The Zamansky & Associates blog has moved!

You should be automatically redirected. If not, visit
and update your bookmarks.

Friday, June 24, 2005

The Feds Get Tough with Corporate Criminals

The federal prosecutors need to be commended for their excellent work in putting corporate criminals behind bars.

The U.S. Attorneys obtained convictions for investment fraud against Bernie Ebbers (WorldCom), the Rigas boys (Adelphia), and Martha Stewart and Frank Quattrone for obstruction of justice and lying to investigators.

Even New York District Attorney Robert Morgenthau joined the successful prosecutors by getting convictions for securities fraud against Kozlowski and Swartz in the Tyco trial. Each of these criminals will be serving lengthy jail sentences. Hopefully, Corporate America and Wall Street are getting the message - if you do the crime you will serve the time.

Unfortunately, Eliot Spitzer who seems to be leading the charge against Wall Street has not been able to rack up any victories. He made a mistake in going after Ted Siphol, a small fish, and letting the big fish get away by buying their freedom. Spitzer should now take a play out of the federal prosecutors playbook and carefully prepare securities fraud cases against those most responsible. Even Dennis Koslowski on the witness stand admitted "the buck stops with me." Prosecutors need to get the top crooks and not concentrate on lower level managers.


Post a Comment

<< Home