Karl D. says call the Waaaaahmbulance for Jake.
Further, the firm gained the funds to promise and pay these bonuses over the years directly from the activity that proved to have generated false profits rather than real earnings.
That is, the money with which those bonuses were paid never really existed, but it sure was spent.
Whether this individual was personally involved in marketing and selling these financial destructive devices is not material. But for government support this person’s job would have ceased to exist in September. But for government support that job would not exist now.
More importantly, had this individual or any other many like him raised hell within the company and, had they not been heard, in public, this mess would have likely been aborted before it did the critical damage to our financial infrastructure that occurred and all that fake money that was handed out in bonuses wouldn’t have been.
In short, there is nothing that has been “lost” that was truly owed. The fruit of a poison tree is poisonous, irrespective of whether you personally watered the tree or not. If you ate it and didn’t die, you got off easy. Arguing that you should be able to obtain even more fruit, this time with an antidote provided prospectively, is an outrage.
I do not claim that this person had a duty to blow the whistle, as whether or not someone feels driven to do the right thing – that is, whether they are a moral person and exactly what moral means, is up to them. That’s a question that I will not presume to answer for someone else, although I know what my personal view of such transgressions in corporate America is, and I know that I personally will put my job on the line to stop abuses I believe are important – because I have.
No, my issue rests with playing the “whaaaaa” card when one does not raise the alarm, despite either actually knowing or constructive knowledge (that is, willful blindness) and then taking to the streets in this sort of fashion to whine, cry and complain.
Something rubbed me the wrong way about the editorial and Karl has helped me pinpoint it.
Desantis’ resignation op-ed is a good example of how producers are shrugging and will continue to shrug under this anti-Capitalist administration, but AIG as an organization deserves all the scorn that it gets.
The problem I see with this whole economic collapse is that you have corrupt financial institutions mixed with corrupt companies like AIG engaged in questionable practices directly under the nose of so-called regulators like Timmuh! In fact, Timmuh! was quite content to let it go on as head of the NY Treasury Dept. When everyone is getting rich, nobody complains! Just ask Rahm, who made $320K for a 14-month sleepover at Freddie Mac.
The left wants to blame the evil Capitalists, the right wants to blame the Federal Government. They’re both guilty and, pardon my Fronch, but they’re working in concert to fuck us in the nose. People need to understand that the corruption is systemic and realize that as long as the current laws are not enforced (and they show no signs of being enforced), the market is going to continue to tank and the Feds are going to continue to use this as an excuse to confiscate even more of our money and pass it on to corrupt entities that should be going out of business yesterday.
If there was still a regulatory entity out there that wasn’t on the take, then some of the corruption, naked shorting, CDS junk and pyramid scheme fraud might be getting rooted out and prosecuted. Do you see it happening? Yeah? Me, neither. People no longer trust the market, and with good reason.
Furthermore, that mistrust is not because socialism is the answer – FAR FROM IT – it’s because the Free Market has been poisoned by corruption on Wall Street and in Washington DC. Wall Street doesn’t care because they get their cash and Washington doesn’t care because they get their power, perks, payouts and pensions.
Capitalism is still the greatest economic engine ever known to man, when that engine is fueled by honest brokers.
On the flip side, you have some extremely dishonest brokers, such as George Soros, who is having a delightful crisis. Soros is greed personified and is one of the primary players behind President Hussein’s gaggle of confiscators.
George Soros, who predicted the global financial crisis twice before, was one of the few people to anticipate and prepare for the current economic collapse.
Mr Soros said his prediction meant he was better able to brace his Quantum investment fund against the gloabal storm.
And while the financial crisis continued to deepen across the globe, the 78-year-old still managed to make $1.1 billion last year.
‘It is, in a way, the culminating point of my lifeâ€™s work,’ he told national newspaper The Australian.
I suppose intentionally bringing down the Dollar is now considered patriotic. Can’t wait to see that on a bumper sticker next to “Co-exist” on the back of a Yugo.
All these con-artists are doing is delaying the reality of us having to take our economic medicine. The more it’s delayed the more bitter it’s going to taste. Nothing is “too big to fail” – even our precious, benevolent Federal Government. In fact, they fail every day they convene for business. Who knew that when they said they were “doing the people’s business” that this would devolve into just “doing the people.”