Frontline Season 20 Episode 23 Bigger Than Enron

In season 20, episode 23 of Frontline titled "Bigger Than Enron", viewers are taken on a journey through the scandalous collapse of one of America's largest corporations, the energy giant, Enron. Through interviews with former executives, employees, and journalists, the show reveals how the company's executives used creative bookkeeping to hide billions of dollars in debt from shareholders and regulators.

The episode begins by setting the stage, showing how Enron rose to prominence through a company culture that rewarded risk-taking and innovation. However, behind the scenes, the company's leadership was manipulating the markets and enriching themselves at the expense of the company's employees and investors.

Frontline delves into the complicated web of partnerships and off-balance sheets that Enron used to hide debt and inflate earnings. These practices, known as mark-to-market accounting and special purpose entities, were not illegal at the time, but they allowed Enron to play fast and loose with its financial reporting.

As the episode progresses, Frontline reveals how Enron's collapse reverberated throughout the financial sector and the U.S. economy. The show explores how Enron's complicity in California's energy crisis in the early 2000s led to rolling blackouts, skyrocketing electricity prices, and even criminal investigations.

The show also delves into how Enron's bankruptcy led to a wave of corporate fraud scandals in the early 2000s, including at WorldCom and Tyco. These scandals led to a wave of regulatory reform, including the Sarbanes-Oxley Act of 2002, which aimed to increase transparency and accountability in corporate accounting.

Throughout the episode, Frontline presents a nuanced portrayal of the Enron scandal, highlighting both the company's hubris and greed but also the broader systemic issues that allowed such a scandal to occur. The show makes clear that Enron was not an isolated incident, but rather a symptom of a larger corporate culture that valued short-term gains and revenue growth over long-term stability and responsible governance.

Overall, Frontline's "Bigger Than Enron" is a must-watch for anyone interested in understanding how one of the biggest corporate scandals in American history came to be. It illuminates the darker side of corporate America, while also offering insights into the regulatory reforms that have been implemented in the wake of Enron's collapse.