Report: Regulators digging deeper in Dynegy probe

A published report says the Securities and Exchange Commission is broadening its probe of energy giant Dynegy. <br> <br> The Wall Street Journal says regulators are looking at two pairs of big electric-power trades last fall. The Journal says the trades occurred at the same moment for the same price, canceling each other out, yet didn&#39;t provide profit for Dynegy or its trading partner. <br> <br> The report says the trades appear to have significantly boosted Dynegy&#39;s trading volume last year, apparently to help the company&#39;s position in the wake of then-rival Enron&#39;s downfall. <br> <br> In addition, the SEC is looking into one of Houston-based Dynegy&#39;s natural gas contracts, which provided an $80 million tax benefit in 2001 and resulted in about $300 million in net cash flow during 2001. <br> <br> Dynegy was informed Tuesday, that SEC staff will request a formal investigation.

http://accesswdun.com/article/2002/5/194918