Washington ? Reacting swiftly to the first indictment in the Enron bankruptcy, the government on Friday suspended Enron Corp. and its former accounting firm, Arthur Andersen, from entering into new federal contracts.

“To qualify as a responsible contractor, a company or individual must have a satisfactory record of integrity and business ethics,” the General Services Administration said.

Enron currently has some $35 million in contracts with several federal agencies. The GSA itself, which oversees many of the contracts for the rest of the government, is Enron’s biggest U.S. client. Several of Enron’s subsidiaries sell natural gas, electricity, chemicals and utility services to federal agencies.

Andersen’s current federal contracts are worth between $60 million and $90 million, according to GSA General Counsel Raymond McKenna. Its biggest federal client is the Pentagon. Others include the FBI and the Justice Department.

The two companies’ current contracts are not affected by the government suspension.