History is the best indicator of the future...
A while back, I asked an investigative journalist to describe how he began his investigations. He answered that he asked himself two questions.
"What's here that shouldn't be here?"
And, "What's not here that should be here?"
Google: Patrick Wood, III ENRON and note 257,000 results
Editor's note: I have below underlined, capitalized, and changed font to add clarity to the subject, ENRON.
TRADING TRUTH: A REPORT ON HARVARD’S ENRON ENTANGLEMENTS
A HARVARD WATCH REPORT
January 31, 2002
“HarvardWatch is a broad-based coalition of students and alumni across the University’s schools concerned with corporate governance at Harvard. The independent and unaffiliated organization advocates a more transparent and accountable administration responsive to the concerns of Harvard students, alumni, and staff…”
Quote from this Report:
“Six of Enron’s highest-ranking executives and directors are Harvard graduates, as are all three members of Enron’s Special Committee, which has been charged with leading the company through its current crisis. The prevalence of Harvard alumni in the Enron drama might be dismissed as coincidence were it not for a web of alarming institutional, personal and financial connections between Harvard and Enron…”
Who's not here who should be here?
Page 16 of 23 in the REPORT begins the Appendix “relevant biographical information” (18 are listed as Harvard affiliated with connections to ENRON; while Patrick Wood, III is not listed). Yet, Patrick Wood, III is Harvard Law JD 1986-1989 "But Wood has always been Enron’s man."
And, ENRON CEO Ken Lay endorsed Pat Wood as TX PUC Chair and as Chairman of FERC
‘How Enron Did Texas’
“Enron, maker of big promises and big donations, stands revealed as a four-flusher.”
February 14, 2002
A longtime supporter of the Bush clan, Lay was considered for a Cabinet post during the first Bush presidency. He then became a close adviser to W. and a key source of funds: $146,500 from Enron PACs and executives in the 1994 campaign. After Bush eked out a narrow win over Richards, the new governor gave the company a fundamental component of its Texas strategy in one of his first appointments: Public Utility Commissioner Pat Wood, a deregulator’s dream.
A Harvard law graduate from Port Arthur, Texas, Wood began his public career on the staff of the Federal Energy Regulatory Commission, which was in the process of deregulating natural gas sales. Eyebrows were raised when Wood returned to Washington last summer, this time as Bush’s choice to head the FERC, because of revelations that Ken Lay himself had vetted the list of candidates and given Wood his approval. But Wood has always been Enron’s man. According to a report by Lowell Bergman in the New York Times, Lay endorsed Wood, just 32 at the time, for the PUC job in a letter to Bush in 1994. After four months on the commission, Bush made Wood the chairman, the most powerful regulatory position in the state. In an interview with the Houston Chronicle last year, Wood said that his orders from Bush were clear: “Get us to a market,” Bush told him.
By all accounts, Wood did not need any convincing. From the outset, the chairman’s pronouncements about the desirability of competition sounded strikingly similar to Enron’s growing public relations effort. “Pat Wood was Enron’s favorite PUC commissioner,” Woodson said. “He started the dereg process and really put the ball in motion for them. They were the biggest player politically and financially in the dereg movement, and Pat was with them every step of the way.” Wood has earned praise from some public interest lobbyists, like Public Citizen’s Tom Smith, for being amenable to their concerns. But even his supporters agree that competition always came first with Wood, before any other consideration. “They’ve got religion” became a common refrain about the PUC under Wood..."
Fraud Traced to the White House
How California’s energy scam was inextricably
linked to a war for oil scheme
By Katherine Yurica
James Baker was uniquely situated to fulfill Cheney’s commission, for among the many hats he wears, he is legal counsel to the Carlyle Group, one of the nation’s largest defense investment firms whose board consists of former high level government officials, including George Bush senior. Baker was also the “hired gun” for George W. Bush’s campaign in Florida, along with Karl Rove. But among the hats he wears, none is more valuable than his ability to become invisible and leave no fingerprints behind. James Baker courts the press and is hailed a statesman; he also serves as the honorary chairman of the James Baker III Institute for Public Policy at Rice University, a think tank that was involved in aiding the George W. Bush presidential transition teams.
Equally intriguing is the fact that Baker has ties with both the Bushes and Ken Lay. Years earlier, in 1993, after Baker stepped down from his stint as Secretary of State, he and Robert A. Mosbacher—Bush senior’s commerce secretary—signed a joint consulting and investing agreement with Enron. The two men began a lucrative career making joint global investments with Enron on natural gas projects. Baker Botts LLC, James Baker’s law firm, flourished in its specialty of international oil and gas counseling.
Since Baker walked in their circles, when he set out to select an energy team to advise the White House, he filled it with leaders of the oil, gas, and power industries. Three appointees stand out: Kenneth Lay from Enron, who was working on the Bush Energy Transition team under Dick Cheney at the time; Chuck Watson, the then Chairman and CEO of Houston’s Dynegy Inc., and Dynegy’s General Counsel and Secretary, Kenneth Randolf. Both firms were deeply involved in illegally manipulating the California energy market at the time and eventually faced criminal investigations.
NOTE Below: DYNERY and Baker Botts, LLC and Patrick Wood, III:
Chairman of the Board of Dynergy Patrick Wood III
Patrick Wood Chairman of the Board
Held current title since: 2012
Director since: 2012
Officer since: 2012
Mr. Patrick Wood, III, is appointed as the Chairman of the Board of Dynegy Inc. He is serving as the Board's non-executive Chairman and has served as a principal of Wood3 Resources, an energy infrastructure developer, since July 2005. From 2001 until July 2005, Mr. Wood served as chairman of the Federal Energy Regulatory Commission. From 1995 until 2001, he chaired the Public Utility Commission of Texas. Prior to 1995, Mr. Wood was an attorney with Baker & Botts, a global law firm, and an associate project engineer with Arco Indonesia, an oil and gas company, in Jakarta. Mr. Wood currently also serves on the Boards of Directors of Quanta Services Inc. and SunPower Corp.
First Wind Director Patrick Wood III is listed as Director of Quanta Services that in 2014 fell under SEC investigation related to the Foreign Corrupt Practices Act. “On March 10, 2014, the SEC notified Quanta of an inquiry into certain aspects of Quanta's activities in certain foreign jurisdictions, including South Africa and the United Arab Emirates. The SEC also requested that Quanta take necessary steps to preserve and retain categories of relevant documents, including those pertaining to Quanta's U.S. Foreign Corrupt Practices Act compliance program. The SEC has not alleged any violations of law by Quanta or its employees. Quanta has complied with the preservation request and is cooperating with the SEC.”
Patrick Wood III serve(d?) as Director (part-owner) of bankrupt SunPower ($1.5 bn.); bankrupt Range Fuels ($80 mil., also reported $300 mil.); and bankrupt Xtreme Power (with at least $600,000 in stimulus grants).
The term “Regulatory capture” comes to mind. Pat Wood and First Wind Kurt Adams have each served as Chairman of their states’ Public Utility Commissions. The Maine PUC Chair who accepted First Wind stock options and a VP position is the subject of:
‘Revolving door the norm in D.C. but rare in Maine’
ME Center for Public Interest April 23, 2010
Patrick Wood, III (pdf)
Public Utility Commission of Texas
February 1995 – June 2001 (6 years 5 months)
Renewables & Environment industry
2001 – 2005 (4 years)
Government Agency; Government Administration industry
June 2001 – July 2005 (4 years 2 months)
Renewables & Environment industry
July 2005 – Present (6 years 3 months)
Energy Infrastructure Development.
Public Company; SPWR; Renewables & Environment industry
August 2005 – Present (6 years 2 months)
Public Company; PWR; Construction industry
May 2006 – Present (5 years 5 months)
Privately Held; Oil & Energy industry
May 2007 – Present (4 years 5 months)
Privately Held; Renewables & Environment industry
October 2008 – Present (3 years)
Privately Held; Renewables & Environment industry
January 2009 – Present (2 years 9 months)
Renewables & Environment industry
March 2010 – Present (1 year 7 months)
KEEPING AN EYE ON ENRON EXECS IN THE WIND BIZ TODAY-
APEX EVP of business development Steve Vavrik is also listed as Apex Clean Energy, Inc., Chief Commercial Officer. Vavrik was VP of First Wind, and Vice President of Risk Management for UPC in 2006 that changed its name to First Wind in 2008. Vavrik was with ENRON in London in a project development and gas trading capacity. His role at ENRON included trading natural gas forward contracts and negotiating structured power deals.
Vavrik is/was Chair Managing Director of SunPower Corp. Loss to investors, taxpayers, and ratepayers approaches $10 Billion dollars combining ENRON and SunPower losses
UPC First Wind President Michael Alvarez is responsible for First Wind operations and assets. After beginning his energy career with GE Capital, he joined ENRON in London.
DeepWATER WIND Board of managers
DeepWater Wind Board Member Brian Redmond is Founder of Paragon Energy Holdings, LLC; former President of Houston Pipe Line Company and President of Louisiana Resource Company, Managing Director of ENRON, and Executive Director of UBS Warburg Energy
is President of Kenetech Energy Systems (that formed EcoElectrica) .
EcoElectrica is a Bermuda limited partnership formed by affliates of KENETECH Energy Systems, Inc. (KES) and Enron Development Corporation (Enron). EcoElectrica’s general partners are KES Bermuda, Inc., and Buenergia, B.V., each which holds one percent interest. Ecoelectric’s limited partners are KES Puerto Rico, L.P. and Buenergia Enron de Puerto Rico, C.V., which are both indirect wholly-owned subsidiaries of KENETECH Corp., which also owns KES. Buenergia B.V. and Buenergia Enron de Puerto Rico, C.V. are both indirect wholly-owned subsidiaries of Enron Corporation, the Parent Company of Enron Development Corporation.
Mike Cutbirth is former head of Global Finance for Zond Corporation and ENRON Wind. He served 4 years as the first CEO of Clipper Windpower (bankrupt) formed by ENRON.
The first customer of the $40 million dollar, publicly-funded, Charlestown, MA Wind Turbine Testing Center was Clipper Wind, founded by ENRON Director James Dehlsen. Clipper Wind has since filed for bankruptcy protection. MA Wind Turbine Testing Center Executive Director Rahul Yarala is a staffer at MA Clean Energy Center (MassCEC), and the former Director of Engineering at Clipper Windpower, Inc., formed by ENRON.
CGEI Wind is jointly owned by Good Energies and Champlin Windpower, LLC and is lead by Mike Cutbirth. Mike was formerly head of Global Finance for Zond Corporation and ENRON Wind and served 4 years as the first CEO of Clipper Windpower.
ENRON Energy Services Chris Wissemann is Fishermen’s Energy Chief Executive Officer and General Manager of Freshwater Wind. Wissermann is Chief Operating Officer of Winergy Power, LLC and the Founder of DeepWater Wind, and past President of Garden State Offshore Energy. Wissermann spearheaded legislation to create long term power purchase agreements for DeepWater Wind which he founded.
*“Regulatory Capture” is a term attributed to Chicago School of Economics Professor George Joseph Stigler whose theory is that regulators eventually identify with and aspire to join the well-heeled people they regulate.
*Note the “Revolving Door” where the Executive Vice President and Chief Development Officer at First Wind, Kurt Adams, had served as Chairman of the Maine Public Utilities Commission and former Chief Legal Counsel for ME Governor Balducci. Adams, according to Naomi Schalit of the Maine Center for Public Interest Reporting, “…negotiated a pretty sweet deal for himself about a month before leaving the state's employ, with first-year compensation at the firm totaled $1.3 million, which included $315,000 in salary, $658,000 in stock, $29,000 in "other" compensation and $315,000 in "non-equity compensation." Source: ‘Revolving door the norm in D.C. but rare in Maine’ by the Editorial Board of the Sun Journal [4/23/10].
*In 2002, GE with CEO Jeffrey Immelt, spent $358 million to buy the assets of the bankrupt ENRON Corporation, Zond Wind, founded by James Dehlsen in 1980. Months later, GE petitioned the courts for the return of over half the money they spent on ENRON assets claiming the value of these assets wasn't worth the price GE paid. GE’s Immelt led President Obama’s Council on Jobs and Competitiveness.
INSIDER TRADING PATRICK WOOD, III