Do any executives get that? Let's hear one Wall Street CEO stand up this week and say, "I created this. I was wrong. Cheap Monster energy hatsI will pay the price and I will change the system in my bank so that employees never feel they have to choose to commit fraud. I will root out the responsible managers. Until this is complete I will work without pay. When it is complete I will offer my resignation to the Board of Directors and ask that it be put to a vote of the shareholders at the next annual meeting." Oops, I'm dreaming.
These things do not happen in a vacuum. The old "rogue employee" line will be trotted out. "Errors in judgement" will be admitted. But it will not be admitted that errors in judgement are produced systematically. You see, the cost of such errors in judgment is less than the ill-gotten gains. Such costs are a 'cost of doing business'. Wholesale Monster energy hats The profits that were generated by this activity dwarf the potential cost. Executives incentives are to produce gains today and they do not pay for the risks that are left for tomorrow. The decision to have individual employees sit and sign affidavits that are false was made consciously. Someone decided to save the expense of doing it right. Or someone figured out that the chain of title had already been broken and it is better to whistle past the graveyard and defraud a court, a debtor, an investor, or a shareholder, than it is to do the right thing. All of those someones will likely not be identified or will get a slap on the wrist. The shareholders will never really know what happened and how certain executives created the culture in which these decisions made sense. But the truth is that decisions to cut corners, Cheap DC shoes hatscommit fraud, abuse clients or mislead investors are generally cognitively rational given the position in which the individual employee is put.
