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Enron files complaint against six of its former banks

Houston-based Enron last month filed a court complaint against six of its former banks, claiming they gave bad financial advice that contributed to its demise in late 2001. As a bankrupt company, Enron is required to try to recover as much as it can for its creditors.

The 280-page filing in the US bankruptcy court in New York alleges that certainbanks “bear substantial responsibility” by participating “witha small group of senior officers and managers of Enron in a multi-year schemeto manipulate and mis-state Enron’s financial condition”.

The banks in question are Citigroup, JP Morgan Chase, Merrill Lynch, DeutscheBank, Barclays and Canadian Imperial Bank

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