er being named to head WorldCom, he traveled to Ashburn, Va., home of the company's MCI subsidiary. While there, he vowed to move the headquarters for the entire company to Ashburn and announced the possibility of eliminating the WorldCom name in favor of MCI. Those statements were to soon come true. In April 2003, the company became known as MCI and relocated its headquarters from Clinton, Miss., to Ashburn. Within a month of completing its bankruptcy proceedings, MCI plans to issue about 300 million new shares at about $25 each. The shares will begin trading on the Nasdaq. Former CEO indicted After trying for more than two years to build a case, the federal government was finally able to indict former WorldCom CEO Bernard Ebbers in March 2004 on charges stemming from the multibillion dollar accounting scandal at the telecommunications giant. Ebbers was charged with securities fraud, conspiracy to commit securities fraud and making false filings to regulators. Scott Sullivan, WorldCom's former chief financial officer, who had vowed to fight charges against him, had a change of heart; he pleaded guilty to three charges and agreed to cooperate in the case against Ebbers. The SEC continues to conduct its own civil investigation into WorldCom and more charges or complaints may be filed in the case. According to the indictment, Ebbers and Sullivan used illegal accounting moves to inflate earnings. The two chose to lie to investors and regulators rather than admit Visit Vault at www.vault.com for insider company profiles, expert advice, VAULT CAREER career message boards, expert resume reviews, the Vault Job Board and more. LIBRARY Vault Guide to the Top Telecom Employers MCI, Inc. they had missed growth projections. Given the huge amount of debt the company had accumulated - more than $40 billion - a sharp slowdown in growth would have signaled to Wall Street that the company was in serious trouble. A corporate scandal to end to all corporate scandals Two months after Ebbers' April 2002 resignation, WorldCom announce