Message-ID: <27019098.1075861974537.JavaMail.evans@thyme> Date: Mon, 29 Oct 2001 14:23:46 -0800 (PST) From: cromwell@sullcrom.com To: legal <.taylor@enron.com> Subject: S&C Memo Re: SEC Issues Statement of Factors for Evaluating a Co mpany's Cooperation in Exercising Enforcement Discretion Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: SULLIVAN&CROMWELL@sullcrom.com@ENRON X-To: Taylor, Mark E (Legal) X-cc: X-bcc: X-Folder: \MTAYLO1 (Non-Privileged)\Taylor, Mark E (Legal)\Deleted Items X-Origin: Taylor-M X-FileName: MTAYLO1 (Non-Privileged).pst Re: SEC Issues Statement of Factors for Evaluating a Commpany's Cooperation in Exercising Enforcement Discretion Attached is a memorandum from Sullivan & Cromwell concerning the above subject. A summary is also included at the end of the text of this e-mail message. The attached file is in Adobe Acrobat format. We believe most PCs will already have an Acrobat viewer loaded; we can provide free copies if Acrobat is not already loaded, and free copies can also be downloaded from the Adobe Acrobat web site at www.adobe.com. To view or print the memo use your e-mail system's function for opening attachments in their native format. Hard copies can be obtained from Ivy Moreno at S&C in New York, telephone 212-558-3448, e-mail: Morenoi@sullcrom.com. SUMMARY On October 23, 2001, the Securities and Exchange Commission issued a statement setting forth a framework for evaluating whether, and to what extent, to credit a company for self-policing, self-reporting, remediation and cooperation. The SEC encourages companies to self-report potential violations of federal securities laws to the SEC by acknowledging that the SEC may credit a company's cooperation in deciding whether and how to take enforcement action. The elements of cooperation set forth by the SEC in its statement offer both significant rewards and risks to reporting companies. ---------------------------------- This e-mail is sent by a law firm and contains information that may be privileged and confidential. If you are not the intended recipient, please delete the e-mail and notify us immediately. - CLIMAIL.PDF