This Committee, I know, is already familiar with the Enron Special Investigative Committee Report [Powers Report], chaired by University of Texas Law School Dean William Powers. Let me not here revisit its fact finding. I would like, however, to augment one type of fact finding made by the Special Investigative Committee.

The Powers Report was critical of required public disclosure of the LJM partnerships which it characterized as systematically inadequate:⁽¹⁴⁾

In Note 16 to the Enron Corp. 2000 Form 10-K, related party transactions are described in these terms:

In 2000 and 1999, Enron entered into transactions with limited partnerships (the Related Party) whose general partner's managing member is a senior officer of Enron. The limited partners of the Related Party are unrelated to Enron. Management believes that the terms of the transactions with the Related Party were reasonable compared to those which could have been negotiated with unrelated third parties.