Wednesday, March 16, 2005

Buh-Bye, Bernard

At the risk of indulging in Schadenfreude, let me say I'm delighted with yesterday's conviction of Bernard Ebbers, the former CEO of WorldCom.

His defense that he was unaware of the accounting shenanigans that resulted in an $11 billion fraud, that his role was more of a "cheerleader," was ludicrous; all the more so if it was true.

What part of Chief Executive Officer don't you understand, Bernie? You signed off on the reports your CFO Scott Sullivan gave you. Either you approved what was being done, or you simply weren't doing your job. Gross incompetence on that scale is also a fraud. If all that's required to be CEO of a global communications corporation is to be a cheerful, motivational-type person, well...let me know where to send my resume.

The saddest thing is, Bernie and all the other fools like him from Enron to MCI and TYCO would have been millionaires or billionaires had they engaged in honest accounting. Those companies still would have turned enormous profits. But no, that wasn't enough. They had to fudge the numbers, hide this, shift that, in an obscene orgy of greed.

Ken Lay: You're next.

2 comments:

p.p. said...

I totally agree. He got what he deserved. Countless people lost their retirement accounts due to him.

Matthew said...

Yes, agreed.

Good riddance.

Next up for trial: Ken Lay.