News
                
                
                                    
                            
    
                                    
            By Kadie Bye
                                    
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                                             April 15, 2002
    
                    
                
                                    
                         First came Enron, followed shortly thereafter by Arthur Andersen. Now it looks as though their allegedly shady business dealings have spurred a contagion effect throughout the business realm after lawyers representing the University of California added nine investment banks and two law firms to its suit last week.
 The securities fraud lawsuit contends that Enron executives could not have maintained the facade as a profitable energy giant without the help from outside financiers.
 "This fraud could not have been accomplished by a few corporate executives, no matter how dishonest or energetic they may have been," lead council William Lerach said in a statement.
 Filed on behalf of large investors, the first suit accuses the banks and law firms of amassing large fees and approving securities deals that hid Enron's corporate debt and inflated its profits.
 The second suit, on behalf of employees who lost the bulk of their retirement savings when Enron collapsed last year, added several investment banks to the lawsuit as well.
 Both suits name Merrill Lynch & Co., J.P.