Corporate crime? I'm not sure there is no such thing. If we want to reduce the crimes that are given that lable, we have to stop delivering large punitive fines for companies. The idea is not as radical as it sounds.
First, when I say there is no such thing as corporate crime, simply means that whenever individuals who commit crimes. With this in mind, you can imagine what my best way to reduce this crime is: Go to criminals!
Who pays for Corporate Crime?
Exactly who pays when a company is fined for breaking the law? For starters, the shareholders pay. Many of them are innocent retirees who have money invested in the company and had no idea they were breaking the law. Then, employees pay with the loss of jobs if the company's financial situation adversely affected by the fines. That does not pay? Only criminals - people who chose to break the law.
All crimes are committed by people, not companies. When a company dumps toxic in the environment, a person made the decision to do that (or several people). When a company steals from a pension fund or violates the rights of workers, individuals made those decisions. People commit corporate crime, not the corporations!
If you want to stop corporate crime, begin to put individuals who are involved in crime in prison. Our current system often has company officials calculations of cost / benefit in terms of whether the benefits of certain crimes are higher than occasional fines add up. Although the laws are broken, they have little chance of being personally responsible. Why not hold them accountable?
To fine companies for the actual costs imposed on others for a crime is appropriate. We have to clean up messes toxic, and in other cases, compensate those who suffer damage. This also means that shareholders have a reason to be careful in choosing the board. However, "punitive" fines are ridiculous unless they are imposed on individual offenders. Have the person who committed the crime pay the fine.
This is an idea so radical? I think not! By the way, what do you think is more likely to deter a company official to commit an offense, a fine paid by the company, and even affect your salary, or ten years in prison? The answer to what gives us the answer to corporate crime.
October 17, 2009, 03:38:44 AM