Houston – Prosecutors described Enron Corp. founder Ken Lay as a sophisticated, hands-on investor who wanted to pry loans from banks so he could buy stock even though he knew federal rules prohibited him from using the money for that purpose.
But Lay’s lawyer, in closing arguments Tuesday at Lay’s bank-fraud trial, insisted he had no intention to defraud or mislead bankers eager to get his business and wasn’t aware of the regulations because he was more focused on the big picture of running Enron and not closely managing his own personal finances.
The three-day case went to U.S. District Judge Sim Lake, who heard it without a jury.
Lake will not release his verdict until a jury finishes its deliberations in the main case involving Lay and former Enron chief executive Jeff Skilling. The jury in that case, where Lay faces six charges and Skilling 28, including illegal insider trading, deliberated Tuesday for a fourth day.
“This is a case not about regulations but about lies to banks,” prosecutor Robb Adkins said in closing arguments in the bank- fraud case.
