Two former Merrill Lynch executives were given lighter sentences by the court than sought by the prosecution.
James Brown, former head of the Merrill’s asset lease group, was given a sentence of three years and 10 months in prison and a year’s probation. Daniel Bayly, former head of investment banking for Merrill Lynch, obtained a sentence of 2½ years and six months’ probation. Each will have to pay the fines and restitution amounting to $840,000. This contrasts with 15 years for Bayly and up to 33 for Brown demanded by federal probation officers.
The two executives were charged with participation in a bogus scheme of barges to Merrill Lynch by Enron which was in effect just a loan. Both men admitted that the trial was a severe punishment for them.
"Since I was indicted, I have been branded a liar and a criminal; I could no longer make a living in my chosen profession," Brown said.
"This whole experience has been devastating to me," Bayly said.