Feeds

Ebbers weeps as sentence handed down

25 years for $11bn WorldCom fraud

  • alert
  • submit to reddit

Internet Security Threat Report 2014

Bernie Ebbers wept in court as he was told he faced 25 years in chokey for orchestrating the world's biggest securities fraud at WorldCom.

The man behind the $11bn (£5.8bn) con that helped make WorldCom "become synonymous with fraud" was visibly shaken when the sentence was handed down yesterday, according to those in court.

For Ebbers, 63, the jail term means he could spend the rest of his life behind bars, reports the BBC.

He is due to start his prison sentence on October 12 at a federal jail in Yazoo City, Mississippi, which is near his home.

Handing down the sentence Judge Barbara Jones told the court: "A sentence of anything less would not reflect the seriousness of the crime."

In March, Bernard J Ebbers, the former chief exec of WorldCom (now renamed MCI), was found guilty of orchestrating the $11bn (£5.8bn) accounting fraud that led to the collapse of the US telecoms giant, the loss of 20,000 jobs and wiped out more than $100bn in stock value.

Not bad for a man who made much of his humble roots as an ex-milkman and basketball coach whose grasp of accounting and technology were limited.

Throughout the six week trial the former chief exec maintained he knew nothing of the book fiddling that brought the telecoms giant to its knees. Instead, he told the court he left all the financial matters to his bean counters.

The jury didn't agree. Following eight days of deliberation, the Manhattan federal jury returned guilty verdicts on charges of conspiracy, securities fraud, and seven counts of filing false reports.

Speaking yesterday Judge Jones said that Ebbers "was clearly a leader of criminal activity in this case". ®

Related stories

Ebbers jailed for 25 years
Ebbers faces jail for WorldCom fraud
Ebbers could face life for WorldCom fraud
Ebbers conviction - 'victory for individual responsibility'
Ebbers guilty on all counts
Ebbers guilty of WorldCom fraud
Ebbers was 'leader of the con'
Ebbers denies knowledge of WorldCom fraud
Ebbers recalls shock of discovering WorldCom fraud
Ebbers in the dark over accounting scandal - witness
Ebbers was 'intimidating' boss

Internet Security Threat Report 2014

More from The Register

next story
Brits: Google, can you scrape 60k pages from web, pleeease
Hey, c'mon Choc Factory, it's our 'right to be forgotten'
Of COURSE Stephen Elop's to blame for Nokia woes, says author
'Google did have some unique propositions for Nokia'
FCC, Google cast eye over millimetre wireless
The smaller the wave, the bigger 5G's chances of success
It's even GRIMMER up North after MEGA SKY BROADBAND OUTAGE
By 'eck! Eccles cake production thrown into jeopardy
Mobile coverage on trains really is pants
You thought it was just *insert your provider here*, but now we have numbers
Don't mess with Texas ('cos it's getting Google Fiber and you're not)
A bit late, but company says 1Gbps Austin network almost ready to compete with AT&T
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Cloud and hybrid-cloud data protection for VMware
Learn how quick and easy it is to configure backups and perform restores for VMware environments.
Three 1TB solid state scorchers up for grabs
Big SSDs can be expensive but think big and think free because you could be the lucky winner of one of three 1TB Samsung SSD 840 EVO drives that we’re giving away worth over £300 apiece.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.