May 27, 2011
— andy This week the SEC approved the so-called Whistleblower Rule made possible because my senator, one Scott P. Brown (r-MA), caved on the Dodd-Frank financial reform legislation.
Under the final rule, whistleblowers whose tips lead to cases that result in sanctions exceeding $1 million can be eligible for a reward of 10 percent to 30 percent of the total sanctions. Although the rule encourages whistleblowers to first report problems internally, it does not mandate it.
I've prepared and signed more SEC filings than I can count, and I have nothing at all against whistleblowers. As a matter of fact, I like 'em. If there's something going on in the company that would require disclosure in a filing, I want to know about it.
But that last bold part in the quote about not requiring internal reporting first ... that's a huge problem. Especially given that we in corporate America just put in a metric shitload of new whistleblower procedures under the Sarbanes-Oxley Act of 2002. You remember that old thing, right?
I mean, why tell the goofballs in the accounting department (like me) about something for free when you can run to the SEC and maybe get cut in for six figures, amiright? And an unethical employee might, might even be tempted to let a small problem grow into a large one just to get past that pesky $1 million threshold. Crazy talk, you say? Not so much - this happens all the time in qui tam actions brought under the False Claims Act that this provision in Dodd-Frank was modeled on.
Like with anything the Obama administration does these days, the best way to understand it is to identify the winners and losers.
Two Winners:
- Lawyers, who'll pull down some sweet, sweet fees defending accused executives and companies, and
- Business-bashing Democrats, who have long been denied the campaign prop perp walks they would otherwise have if those awful corporate executives weren't able to directly address whistleblowers' allegations.
Two Losers:
- Companies that get dragged through the mud in public because their internal control procedures are being undercut by this ill-conceived rule, and
- Consumers, who ultimately wind up paying for all this.
In other words, the usual suspects.
Posted by: andy at
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Posted by: joncelli at May 27, 2011 08:04 AM (RD7QR)
All the comments at the site seem to be for it. It's another sign of people assuming the title of the bill accurately represents what is inside the bill.
I think we should have termed call the Paul Ryan Plan the "Everybody Gets a Puppy Act of 2012".
Posted by: Ben at May 27, 2011 08:06 AM (wuv1c)
yeah and it really goes to show what Democrats really think about businesses - that they are just out there raping the consumer and they can't be trusted to deal with problems honestly and fairly
Posted by: chemjeff at May 27, 2011 08:07 AM (7mSYS)
Posted by: George Orwell at May 27, 2011 08:08 AM (AZGON)
FIFM
Posted by: chemjeff at May 27, 2011 08:08 AM (7mSYS)
Posted by: Kratos (Ghost of Sparta) at May 27, 2011 08:08 AM (9hSKh)
Posted by: Lauren Bacall at May 27, 2011 08:09 AM (iOz9w)
[redacted],
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At Daily Kos, we're going make the recall happen by using Facebook and Google ads to sign up 10,000 Michiganders to gather petition signatures. At typical signup rates, this will cost at least $20,000.
Please, contribute $6 to Daily Kos to sign up 10,000 volunteers to recall Rick Snyder.
Rick Snyder is cutting education and retirement benefits to pay for corporate tax breaks. In some cities, he's revoked the powers of democratically elected local officials and replaced them with dictatorial "emergency financial managers."
Local activists have a campaign structure in place, with captains in every county and over 1,000 volunteers on the ground. Last weekend, 10,000 Michiganders rallied against Rick Snyder in Lansing. The people are there—we just have to sign them up.
Please, contribute $6 to recall Rick Snyder.
Keep fighting,
Chris [Cocksucker] Bowers
Campaign Director, Daily Kos
Posted by: Soothsayer at May 27, 2011 08:09 AM (uFokq)
Everybody Gets a Puppy Blowjob And a Six-pack Act of 2012".
Now I'm in.
Posted by: CharlieBrown'sDildo (NJConservative) at May 27, 2011 08:10 AM (LH6ir)
The problem distilled to just 6 words.
The irony is astounding.
Posted by: AmishDude at May 27, 2011 08:11 AM (T0NGe)
Unintended, you say?
Posted by: Andy at May 27, 2011 08:12 AM (5Rurq)
Really, I've been at a lot of companies where heads butted (over things that wouldn't get someone thrown in jail) and I have never, ever seen a true case of Retaliation. Which is not to say that they don't exist, just that they're a lot more rare than some would have us believe.
That said, I can also see why, in certain cases, you wouldn't want to take your whistle blowing to someone internal- if the person you've caught dipping into the till is the CFO, I can understand being a little bit hesitant to take that to said CFO (or to people who report to him).
Now, I think that could be remedied, but it would take some kind of mandate for an internal anonymous tip-line to allow internal reporting while protecting informant privacy.
So, pick your poison- an additional mandate on business, or an easy out for people just looking for a pay-day?
Frankly, if businesses want to avoid this kind of thing, they can (and, I believe, should) offer their own internal bounties on this kind of thing. Then you get the benefit of the cash (less than the government would send you, but still) AND you get the benefit of not being "strategically reassigned" to Siberia for sicking the Government Goobs on the CEO.
Posted by: AllenG (Dedicated Tenther) at May 27, 2011 08:12 AM (8y9MW)
Michelle Obama Can't Let Criticism of Her Rapper Go
And then we had a poetry night and Common was there. He's very cute. But everybody from poet laureates to hip-hop folks, being able to mix up the world in that very interesting way, the White House allows you to do that.
Posted by: Kratos (Ghost of Sparta) at May 27, 2011 08:12 AM (9hSKh)
The only problem is that that there is no legal industry in this country that has less respect for its customers nor is less concerned for the well being of its customers than the entertainment industry. From gangster rap to movies glorifying criminals to a bunch of commie propaganda the entertainment industry pours poison into the veins of America's youth.
Now, where's my 300 large?
Posted by: WalrusRex at May 27, 2011 08:14 AM (Hx5uv)
Posted by: George Orwell at May 27, 2011 08:14 AM (AZGON)
Congress shows its prowess at making rules that only serve to undermine economic growth.
Which is yet another reason this economy will never recover nor see significant expansion. What's the incentive to hire and make profits when business owners are fighting the most anti-business anti-profit administration ever?
Posted by: Soothsayer at May 27, 2011 08:14 AM (uFokq)
As to the Ryan plan, we just do the following: Medicare is done in 9 years. Done. No more. If you're on Medicare now, the Democrats want you to die before then. They have no plan to save it, they'll put you out on the street. They also want to take money from Medicare so that they can give it to their buddies in the [NPR/NEA/unions/legal profession/other unpopular program]
Posted by: AmishDude at May 27, 2011 08:15 AM (T0NGe)
Posted by: Cherry π at May 27, 2011 08:16 AM (+sBB4)
Posted by: Cherry π at May 27, 2011 12:16 PM (+sBB4)
Looks like your lobotomy went well.
/
Posted by: blue star at May 27, 2011 08:16 AM (LkWf0)
Posted by: T-Paw Diddy Swag at May 27, 2011 08:19 AM (c45xH)
What's up with the Scott Brown snark? He's better than Coakley, we're told. Though I can't exactly see where.
And why do the libtards come up with annoying terms like "whistle-blower"? I keep picturing a football ref making a bad call.
Posted by: Damn Sockpuppet at May 27, 2011 08:19 AM (YmPwQ)
Michelle Obama Can't Let Criticism of Her Rapper Go
And then we had a poetry night and Common was there. He's very cute. But everybody from poet laureates to hip-hop folks, being able to mix up the world in that very interesting way, the White House allows you to do that.
Wow. Everybody (of the right color) from the far left to the extreme far left was represented. Now that's democracy in action!
Posted by: WalrusRex at May 27, 2011 08:19 AM (Hx5uv)
Posted by: Cherry π at May 27, 2011 08:20 AM (+sBB4)
Posted by: George Orwell at May 27, 2011 08:20 AM (AZGON)
As for Dodd that worthless SOB should be in jail being buggered daily by Bubba.
Posted by: Vic at May 27, 2011 08:20 AM (M9Ie6)
Posted by: t-bird at May 27, 2011 08:21 AM (FcR7P)
I'm poor, not rich, and I tire.
Throw another Bush on the fire.
Yeah, keepin' hope alive.
Posted by: WalrusRex at May 27, 2011 08:21 AM (Hx5uv)
Posted by: A Balrog of Morgoth at May 27, 2011 08:21 AM (R8y66)
Posted by: Totally Hawt Honey Badger ben DOOM! at May 27, 2011 08:22 AM (GvYeG)
OT: Link at hotair saying perry is leaving the door open for running. I cant see him and Palin running at the same time. They are tight. I guess it'll be who announces first and sets up an org. The more the merrier in the primary. Unless your huckabee
Posted by: Flapjackmaka at May 27, 2011 08:22 AM (uwljR)
Posted by: joncelli at May 27, 2011 08:23 AM (RD7QR)
Posted by: Georgius Orwellian at May 27, 2011 08:23 AM (AZGON)
Posted by: A Balrog of Morgoth at May 27, 2011 08:24 AM (R8y66)
Posted by: Cherry π at May 27, 2011 08:24 AM (+sBB4)
Posted by: A Balrog of Morgoth at May 27, 2011 08:26 AM (R8y66)
Posted by: joncelli at May 27, 2011 08:27 AM (RD7QR)
IOW, another golden crook award for lawyers.
Posted by: Vic at May 27, 2011 08:27 AM (M9Ie6)
Posted by: George Orwell at May 27, 2011 08:27 AM (AZGON)
It would be hard to find a public company that doesn't already do exactly this. And the anonymous tipsters have a direct line to the board of directors (usually the audit committee).
Posted by: Andy at May 27, 2011 08:28 AM (5Rurq)
Posted by: A Balrog of Morgoth at May 27, 2011 08:29 AM (R8y66)
Ben,
This is a follow up to your SWAT vid. link.
Oath Keepers Rally to Honor Jose Guerena and Oppose SWAT Searches
Video has the horrific 911 call his wife made. Damn. Brought me to tears.
Posted by: momma at May 27, 2011 08:30 AM (penCf)
Posted by: A Balrog of Morgoth at May 27, 2011 08:30 AM (R8y66)
This is why I have to laugh at Dems who blame "deregulation". The financial industry is, and has been for many years, the most regulated industry in the country, perhaps apart from nuclear energy.
Posted by: AmishDude at May 27, 2011 08:30 AM (T0NGe)
I can I can tell you, those reports were taken extremely seriously by the management toads that I am familiar with.
Posted by: Vic at May 27, 2011 08:32 AM (M9Ie6)
Posted by: George Orwell at May 27, 2011 08:33 AM (AZGON)
Now it truly represents the morons. Win win!
Posted by: momma at May 27, 2011 08:34 AM (penCf)
Posted by: Waterhouse at May 27, 2011 12:25 PM (jPPat)
FIFY
Posted by: AmishDude at May 27, 2011 08:34 AM (T0NGe)
And that would be their regulation and Dems in general that were running F&F into the ground for personal profit.
Posted by: Vic at May 27, 2011 08:34 AM (M9Ie6)
Posted by: kbdabear at May 27, 2011 08:35 AM (vdfwz)
Posted by: momma at May 27, 2011 08:35 AM (penCf)
speaking of clean and efficient nuclear energy...
Massachusetts has filed an amicus petition to join Vermont in permanently shutting down VT's Yankee Power Plant.
Posted by: Soothsayer at May 27, 2011 08:35 AM (uFokq)
Posted by: George Orwell at May 27, 2011 08:36 AM (AZGON)
HA! Rush is talking about the DSK/Michelle Obama pic right now!
We are not allowed to discuss that here.
Posted by: Soothsayer at May 27, 2011 08:36 AM (uFokq)
First Lady's Office Holds ‘Listen Only’ and 'Invitation Only' Conference Calls for Reporters
Posted by: momma at May 27, 2011 08:36 AM (penCf)
61 That's what I was going to say! "Obama clearly knew the reputation of DSK".
Sorry I missed yesterday's thread
Posted by: dagny at May 27, 2011 08:36 AM (/FefF)
Posted by: maddogg at May 27, 2011 08:37 AM (OlN4e)
Posted by: fluffy at May 27, 2011 08:37 AM (4Kl5M)
We are not allowed to discuss that here.
Posted by: Soothsayer at May 27, 2011 12:36 PM (uFokq)
He mentioned it and went on to something else, just like Ace wanted
Posted by: momma at May 27, 2011 08:37 AM (penCf)
Posted by: X at May 27, 2011 08:37 AM (mr695)
Posted by: James Tiberius Kirk at May 27, 2011 08:37 AM (AZGON)
Posted by: joncelli at May 27, 2011 08:39 AM (RD7QR)
Posted by: Soothsayer at May 27, 2011 12:38 PM (uFokq)
That is so HOT!
Posted by: momma's hubby at May 27, 2011 08:39 AM (penCf)
Posted by: Oldsailor's poet at May 27, 2011 08:39 AM (NtTkA)
As for Dodd that worthless SOB should be in jail being buggered daily by Bubba.
How was the universe not imploded by the blackhole created by the density of irony of the two scum most responsible for this economy daring to claim they were fixing it?
Posted by: Polliwog at May 27, 2011 08:40 AM (Acdhq)
Perry used to be a Dem (cue the "I didn't leave them, they left me" bit), but has served as a GOP governor for ten years.
Texas has a balanced budget, billions in rainy-day money in the bank, and spends less per capita then any state in the country.
Change you can believe in.
Posted by: Blacksheep at May 27, 2011 08:40 AM (8/DeP)
Both of these actions are nothing more than serial ligation to drive up operating costs. The VT action was brought about to accuse the NRC of failing to take into account the Clean Water Act when granting VY a license extension. The NRC has nothing to do with enforcing the CWA. One wonders WTF MA would have to do with that. It just shows you how hog wild they can run with lawyers when you have regulations to the extent we have now.
Posted by: Vic at May 27, 2011 08:41 AM (M9Ie6)
Posted by: Acme Corporation at May 27, 2011 08:41 AM (NtTkA)
It's tough to get respect from your staff officers, sometimes. Posted by: James Tiberius Kirk at May 27, 2011 12:37 PM
We had a jam up in the fecal disintegrator system, and one of my engineers found out that it was clogged because of a sexual assault complaint to Starfleet that for some reason never got signed by you.
It will stay lost provided that a case of Chivas Regal finds its way to my quarters every Friday.
Posted by: Montgomery Scott at May 27, 2011 08:42 AM (vdfwz)
Posted by: JackStraw at May 27, 2011 08:42 AM (x+EIF)
One wonders WTF MA would have to do with that.
These Democrats in blue states want to shut down nukes and coal because they want to eliminate the competition for their silly (and corrupt) wind power projects.
Posted by: Soothsayer at May 27, 2011 08:43 AM (uFokq)
It's turtles all the way down.
Okay, what's that from? All I can think of is Disc-world, and I'm pretty sure that isn't it.
Posted by: Polliwog at May 27, 2011 08:44 AM (Acdhq)
Why do the blue states make being a 'motorist' such a hassle?
Because they want to steer people into public transportation. The big prize (for the unions) is high speed rail.
Posted by: Soothsayer at May 27, 2011 08:45 AM (uFokq)
Posted by: James Tiberius Kirk at May 27, 2011 08:45 AM (AZGON)
I don't have the money to pay for any more guilt trips.
Posted by: kbdabear at May 27, 2011 08:46 AM (vdfwz)
OT: In the sidebar about the Marine being executed by Pima County SWAT Team and I meant what I said....executed.
Sheriff Dupnik is a dangerous, incompetent douchebag and should be thrown out of office ( I would prefer jail) and have the shit sued out oh him, the sheriff's department and the county. God save us from the real morons in this country.
Posted by: mpfs at May 27, 2011 08:46 AM (iYbLN)
It's turtles all the way down.
Okay, what's that from? All I can think of is Disc-world, and I'm pretty sure that isn't it.
A decent summary. Even if it is from Wikipedia.
Posted by: AoSHQ's *second* worst commenter, DarkLord© at May 27, 2011 08:47 AM (GBXon)
Cutting back on the drinking, Lt. Sporran-and-Kilt? Posted by: James Tiberius Kirk at May 27, 2011 12:45 PM
Make that TWO cases, Capt Smart-Ass, or the surveillance video of Rand's quarters will become uncorrupted too.
Posted by: Montgomery Scott at May 27, 2011 08:49 AM (vdfwz)
Sheriff Dupnik is a dangerous, incompetent douchebag and should be thrown out of office ( I would prefer jail) and have the shit sued out oh him, the sheriff's department and the county. God save us from the real morons in this country.
Posted by: mpfs at May 27, 2011 12:46 PMIt breaks the irony meter that the white leftists and La Raza are either silent or still supportive of their buddy Dupnik. Didn't they wail that if it weren't for Dumnik, the state of Arizona would impose a fascist regime with jackbooted police arresting kids for going out for ice cream without their ID?
Posted by: kbdabear at May 27, 2011 08:52 AM (vdfwz)
Posted by: James Tiberius Kirk at May 27, 2011 08:53 AM (AZGON)
This is the problem, though. The companies that take these things seriously would never have been the problem. It's the companies that don't (or, probably slightly more often) when the person involved is a high-level employee and the company decides that it would "look bad" if the bad behavior was openly acknowledged.
And I grant that such things are rare- but they do happen. Thus: needing some kind of law. Now, I tend to side with those who say "we already had plenty of regulations, how 'bout we just enforce those?" but, if you are going to set up special legislation to protect whistle-blowers (I'm of two minds about that), you have to acknowledge that, if they're bringing it to the Gov't in the first place, they believe their employer is breaking the law. Given that they believe their employer is already a criminal, why wouldn't they believe that the employer would break any laws against retaliation?
It's kind of in the same category as "gun free zones." Anyone who has decided to kill people isn't going to be dissuaded by one. Well, it is not at all hard to believe that someone who has decided to embezzle money would not be dissuaded from firing an employee just because the law says they can't.
Posted by: AllenG (Dedicated Tenther) at May 27, 2011 08:55 AM (8y9MW)
10,000 sunrises is all we humans get, give or take.
10,000 chances to clamor for ruinous fiscal policies, pursue quasi-legal actions to get our infantile way, and drive businesses from our state. To enjoy the clean lonely howl of the wind blowing through abandoned factories, stores, and office buildings. To watch the unemployment claims stack as high as an elephant's eye, and shuffle in sullen silence through breadlines and the halfway houses of the indigent poor.
Pure liberalism. Pure insanity.
Pure Michigan.
Posted by: Chariots of Toast at May 27, 2011 08:56 AM (XyjRQ)
Posted by: AoSHQ's *second* worst commenter, DarkLord© at May 27, 2011 12:47 PM (GBXon)
Thanks. I feel a little better since Discworld did get mentioned at the end, including a version of the quote.
Posted by: Polliwog at May 27, 2011 08:59 AM (Acdhq)
Posted by: Oldsailor at May 27, 2011 09:06 AM (NtTkA)
First Lady's Office Holds ‘Listen Only’ and 'Invitation Only' Conference Calls for Reporters
Congress should defund the First Lady's office completely.
Posted by: Alex at May 27, 2011 09:13 AM (J2ejK)
Like with anything the Obama administration does these days, the best way to understand it is to identify the winners and losers.
That's a good way of looking at it. Another way is is through the lens of that adage, "Uncle Sam is your partner."
At the risk of some of my conservative street cred, I always used to think this. I believed it more strongly the older I got. That all changed in February 2009. Now, I see the government as a sponsor, a customer, an employer, a competitor, an obstacle, an adversary, -- anything except a partner.
I guess that's to be expected when we have a government that does everything except govern.
Posted by: FireHorse at May 27, 2011 09:20 AM (Rq1/g)
Posted by: Guy who doesn't like paying for grampa's Viagra at May 27, 2011 09:46 AM (x3hYt)
Posted by: confused caller... at May 27, 2011 09:53 AM (XyjRQ)
Actually, it was a piss take on an ad campaign put out by the Michigan Tourist Board. Do a youtube search on "Pure Michigan".
You signed your post Chariots of Toast but I heard Brian McNamara's voice wile reading it.
Posted by: FireHorse at May 27, 2011 09:59 AM (Rq1/g)
18 But, but, but... Retaliation!!!!
Really, I've been at a lot of companies where heads butted (over things that wouldn't get someone thrown in jail) and I have never, ever seen a true case of Retaliation. Which is not to say that they don't exist, just that they're a lot more rare than some would have us believe. ...
Well, what exactly are the stories of retaliation?
I put in an ethics complaint against my boss, who was reassigned because of it (where he wasn't in charge of anybody any more), and then I was persona non gratis with management until finally being laid off. This same outfit had me assigned in a way where they were charging the govt a high rate for me to do the job of a summer intern - on a "cost plus" job. Which means they were running up the tab, and ripping off the govt, instead of having me sitting around doing nothing (if you can image, these clowns were lacking for business). I would have blown them in, but I wondered if I could end up blacklisted.
I've seen genuinely crooked things practically every place I've worked. Sometimes people report things, and nothing happenes to them, but it seems like if it involves them being the direct victim of unethical action by a member of management that it ends badly for them.
Posted by: Optimizer at May 27, 2011 10:09 AM (F56VB)
Thought Tim Allen did the voiceovers for Pure Michigan ads?
Posted by: Chariots of Toast at May 27, 2011 01:01 PM (XyjRQ)
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Posted by: George Orwell at May 27, 2011 08:03 AM (AZGON)