Saturday, September 27, 2014

People vs. Government

1 comment:

  1. Holder Blocked for Wall Street

    The perpetrators of the financial crisis will not be held to account, according to a Bloomberg editorial.

    Attorney General Eric Holder, who plans to step down after more than five years in office, has efforts and achievements to be proud of, no doubt, but will probably be remembered above all for something he didn't do: prosecute top executives for their role in the 2008 financial crisis.

    Holder refused to prosecute top executives and boards of directors because prior prosecutions resulted in thousands of people losing their jobs and retirement, aka Enron/Arthur Anderson.

    Eric Holder's "Just Us" Department is one window into the world of horrific leadership on display in many elements in our society. Consider these words from a former regulator charged with ensuring the stability of our financial sector. They are in regard to behavior at Goldman Sachs and Federal Reserve oversight:

    A Goldman employee expressed the view that "once clients are wealthy enough certain consumer laws don't apply to them." After that meeting, Segarra turned to a fellow Fed regulator and said how surprised she was by that statement -- to which the regulator replied, "You didn't hear that."

    Another free pass. It gets better (Bloomberg):
    Leadership in our country seems focused on two things, having their way and image management. Having their way means laws can be discarded. Image management means thwarting or discrediting credible attempts to expose illegal behavior or hold leaders accountable.

    Obama's war on whistleblowers fits into the 100% image management meme, which brings back my discussion with the corporate attorney. I asked him: Are arrogant, dismissive, and image obsessed leaders more prevalent the higher one rises in an organization? He said absolutely. There's an occasional ethical person or two below the top, but that level is mostly "yes people," sycophants.

    self-seeking, servile flatterer; fawning parasite

    What happens next to Eric Holder? Certainly, the first steps will be work at a university or think tank. Will he eventually end up on Wall Street or in private equity, like so many ex-public servants? If so, his rewards will be great.

    Meanwhile, Valarie Jarrett will aid the search for Holder's replacement.