EDITOR'S NOTE: See also Greg Palast's take on these memos, and Arnie's response when a voter took up the issue at a
political rally. THIS JUST IN! ARNOLD RESPONDS TO PALAST CHARGES IN "Arnold Unplugged - It's Hasta la Vista to $9 Billion if the
Governator is Selected"
NEWS RELEASE
The Foundation for Taxpayer and Consumer Rights
Oct 03, 2003
Enron E-mails Confirm Schwarzenegger-Ken Lay Meeting
Enron E-Mails Show Arnold Met With Ken Lay During Energy Crisis
Santa Monica, CA -- Internal Enron e-mails confirm that Arnold Schwarzenegger was among a small group of executives who
met with Lay at the posh Peninsula Beverly Hills hotel in May of 2001, in the midst of California's energy crisis. The
Foundation for Taxpayer and Consumer Rights, which obtained the e-mails, is calling on Schwarzenegger to acknowledge the
meetings and disclose the information that was presented and discussed. The meeting with Enron occurred ten days after
rolling blackouts darkened California for two consecutive days; Schwarzenegger has previously said that he does not
remember such a meeting.
"You don't meet with America's most well-known corporate crook in the middle of California's biggest financial disaster
and not remember," said FTCR's senior consumer advocate Douglas Heller. "Mr. Schwarzenegger should come clean about what
happened at that meeting and if he shares Ken Lay's views on energy regulation."
The documents provide a list of invitees to the hastily arranged meeting and a list of those who actually attended. Only
eleven of the 45 invitees attended, including Schwarzenegger. The meeting was meant to be an opportunity to gain
business community support for Enron's "comprehensive solution" to the energy crisis. In one e-mail, Enron's VP of
Public Relations wrote: "We'd like to position this meeting as an insider's conversation of what's going on with the
energy situation. This meeting should be for principals only." (emphasis in original)
FTCR contends that Enron policies were responsible for the severe energy crisis California faced in 2000 and 2001. The
group noted that the crisis had dramatic implications on the state economy and state budget and will continue to impact
consumers for years to come. FTCR has called for a repeal of the deregulation and supported SB 888 (Dunn) to re-regulate
the state's electricity system. FTCR has been critical of Enron's involvement in the California energy crisis, in which
the company developed schemes for manipulating the power market that forced massive price spikes in the state.
"Since it was apparently important enough for Schwarzenegger to attend despite the last minute notice, Schwarzenegger
should now explain what happened at his meeting with Enron's Ken Lay and whether or not he supports electricity
re-regulation," said Heller.
VIEW THE EMAILS IN PDF FORMAT HERE:
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FTCR is a non-partisan, nonprofit organization. FTCR does not support or oppose candidates for office and takes no
position on the California recall.