A Journal for Western Man

 

 

 

Nationalizing Corporate America

Harry Roolaart

Issue XI- February 18, 2003

 

 
On July 9, 2002, President Bush addressed Wall Street with his much anticipated speech denouncing corporate greed and corruption. For those who listened to, or read the speech, the words clearly brought forth a quagmire of contradictions, truth and evasions, and a profound aspiration on the part of our President, who said: "America's greatest economic need is higher ethical standards -- standards enforced by strict laws." What he meant was that ethical behavior is no longer possible – and that man must be coerced into doing the right thing. Having made clear just a week ago "that our rights are derived from God" our President is using the Judeo-Christian notion of "orginal sin" and utilizing it to justify governmental coercive action – in this case, coercion against corporate America.

"The lure of heady profits of the late 1990s spawned abuses and excesses," said the President. Undoubtably meant to allude to Christian ideals warning against excesses in anything, the remark also shows the President's full reversal of Republican ideals, in which profits were never seen as anything but good for the country – no matter what their size.

Showering praise on "workers" and "entrepeneurs" (i.e small businesses), the President had little good to say about today's business leaders running large, successful companies. Saying, on the one hand that "we've learned of some business leaders obstructing justice, misleading clients," or " falsifying records" the President went on to say a few paragraphs later that "too many corporations seem disconnected from the values of our country." Which is it, Mr. President? Just some, or too many? So far, only a handful of companies appear to be guilty of unscupulous behavior.

Fusing words such as "faith" and "Wall Street" as if the business of investment is equivalent to the worship of some deity and not at all connected to productivity and earnings, the President made it clear that "self regulation is important, but it's not enough." He went on to say that "From the antitrust laws of the 19th century to the S&L reforms of recent times, America has tackled financial problems when they appeared. The actions I'm proposing follow in this tradition, and should be welcomed by every honest company in America." More ominous words cannot be uttered given historical anti-trust cases that have left corporate America wondering when it is engaging in Capitalism or when it is actually violating anti-trust laws.

Determined to be the slayer of the corporate beast in this election year, President Bush went on to propose his 10-point manifesto of Corporate Accountability. Though the speech did not make it clear, it appears to include, in part, the following:

* By executive order, a new Corporate Fraud Task Force, headed by the Deputy Attorney General, which will target major accounting fraud and other criminal activity in corporate finance.

* Corporate officers who benefit from false accounting statements should forfeit all money gained by their fraud.

* The SEC should be able to punish corporate leaders who are convicted of abusing their powers by banning them from ever serving again as officers or directors of a publicly-held corporation.

* Give workers quarterly information about their investments. Say goodbye to annual reports.

* Currently, a CEO signs a nominal certificate, and does so merely on behalf of the company. In the future, the signature of the CEO should also be his or her personal certification of the veracity and fairness of the financial disclosures.

* The SEC has ordered the leaders of nearly a thousand large public companies to certify that the financial information they submitted in the last year was fair and it was accurate.
For the SEC to adopt new rules to ensure that auditors will be independent and not compromised by conflicts of interest.

* By executive order, Mr. President? Isn't government big enough as it is? And what gives government the right to punish a man by taking away his ability to work (survive) in his chosen field after having served his sentence? Must CEOs now become accountants as well? Who defines "fair"? Who determines who benefitted from fraudulent accounting records? Government? And what effect will this have on the majority of businesses who need no such government regulations?

It appears President Bush has joined the Left as an anti-capitalist. He does not focus his efforts on existing laws, but is using the unscupulous behavior of a few individuals to grant to government greater and greater powers – as was done in the War on Terrorism. To what point? To the point of dictating to all businesses and businessmen how they must run their business, and indirectly, the entire economy of the United States. This, from an Administration that is willing to forgive billions of dollars of debt incurred by a corporation run by government itself: namely, AMTRAK.

Let's just say it like it is: what we're seeing here is a Republican president announcing the government takeover of Wall Street and Corporate America. Our individual rights and our freedoms ought not to be far behind.

Harry Roolaart is the founder and creator of the harryroolaart.com website. He is also a writer and artist living and working in Charlotte, North Carolina.  You may contact him personally at hroolaart@harryroolaart.com.

This TRA feature has been edited in accordance with TRA’s Statement of Policy.

Click here to return to TRA's Issue XI Index.

Learn about Mr. Stolyarov's novel, Eden against the Colossus, here.

Read Mr. Stolyarov's new comprehensive treatise, A Rational Cosmology, explicating such terms as the universe, matter, space, time, sound, light, life, consciousness, and volition, at http://www.geocities.com/rational_argumentator/rc.html.

 

 

 

 

 

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