28 August 2003
Oklahoma v. WorldCom
Attorney General Drew Edmondson made it official last night: the state has filed suit against the bankrupt telecommunications firm and six of its officers, charging that The Company Formerly And Now Once Again Known As MCI faked stock and bond information, ultimately costing the state some $64 million in pension funding.
Edmondson thinks other states may follow Oklahoma's lead. Conviction on any of the 15 counts filed against each defendant could result in ten years' imprisonment and a $10,000 fine. A representative for former WorldCom CEO Bernie Ebbers pointed out that the Feds found no evidence on which they could charge Ebbers.
I think ultimately the state will reach a settlement with the company and the bankruptcy court, but for now, it's way too early to be sure.