1. Even if Fastow did not believe what he was doing was illegal, how did his activities qualify as accounting fraud?
2. If Fastow’s claim that he received approval from accountants, lawyers, and directors for his financial structures is true, does this make him less liable for the fraud? Why or why not?
3. Why do you think Fastow believes companies today are engaging in accounting and financial manipulation that is worse than Enron’s?

Andrew Fastow was the CFO of Enron responsible for hiding debt using financial structures he designed, including off-balance sheet partnerships. These structures misled investors about Enron’s true financial situation. Fastow spent five years in prison for his role in the fraud. While he currently works at a law firm as a document review clerk, Fastow often gives free lectures to business schools such as the Leeds School of Business at the University of Colorado–Boulder. Fastow maintains that while he did not embezzle or engage in insider trading, he did commit fraud by making Enron’s financials look better than they really were—despite approval from company lawyers, accountants, and directors. Fastow also believes companies today are engaging in activities “10 times worse” than what Enron did, pointing out the continued use of off-balance sheet entities and unrealistically high estimates for future cash flows.