[FoRK] My sentiments exactly...
sdw at lig.net
Fri Jan 22 18:04:29 PST 2010
Ken Ganshirt @ Yahoo wrote:
> --- On Fri, 1/22/10, mdw at martinwills.com <mdw at martinwills.com> wrote:
>>> So it's a person, but with no punishment and no taxes.
>> Pure awesome.
>>> Adam L. Beberg
>> Not sure I can agree with your last statement... Exxon has paid in excess
>> of 4 Billion Dollars to clean up the Valdez and paying various other
>> fines and civil penalties.
> But what humans were punished in law or civily for that behaviour? The ship's captain got sacked but he was a scapegoat.
The ship's captain, who made the mistake, was a scapegoat? How so?
>> I also remember hearing
>> about Arthur Anderson being forced out of business because of the Enron
>> debacle and Enron's seniors officers being put in prison...
> Arthur Anderson were forced out of business .... well, not really; they were forced to rebrand (cf. Accenture) ... because they crapped in their own nest and nobody would hire them until they changed their name. Simply bad optics. I don't know if any individuals from AA were ever charged. I could look but I don't care.
> The Enron scandal, revealed in October 2001, eventually led to the
> bankruptcy of the Enron Corporation, an American energy company based
> in Houston, Texas, and the dissolution of Arthur Andersen, which was
> one of the five largest audit and accountancy partnerships in the
> world. In addition to being the largest bankruptcy reorganization in
> American history at that time, Enron undoubtedly is the biggest audit
Arthur Anderson was dissolved, directly or indirectly as a result of
begin charged with a felony.
The partners that wanted to formed Accenture to go back into business.
Everyone who worked at the company suffered from the stigma of having
worked at a criminal enterprise with extremely poor auditing practices.
But, later the Supreme Court overturned the conviction:
> The Supreme Court overturned the 2002 criminal conviction of Enron
> Corp.'s accounting firm yesterday, nullifying with a single stroke one
> of the government's biggest victories in the corporate scandals that
> climaxed the bull market of the 1990s.
> The court ruled unanimously that the Houston jury that found Arthur
> Andersen LLP guilty of obstruction of justice was given overly broad
> instructions by the federal judge who presided at the trial.
> The Chicago-based firm has a staff of only 200 left out of the 28,000
> people who once worked there.
> Enron's senior officers were charged individually with a variety of things. Too bad this doesn't happen more often. It should be, in my view, the default rather than the exception.
That's what Sarbox is all about.
> I was watching a business report last night in which Warren Buffet was quoted -- regarding situations like GM, Chrysler and the various financial institutions that required bailouts -- as saying that he believes the organizations should fail and the individuals in the C-suite of such failed organizations should be "crushed financially". Brought a smile to my lips. :)
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