Sunday, February 17, 2019
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HOUSTON, Texas (CNN) -- Enron security guards were stationed on the nineteenth and 20th floors of the clubs construction here Tuesday to proceed further shredding of documents, company lawyers state during a federal court hearing. Former executive Maureen Castaneda tell Monday employees were shredding documents as late as January 14, in spite of the companys December bankruptcy file that costs thousands of investors and employees their life savings. In the wake of the reports of continued shredding, Enron lawyers said the company allowed FBI agents in the building to interview employees and that guards had been posted round the clock to prevent more document destruction. Some 40 attorneys representing investors asked a judge to outrank federal marshals or an outside firms security guards in the Enron building to prevent shredding. The lawyers also asked the judge to take possession of all documents germane(predicate) to the investigation into the smash of the energy giant -- i ncluding boxes of rupture papers they said company executives ordered destroyed. It was also revealed in court that shredded documents were make up in a wastebasket, which was turned over to authorities. It is not clear who conducted the hunting in which the papers were discovered. Packing materials become evidenceMORE STORIES Shredding through and through history Ex-Enron exec Shredding went on after study began VIDEO/AUDIO Enron collapse hurts Houston charities Enron A tale of two meetings MORE STORIES Ex-Enron exec Shredding went on after probe began Lawyer who wrote document memo quizzed Terms set for sale of Enrons Indian plant Andersen blame game heats up EXTRA INFORMATION hunt down to the fall of Enron Bush administration ties Chapter 11 timeline RESOURCES In-Depth The end of Enron? Protect your 401(k) TIME.com deep down the scandal In Focus What happened? LEGAL RESOURCES Latest Legal intelligence agency Law Library FindLaw Consumer Center Select a topicBa nkruptcyDiscriminationDivorceEstate PlanningLandlord-TenantPersonal InjuryTaxes Castaneda said she took boxes of shredded paper home with her to use as packing material. She later effected the significance of the refuse. She recalled e-mails telling employees how to handle financial documents. "One said our insurance policy is not to destroy documents, given the threatening legal suits," she told CNN. "And thats what made me discover that I had more than just shreds." "It is an absolute smoking gun," said Castanedas attorney, capital of Minnesota Howes, referring to the shredded papers. Howes is with Milberg, Weiss, a San Diego-based firm that specializes in class action suits.
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