Direct examination:

Q: Why don't you tell the jury what Mr. Skilling said to you in that call in mid July 1999?

A: Yeah. Mr. Skilling told me that he decided to transfer my group out of RAC, back to the ECT, Enron Capital and Trade, and put me under the management of Greg Whalley.

Q: Did he tell you why?

A: Yes, he did.

Q: What did he say?

A: Well, he said that he received complaints about the work of my group. And specifically, the complaint was that my group acted more like cops, preventing people from executing transactions instead of helping them.

Q: So Mr. Skilling said he'd received complaints that you were acting more like cops than facilitating the completion of transactions?

A: That's correct.

Q: You were in-just so I can understand this correctly, you were in the risk analytics and control department; correct?

A: That's correct.

Q: Did you view your job as being a cop?

A: Our mandate was to make sure that Enron wasn't taking excessive, reckless risks.

Q: And, sir, can you tell the jury-can you tell the jury, sir, if, in fact, you were transferred?

A: I was transferred, correct.

Q: Were there any other transactions, sir, in this June, July 1999 time period that you and your group were recommending against doing, other than this Rhythms transaction with LJM?

A: None as far as I can remember. And I started an internal investigation to find out where we messed up, and I couldn't find any transaction where anybody would have complaints about our performance.

Q: Other than this one?

A: Other than this one....