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Key to the Wells Fargo-Fed Deal: Holding Directors Accountable

• Powerofmene 9y ago
  Until fraud and deceit stop being the go to business method, accountability will not deter this type of behavior. Just as we see with big pharma and here in banking, when the income from fraud far exceeds the penalty, these business methods and strategies will not change.
  • rectang 9y ago
    > Until fraud and deceit stop being the go to business method But how can that happen? If fraud is the most profitable stratagem, it will always be chosen -- if not by one company, then by its competitor.
• rectang 9y ago
  As a society, we can't trust the hands-off investors who own publicly-held companies to prevent unethical or even criminal behavior. For all those who divest themselves from a rapacious company like Wells Fargo, there will always be other investors who will happily pay a slightly lower price and who will ask no questions. I'm not at all convinced that oversight of directors by the Fed is an effective way to bring rampaging corporate monsters under control. Instead, companies should not be treated as people, and they should not have the same rights as people. (For instance, their ability to engage in political activities and lobbying should be more constrained.). They are not people, they are soulless beasts single-mindedly devoted to the bottom line. That's all we should ever ask them to be. They have great use in driving our economy, but we need to understand their nature.