The state audit found extensive evidence of improper accounting and contracting procedures.

One woman at Enron warned the brass about improper accounting; another complained of document-shredding.

The improper accounting bolstered the company's net investment income by 4 percent over the period.

Instead, the memo said, the improper accounting remained on the books unless they were reversed in the United States.

The improper accounting included classifying operating expenses as capital investments so that their effect on profits could be spread out over many years.

Lawyers for both former executives have said that the improper accounting was not solely the responsibility of former management.

It said that improper accounting during that time had inflated the company's earnings by more than $4 billion.

Lawyers for the other two defendants said their clients were not accountants and knew of no improper accounting.

In 2003, however, Qwest revised its earnings for those years because of improper accounting.

The accusation apparently evolved from a previous charge of improper accounting at a subsidiary.