takes a nosedive entire telecom sector takes a nosedive
in June of 1999 WorldCom is trading at in June of 1999 WorldCom is trading at in June of 1999 WorldCom is trading at
62 dollars a share by the end of 2000 62 dollars a share by the end of 2000 62 dollars a share by the end of 2000
its tumbled seventy percent to just its tumbled seventy percent to just its tumbled seventy percent to just
eighteen dollars a share the Bernie eighteen dollars a share the Bernie eighteen dollars a share the Bernie
Ebbers remains an aggressive cheerleader Ebbers remains an aggressive cheerleader Ebbers remains an aggressive cheerleader
for world come his world come a for WorldCom his WorldCom a for WorldCom his WorldCom a
financially sound solid surviving financially sound solid surviving financially sound solid surviving
company absolutely and we are free cash company absolutely and we are free cash company absolutely and we are free cash
flow positive we announced that today flow positive we announced that today flow positive we announced that today
which is phenomenal at a shareholders which is phenomenal at a shareholders which is phenomenal at a shareholders
meeting in 2001 ever says world comes meeting in 2001Ebberssays WorldCom’s meeting in 2001Ebberssays WorldCom’s
best days are yet to come the machine best days are yet to come the machine best days are yet to come the machine
that is producing the revenue or the that is producing the revenue or the that is producing the revenue or the
unit's is doing very well in the company unit's is doing very well in the company unit's is doing very well in the company
in large part because of ever in large part because of ever in large part because of ever
salesmanship world comes still as many salesmanship WorldCom’s still as many salesmanship WorldCom’s still as many
true beliEbbers especially back home in true beliEbbers especially back home in true beliEbbers especially back home in
Mississippi Mississippi Mississippi
I'd never invested in stock market prior I'd never invested in stock market prior I'd never invested in stock market prior
to my venture and WorldCom Sam Owens to my venture and WorldCom Sam Owens to my venture and WorldCom Sam Owens
doesn't know much about picking stocks doesn't know much about picking stocks doesn't know much about picking stocks
an insurance salesman Owens has always an insurance salesman Owens has always an insurance salesman Owens has always
stuck with real estate for his stuck with real estate for his stuck with real estate for his
investments but when world comes stock investments but when WorldCom’s stock investments but when WorldCom’s stock
drops Owens figures the market is drops Owens figures the market is drops Owens figures the market is
overreacted he thinks WorldCom will rise overreacted he thinks WorldCom will rise overreacted he thinks WorldCom will rise
again again again
your stock had gone down in the $17.00 your stock had gone down in the $17.00 your stock had gone down in the $17.00
engine I decided to take the plunge and engine I decided to take the plunge and engine I decided to take the plunge and
bought a considerable amount of the bought a considerable amount of the bought a considerable amount of the
shares shares shares
Owens timing proves to be disastrous in Owens timing proves to be disastrous in Owens timing proves to be disastrous in
2001 world come stock tumbles more than 2001 WorldCom stock tumbles more than 2001 WorldCom stock tumbles more than
30 percent like thousands of investors 30 percent like thousands of investors 30 percent like thousands of investors
across the country Owens is watching his across the country Owens is watching his across the country Owens is watching his
investment dwindle and on Wall Street investment dwindle and on Wall Street investment dwindle and on Wall Street
analysts are getting nervous analysts are getting nervous analysts are getting nervous
Citigroup through its travelers arm Citigroup through its travelers arm Citigroup through its travelers arm
loaned him a half billion dollars loaned him a half billion dollars loaned him a half billion dollars
through some family trusts so he could through some family trusts so he could through some family trusts so he could
buy lots of things well those loans were buy lots of things well those loans were buy lots of things well those loans were
secured by the value of his WorldCom secured by the value of his WorldCom secured by the value of his WorldCom
Stock the banks tapped Bernie on the Stock the banks tapped Bernie on the Stock the banks tapped Bernie on the
shoulder and request their money back shoulder and request their money back shoulder and request their money back
Bernie's in trouble to pay back the Bernie's in trouble to pay back the Bernie's in trouble to pay back the
banks he may have to sell his WorldCom banks he may have to sell his WorldCom banks he may have to sell his WorldCom
stock a margin call and when the CEO stock a margin call and when the CEO stock a margin call and when the CEO
begins to sell a lot of stock investors begins to sell a lot of stock investors begins to sell a lot of stock investors
get nervous because they take it as a get nervous because they take it as a get nervous because they take it as a
sign that the CEO thinks the future is sign that the CEO thinks the future is sign that the CEO thinks the future is
is poor for the company and you had this is poor for the company and you had this is poor for the company and you had this
sort of spiraling circumstance WorldCom sort of spiraling circumstance WorldCom sort of spiraling circumstance WorldCom
Board of Directors desperately Board of Directors desperately Board of Directors desperately
wants to avoid a fire sale of WorldCom wants to avoid a fire sale of WorldCom wants to avoid a fire sale of WorldCom
stock so to bail stock so to bail stock so to bail
Ebbers out the board approves a four Ebbers out the board approves a four Ebbers out the board approves a four
hundred and eight million dollar loan to hundred and eight million dollar loan to hundred and eight million dollar loan to
its CEO the move attracts the attention its CEO the move attracts the attention its CEO the move attracts the attention
of the Securities and Exchange of the Securities and Exchange of the Securities and Exchange
Commission which ones to know more about Commission which ones to know more about Commission which ones to know more about
the bailout and that's not all the bailout and that's not all the bailout and that's not all
SEC is highly suspicious of WorldCom's SEC is highly suspicious of WorldCom's SEC is highly suspicious of WorldCom's
financial reporting even amid tough financial reporting even amid tough financial reporting even amid tough
times in the telecom business WorldCom times in the telecom business WorldCom times in the telecom business WorldCom
is issuing glowing financial statements is issuing glowing financial statements is issuing glowing financial statements
thank you for coming tonight thank you for coming tonight thank you for coming tonight
in March of 2002 ever sits down with in March of 2002 Ebberssits down with in March of 2002 Ebberssits down with
CNBC anchor Maria Bartiromo Bernie nice CNBC anchor Maria Bartiromo Bernie nice CNBC anchor Maria Bartiromo Bernie nice
to have you back with us thank you for to have you back with us thank you for to have you back with us thank you for
having me what do you want to say to the having me what do you want to say to the having me what do you want to say to the
shareholder out there that's holding shareholder out there that's holding shareholder out there that's holding
WorldCom that just got the news that the WorldCom that just got the news that the WorldCom that just got the news that the
SEC has conducted an informal inquiry SEC has conducted an informal inquiry SEC has conducted an informal inquiry
it's a very difficult thing to know what it's a very difficult thing to know what it's a very difficult thing to know what
to say because I don't have enough to say because I don't have enough to say because I don't have enough
definition to what they're asking it was definition to what they're asking it was definition to what they're asking it was
not anticipated it's one of those things not anticipated it's one of those things not anticipated it's one of those things
that you have to live through it's a that you have to live through it's a that you have to live through it's a
very time-consuming prospect because very time-consuming prospect because very time-consuming prospect because
they ask a lot for a lot of information they ask a lot for a lot of information they ask a lot for a lot of information
but the thing that I feel very confident but the thing that I feel very confident but the thing that I feel very confident
in in my heart of hearts is that there in in my heart of hearts is that there in in my heart of hearts is that there
are not issues that our shareholders are not issues that our shareholders are not issues that our shareholders
ought to be concerned with with respect ought to be concerned with with respect ought to be concerned with with respect
to the investigation by the SEC I would to the investigation by the SEC I would to the investigation by the SEC I would
be the first to tell them if I thought be the first to tell them if I thought be the first to tell them if I thought
there were some issues couldn't stand to there were some issues couldn't stand to there were some issues couldn't stand to
lose he wanted to make sure that they lose he wanted to make sure that they lose he wanted to make sure that they
continued to be the company that was continued to be the company that was continued to be the company that was
reporting profits you know he had sort reporting profits you know he had sort reporting profits you know he had sort
of built this Empire and he wasn't about of built this Empire and he wasn't about of built this Empire and he wasn't about
to see it fall apart just because the to see it fall apart just because the to see it fall apart just because the
business he gotten into was suffering business he gotten into was suffering business he gotten into was suffering
one month later on April 29 2002 world one month later on April 29 2002 world one month later on April 29 2002 world
comes board asks Ebbers to resign the comes board asks Ebbers to resign the comes board asks Ebbers to resign the
reason all of Ebbers loans which support reason all of Ebbers loans which support reason all of Ebbers loans which support
his lavish lifestyle in Jackson his lavish lifestyle in Jackson his lavish lifestyle in Jackson
Mississippi WL BT the NBC affiliate Mississippi WL BT the NBC affiliate Mississippi WL BT the NBC affiliate
nabs an interview with the fallen CEO nabs an interview with the fallen CEO nabs an interview with the fallen CEO
Ebbers is asked about the 408 million he Ebbers is asked about the 408 million he Ebbers is asked about the 408 million he
owes WorldCom that will be paid back 100 owes WorldCom that will be paid back 100 owes WorldCom that will be paid back 100
percent plus interest will be paid back percent plus interest will be paid back percent plus interest will be paid back
what are you say to the person who had what are you say to the person who had what are you say to the person who had
faith in you a long time ago when you faith in you a long time ago when you faith in you a long time ago when you
were LDDS and invested in your stock were LDDS and invested in your stock were LDDS and invested in your stock
went up to what over 80 at one point and went up to what over 80 at one point and went up to what over 80 at one point and
and all of a sudden it's - and they're and all of a sudden it's - and they're and all of a sudden it's - and they're
they're left all in the bag what do you they're left all in the bag what do you they're left all in the bag what do you
say to that that person well you tell me say to that that person well you tell me say to that that person well you tell me
what do I say I feel like crying I it's what do I say I feel like crying I it's what do I say I feel like crying I it's
terrible it's sad but I guess I would terrible it's sad but I guess I would terrible it's sad but I guess I would
say is if at all possible hang on I can say is if at all possible hang on I can say is if at all possible hang on I can
tell you if I had spare money I'd be tell you if I had spare money I'd be tell you if I had spare money I'd be
buying buying buying
today thought by absolute $2 and today thought by absolute $2 and today thought by absolute $2 and
whatever absolutely you could really whatever absolutely you could really whatever absolutely you could really
make some real money Ebbers is a pitchman make some real money Ebbers is a pitchman make some real money Ebbers is a pitchman
to the very end but WorldCom hasn't hit to the very end but WorldCom hasn't hit to the very end but WorldCom hasn't hit
rock bottom yet rock bottom yet rock bottom yet
an American greed returns this man blows an American greed returns this man blows an American greed returns this man blows
the cover of an 11 billion dollar the cover of an 11 billion dollar the cover of an 11 billion dollar
accounting fraud I think that day was accounting fraud I think that day was accounting fraud I think that day was
really when the house of cards began to really when the house of cards began to really when the house of cards began to
fall fall fall
[Music] WorldCom the telecom giant has seen WorldCom the telecom giant has seen
better days the CEO Bernie Ebbers has better days the CEO Bernie Ebbers has better days the CEO Bernie Ebbers has
been sacked he's nearly half a billion been sacked he's nearly half a billion been sacked he's nearly half a billion
dollars in debt and world Stock is in dollars in debt and WorldCom stock is in dollars in debt and WorldCom stock is in
a freefall a freefall a freefall
we rode it all the way down to the $2 we rode it all the way down to the $2 we rode it all the way down to the $2
range I had it my mind if it could go range I had it my mind if it could go range I had it my mind if it could go
back to five we could cash out the back to five we could cash out the back to five we could cash out the
breakeven and of course it never did breakeven and of course it never did breakeven and of course it never did
came worthless investors like Sam Owens came worthless investors like Sam Owens came worthless investors like Sam Owens
and even WorldCom employees are and even WorldCom employees are and even Worldom employees are
beginning to wonder if the company is a beginning to wonder if the company is a beginning to wonder if the company is a
fraud part of being a good auditor is fraud part of being a good auditor is fraud part of being a good auditor is
what's called professional skepticism what's called professional skepticism what's called professional skepticism
Glenn Smith is an internal auditor for Glenn Smith is an internal auditor for Glenn Smith is an internal auditor for
WorldCom someone from management can WorldCom someone from management can WorldCom someone from management can
tell you one thing and as an auditor tell you one thing and as an auditor tell you one thing and as an auditor
you're obligated to be somewhat you're obligated to be somewhat you're obligated to be somewhat
skeptical about that in the spring of skeptical about that in the spring of skeptical about that in the spring of
2002 Smith and two colleagues see 2002 Smith and two colleagues see 2002 Smith and two colleagues see
something highly unusual in WorldCom's something highly unusual in WorldCom's something highly unusual in WorldCom's
accounting what they see could be the accounting what they see could be the accounting what they see could be the
death knell for world commerce the death knell for WorldCom the death knell for WorldCom the
company's leases for phone lines are company's leases for phone lines are company's leases for phone lines are
booked as a capital expense when you booked as a capital expense when you booked as a capital expense when you
capitalize something you recognize the capitalize something you recognize the capitalize something you recognize the
expense over a much longer period of expense over a much longer period of expense over a much longer period of
time ordinarily these leases are booked time ordinarily these leases are booked time ordinarily these leases are booked
as an operating expense an expense that as an operating expense an expense that as an operating expense an expense that
would lessen the company's income every would lessen the company's income every would lessen the company's income every
month will come sleight of hand is month will come sleight of hand is month will come sleight of hand is
making the company appear much healthier making the company appear much healthier making the company appear much healthier
than it really is than it really is than it really is
whereas before we would expense the cost whereas before we would expense the cost whereas before we would expense the cost
of those lines on a monthly basis all of of those lines on a monthly basis all of of those lines on a monthly basis all of
a sudden we're taking those costs we're a sudden we're taking those costs we're a sudden we're taking those costs we're
moving them to the balance sheet and moving them to the balance sheet and moving them to the balance sheet and
we're expensing them over a seven ten we're expensing them over a seven ten we're expensing them over a seven ten
fifteen year period instead so as a fifteen year period instead so as a fifteen year period instead so as a
result of that what happens your result of that what happens your result of that what happens your
expenses in a given period or fewer your expenses in a given period or fewer your expenses in a given period or fewer your
net incomes greater in this case smith net incomes greater in this case smith net incomes greater in this case smith
discovers WorldCom is overstated its discovers WorldCom is overstated its discovers WorldCom is overstated its
profits by a staggering 3.8 billion profits by a staggering 3.8 billion profits by a staggering 3.8 billion
dollars dollars dollars
Smith confronts WorldCom's chief Smith confronts WorldCom's chief Smith confronts WorldCom's chief
financial officer scott sullivan about financial officer scott sullivan about financial officer scott sullivan about
the entries sullivan tries to defend his the entries sullivan tries to defend his the entries sullivan tries to defend his
accounting as a way to save WorldCom accounting as a way to save WorldCom accounting as a way to save WorldCom
well I think that day was really when well I think that day was really when well I think that day was really when
the house of cards began to fall let's the house of cards began to fall let's the house of cards began to fall let's
head to the news desk where on June 25th head to the news desk where on June 25th head to the news desk where on June 25th
2002 world comes board goes public with 2002 WorldCom’s board goes public with 2002 WorldCom’s board goes public with
the investigation there is big trouble the investigation there is big trouble the investigation there is big trouble
this morning for the nation's second this morning for the nation's second this morning for the nation's second
biggest long distance provider biggest long distance provider biggest long distance provider
WorldCom said last night that an WorldCom said last night that an WorldCom said last night that an
internal investigation has uncovered internal investigation has uncovered internal investigation has uncovered
massive accounting fraud almost four massive accounting fraud almost four massive accounting fraud almost four
billion dollars in disguise expenses in billion dollars in disguise expenses in billion dollars in disguise expenses in
what could become one of the biggest what could become one of the biggest what could become one of the biggest
accounting scandals in US history will accounting scandals in US history will accounting scandals in US history will
comes board fire CFO Scott Sullivan but comes board fire CFO Scott Sullivan but comes board fire CFO Scott Sullivan but
the big question on everyone's mind is the big question on everyone's mind is the big question on everyone's mind is
what did Bernie Ebbers know the Justice what did Bernie Ebbers know the Justice what did Bernie Ebbers know the Justice
Department launches an investigation Department launches an investigation Department launches an investigation
what they discover will cause the what they discover will cause the what they discover will cause the
biggest bankruptcy in US history biggest bankruptcy in US history biggest bankruptcy in US history
additional WorldCom audits placed the additional WorldCom audits placed the additional WorldCom audits placed the
total accounting fraud at eleven billion total accounting fraud at eleven billion total accounting fraud at eleven billion
dollars this far tonight from the March dollars this far tonight from the March dollars this far tonight from the March
24th 2004 the feds filed criminal 24th 2004 the feds filed criminal 24th 2004 the feds filed criminal
charges charges charges
WorldCom the company's former CEO Bernie WorldCom the company's former CEO Bernie WorldCom the company's former CEO Bernie
Ebbers was charged today with falsely Ebbers was charged today with falsely Ebbers was charged today with falsely
inflating earnings at the long-distance inflating earnings at the long-distance inflating earnings at the long-distance
phone company to the tune of eleven phone company to the tune of eleven phone company to the tune of eleven
billion dollars WorldCom's former chief billion dollars WorldCom's former chief billion dollars WorldCom's former chief
financial officer scott sullivan agreed financial officer scott sullivan agreed financial officer scott sullivan agreed
today to plead guilty to the same today to plead guilty to the same today to plead guilty to the same
charges and cooperate with prosecutors charges and cooperate with prosecutors charges and cooperate with prosecutors
in January of 2005 Bernie ever stands in January of 2005 Bernie Ebbers stands in January of 2005 Bernie Ebbers stands
trial in lower Manhattan in opening trial in lower Manhattan in opening trial in lower Manhattan in opening
arguments prosecutors say Bernie Ebbers arguments prosecutors say Bernie Ebbers arguments prosecutors say Bernie Ebbers
was motivated by greed his wealth was was motivated by greed his wealth was was motivated by greed his wealth was
all tied up in WorldCom stock when the all tied up in WorldCom stock when the all tied up in WorldCom stock when the
stock started to tumble the authorized stock started to tumble the authorized stock started to tumble the authorized
and accounting fraud to help prop up the and accounting fraud to help prop up the and accounting fraud to help prop up the
company KEY TO the prosecution's case is company KEY TO the prosecution's case is company KEY TO the prosecution's case is
the testimony of chief financial officer the testimony of chief financial officer the testimony of chief financial officer
Scott Sullivan Scott Sullivan said that Scott Sullivan Scott Sullivan said that Scott Sullivan Scott Sullivan said that
Bernie Ebbers told him to hit the numbers Bernie Ebbers told him to hit the numbers Bernie Ebbers told him to hit the numbers
so he went ahead and he found a way to so he went ahead and he found a way to so he went ahead and he found a way to
meet those numbers the former CFO says meet those numbers the former CFO says meet those numbers the former CFO says
that in a series of one-on-one meetings that in a series of one-on-one meetings that in a series of one-on-one meetings
he and Bernie Ebbers discussed ways to he and Bernie Ebbers discussed ways to he and Bernie Ebbers discussed ways to
inflate WorldCom inflate WorldCom inflate WorldCom
profits and that bernie Ebbers knew full profits and that bernie Ebbers knew full profits and that bernie Ebbers knew full
well what was going on and encouraged well what was going on and encouraged well what was going on and encouraged
him to keep doing what he was doing and him to keep doing what he was doing and him to keep doing what he was doing and
that Bernie Ebbers was very much a that Bernie Ebbers was very much a that Bernie Ebbers was very much a
detailed guy and had to know what Scott detailed guy and had to know what Scott detailed guy and had to know what Scott
Sullivan was doing Bernie Ebbers was Sullivan was doing Bernie Ebbers was Sullivan was doing Bernie Ebbers was
looking at everything down to the price looking at everything down to the price looking at everything down to the price
that they were paying for coffee yes he that they were paying for coffee yes he that they were paying for coffee yes he
knew about the coffee Reed Weingarten is knew about the coffee Reed Weingarten is knew about the coffee Reed Weingarten is
Ebbers defense attorney and he did have Ebbers defense attorney and he did have Ebbers defense attorney and he did have
these idiosyncrasies and yes he was these idiosyncrasies and yes he was these idiosyncrasies and yes he was
hands-on in many respects and yes he hands-on in many respects and yes he hands-on in many respects and yes he
knew every minute of telephone time that knew every minute of telephone time that knew every minute of telephone time that
was sold by welcome not disputed was sold by welcome not disputed was sold by welcome not disputed
stipulated but that doesn't mean he had stipulated but that doesn't mean he had stipulated but that doesn't mean he had
a clue about the technology or that he a clue about the technology or that he a clue about the technology or that he
had any idea about how the accounting had any idea about how the accounting had any idea about how the accounting
worked he had vision he had charisma but worked he had vision he had charisma but worked he had vision he had charisma but
he no doubt he didn't appreciate the he no doubt he didn't appreciate the he no doubt he didn't appreciate the
sophistication of either the technology sophistication of either the technology sophistication of either the technology
or the accounting so we have to defer or the accounting so we have to defer or the accounting so we have to defer
and indeed he deferred to his accounting and indeed he deferred to his accounting and indeed he deferred to his accounting
department and they messed up it was department and they messed up it was department and they messed up it was
derided by the prosecutors as the aw derided by the prosecutors as the aw derided by the prosecutors as the aw
shucks defense he he couldn't have known shucks defense he he couldn't have known shucks defense he he couldn't have known
what was going on he was the salesman he what was going on he was the salesman he what was going on he was the salesman he
was the cheerleader he was building this was the cheerleader he was building this was the cheerleader he was building this
company he wasn't paying close attention company he wasn't paying close attention company he wasn't paying close attention
to all the numbers ever seems upbeat he to all the numbers Ebbers seems upbeat he to all the numbersE bbers seems upbeat he
jokes with the media and even as the jokes with the media and even as the jokes with the media and even as the
cameraman for a cigar whatever's jovial cameraman for a cigar whatever's jovial cameraman for a cigar whatever's jovial
mood is about to change on March 15 2005 the jury has a decision on March 15 2005 the jury has a decision
the verdict the verdict the verdict
Bernie Ebbers is guilty of conspiracy and Bernie Ebbers is guilty of conspiracy and Bernie Ebbers is guilty of conspiracy and
securities fraud he seems a little misty securities fraud he seems a little misty securities fraud he seems a little misty
as he came out of the courtroom as he came out of the courtroom as he came out of the courtroom
you know this clearly was was a blow you know this clearly was was a blow you know this clearly was was a blow
this was a you know a total turnaround this was a you know a total turnaround this was a you know a total turnaround
for someone who would was at the for someone who would was at the for someone who would was at the
pinnacle of corporate America he was pinnacle of corporate America he was pinnacle of corporate America he was
sentenced to 25 years in federal prison sentenced to 25 years in federal prison sentenced to 25 years in federal prison
one of the longest sentences for one of the longest sentences for one of the longest sentences for
white-collar crime in US history white-collar crime in US history white-collar crime in US history
it was the only time in my experience in it was the only time in my experience in it was the only time in my experience in
court where something happened in court court where something happened in court court where something happened in court
where I was so upset and so stunned that where I was so upset and so stunned that where I was so upset and so stunned that
I couldn't react you know Bernie's a man I couldn't react you know Bernie's a man I couldn't react you know Bernie's a man
in his 60s late 60s has a volatile heart in his 60s late 60s has a volatile heart in his 60s late 60s has a volatile heart
condition and had the judge given him condition and had the judge given him condition and had the judge given him
six or seven years that would have been six or seven years that would have been six or seven years that would have been
in effect a life sentence I concluded in effect a life sentence I concluded in effect a life sentence I concluded
upon much reflection that the sense upon much reflection that the sense upon much reflection that the sense
really didn't have anything to do with really didn't have anything to do with really didn't have anything to do with
him it had everything to do with sort of him it had everything to do with sort of him it had everything to do with sort of
sending a signal bla bla bla bla bla yes sending a signal bla bla bla bla bla yes sending a signal bla bla bla bla bla yes
it's important to send messages but this it's important to send messages but this it's important to send messages but this
is a human being and he should have been is a human being and he should have been is a human being and he should have been
sentenced based upon his own conduct and sentenced based upon his own conduct and sentenced based upon his own conduct and
and how he is how old he is and what's and how he is how old he is and what's and how he is how old he is and what's
the rest of his life going to be about the rest of his life going to be about the rest of his life going to be about
he's free on bail until the summer of he's free on bail until the summer of he's free on bail until the summer of
2006 in August of that year 2006 in August of that year 2006 in August of that year
Ebbers drives himself to the Oakdale Ebbers drives himself to the Oakdale Ebbers drives himself to the Oakdale
federal prison in Louisiana Ebbers then federal prison in Louisiana Ebbers then federal prison in Louisiana Ebbers then
steps out of his white Mercedes and into steps out of his white Mercedes and into steps out of his white Mercedes and into
a prison uniform you know on a one level a prison uniform you know on a one level a prison uniform you know on a one level
it's tragic you have a man who's gonna it's tragic you have a man who's gonna it's tragic you have a man who's gonna
die in prison a proud man who was once die in prison a proud man who was once die in prison a proud man who was once
on top of the world but my sympathies on top of the world but my sympathies on top of the world but my sympathies
lie with the victims Shawn Coffey lie with the victims Shawn Coffey lie with the victims Shawn Coffey
represents thousands of defrauded represents thousands of defrauded represents thousands of defrauded
investors of WorldCom collectively they investors of WorldCom collectively they investors of WorldCom collectively they
lost a total of thirty billion dollars lost a total of thirty billion dollars lost a total of thirty billion dollars
I don't think white-collar criminals I don't think white-collar criminals I don't think white-collar criminals
should be treated more gingerly just should be treated more gingerly just should be treated more gingerly just
because they were a suit to work I mean because they were a suit to work I mean because they were a suit to work I mean
mr. Ebbers was able to do a lot of damage mr. Ebbers was able to do a lot of damage mr. Ebbers was able to do a lot of damage
and so I think the sentence was and so I think the sentence was and so I think the sentence was
appropriate appropriate appropriate
I got great satisfaction out of seeing I got great satisfaction out of seeing I got great satisfaction out of seeing
Bernie convicted insurance salesman Sam Bernie convicted insurance salesman Sam Bernie convicted insurance salesman Sam
Owens lost $100,000 investing in Owens lost $100,000 investing in Owens lost $100,000 investing in
WorldCom and he has little sympathy for WorldCom and he has little sympathy for WorldCom and he has little sympathy for
Bernie Ebbers he can't get enough Bernie Ebbers he can't get enough Bernie Ebbers he can't get enough
punishment to suit tonight punishment to suit me punishment to suit me
Shawn Coffey later settles a record six Shawn Coffey later settles a record six Shawn Coffey later settles a record six
billion dollars suit against world come billion dollars suit against WorldCom billion dollars suit against WorldCom
in several Wall Street banks more than in several Wall Street banks more than in several Wall Street banks more than
90 percent of that figure goes back to 90 percent of that figure goes back to 90 percent of that figure goes back to
investors but most received just pennies investors but most received just pennies investors but most received just pennies
on the dollar I thought about suing on the dollar I thought about suing on the dollar I thought about suing
myself and decided I'd be throwing good myself and decided I'd be throwing good myself and decided I'd be throwing good
money after bad and I've gotten maybe money after bad and I've gotten maybe money after bad and I've gotten maybe
2,500 or 3,000 dollars back 2,500 or 3,000 dollars back 2,500 or 3,000 dollars back
just a fraction of what we spend anyway just a fraction of what we spend anyway just a fraction of what we spend anyway
you look at it people that invest in the you look at it people that invest in the you look at it people that invest in the
stock were definitely you know victims stock were definitely you know victims stock were definitely you know victims
to a con game headed by Bernie Ebbers and to a con game headed by Bernie Ebbers and to a con game headed by Bernie Ebbers and
Scott so the man knows right from wrong Scott so the man knows right from wrong Scott so the man knows right from wrong
I don't think he set out the wrong but I don't think he set out the wrong but I don't think he set out the wrong but
he knows right from wrong and he heard a he knows right from wrong and he heard a he knows right from wrong and he heard a
lot of people coming up on American lot of people coming up on American lot of people coming up on American
greed greed greed
who doesn't want a piece of Hollywood at who doesn't want a piece of Hollywood at who doesn't want a piece of Hollywood at
just the cost of the dollar a share it just the cost of the dollar a share it
