Coming off an incredible week of outrage over the $165+ million A.I.G. bonuses, the question that many in the media and Washington continue to focus on is this:  How do we get what we need from these people without giving them too much, but giving them enough to do what we need to get done? But there’s a more important, longer...

Early in my career, I would read the morning papers and make a list of those organizations that were facing ethical crisis.  I’d then write a letter addressed to both the president of the organization as well as the head of Human Resources offering my services. I must have contacted at least a hundred corporations, associations or other organizations in...

“I spent some time… further improving my analysis on why Madoff Investment Securities LLC is likely a Ponzi Scheme… The entire report ties in to Fairfield Sentry Ltd., a third party hedge fund that has over $5 billion invested in Madoff Investment Securities, LLC.” – Extract of email sent to the SEC by Harry Markopolos, Nov. 7, 2005 “The staff has found...

The slide began in September. Lehman Brothers, Merrill Lynch, A.I.G., Fannie and Freddie, GM, Ford, Chrysler, Representatives Tim Mahoney and Charles Rangel, Senator Ted Stevens. Early yesterday we learned of the arrest of Illinois Governor Rod Blagojevich on corruption charges stemming from trying to sell President-elect Barack Obama’s vacated senate seat to the highest bidder.  » Read more about: The Winter of Our Discontent  »...

“Those of us who have looked to the self-interest of lending institutions to protect shareholders’ equity, myself included, are in a state of shocked disbelief.” So said a somber-faced (but he always looks that way) Alan Greenspan as he testified before the House Committee on Oversight and Government Reform. Remind you of anyone? Now I’m not suggesting that the former Fed...

Dear Hank: I know you and your staff at Treasury are busy managing the $700 billion bailout of the financial sector, but when you have a chance could you, or someone in your office, take a closer look at what they’re doing at A.I.G.? A.I.G., they’re the ones that we gave the $85 billion bailout “loan” to not long ago...

In explaining the importance of a $700 Billion dollar plan to shore up the economy, Secretary of the Treasury Henry Paulson said in an interview that, in affect …the American people don’t understand this. Mr. Paulson is a finance guy, not an education guy. Moments before the House was due to vote on a very complex and highly contentious bill,...

“Abramoff Sentenced to 4 Years in Prison for Corruption” “Two Brokers Accused of Securities Fraud” “Former KBR Executive Pleads Guilty to Bribery” “Detroit Mayor Pleads Guilty, Resigns” All four of these stories appeared in yesterday’s (Sept. 4) Washington Post and New York Times. Whenever we read stories like these, it’s hard to avoid becoming cynical.  And whenever stories like these...

The fallout surrounding Countrywide Financial and Chief Executive Angelo R. Mozilo just keeps getting worse.  The last 42-days have seen an extraordinary amount of activity. On May 15, Federal District Court Judge Mariana Pfaelzer said that “…she found confidential witness accounts in the shareholder complaint to be credible… they suggested, ‘a widespread company culture that encouraged employees to push mortgages...

In one keystroke Countrywide Financial’s Chief Executive Angelo Mozilo lived up to the worst traits of a corporate executive. It started when homeowner Daniel Bailey wrote a letter addressed to Mr. Mozilo and sixteen other Countrywide staff: “I am writing this letter to explain my unfortunate set of circumstances that have caused me to become delinquent on my mortgage,” Bailey...