Andersen Jurors End the Day Without a Verdict

Jurors in the Arthur Andersen criminal trial asked for case exhibits and sticky-tab memo notes Thursday before ending their first full day of deliberations without reaching a verdict.

The panel of nine men and three women, which heard 21 days of testimony in the obstruction-of-justice case, sent U.S. District Judge Melinda Harmon a series of notes, beginning with the request for memo notes and highlighter pens. The jurors also asked for two exhibits--a chronology of events drafted by Andersen and a binder of key documents used by prosecutors in their closing arguments.

The panel later asked for the testimony of former Andersen partner David B. Duncan, the lead auditor on the firm’s Enron Corp. account who pleaded guilty to obstruction.

Both prosecution and defense lawyers agreed the timeline display and binder could not be allowed into the jury room under court rules. But Harmon--over Andersen’s objection--decided to give the jury an index of the prosecution exhibits.

Harmon rejected the request for Duncan’s testimony, telling jurors that they could ask only specific questions or request portions.

Duncan, who is cooperating with the government, testified that he directed his team to comply with Andersen’s document-retention policy, which required the disposal of papers unnecessary for the final audit files.

Andersen contends that Duncan lacked the “corrupt” intent required for a conviction, pointing out that he could not name any specific items he intended to keep from the Securities and Exchange Commission.

Prosecutors say Andersen issued reminders about the document policy as a signal for executives to shred Enron-related documents.

A conviction carries a penalty of a $500,000 fine and probably would prompt the SEC to bar Andersen from auditing public companies. An acquittal would undermine the Justice Department’s Enron probe.

Andersen has been bleeding clients for months, however. Andersen’s global audit practice managing partner, C.E. Andrews, conceded late Wednesday that even with an acquittal the firm “can never regain what we were.”

The jury must reach a unanimous decision to render a verdict.