Fraud's Feeding Frenzy
In the first decade of this century, the ongoing “feeding frenzy” of corporate fraud proves that we fail to learn from history. Respected and trusted corporate executives have been revealed to be morally corrupt fraudsters. They became rogue employees: too busy stealing from the corporate “piggy bank” to think of the consequences for their employees, shareholders, customers, or themselves. Corporate powerhouses such as Enron and WorldCom and their executives were swept up in fraudulent financial accounting and a multitude of other frauds. The government reacted strongly in response to the public outcry after billions of dollars in investments evaporated. The President promoted the need for corporate responsibility and promised to arrest any corporate executive with a hand in the corporate coffers. Some indicted CEOs tried to use the “Chutzpah Defense,” claiming they were deaf, dumb, and blind when the frauds were going on at their companies. The outcome has been indictments, followed by “perp walks” as well as convictions, and a change in how the government views corporate fraud prevention. Yet, fraud still rears its ugly head.
FRAUD'S FEEDING FRENZY STILL GOING STRONG
In the late 1980s, a federal agent investigated a $95 million swindle in New York City involving mail fraud, bank fraud, money laundering, and a host of other crimes. He and his team made arrest after arrest of the many fraudsters involved in this massive scheme. ...