Thursday, August 24, 2006


Phantom of the Options - New York Times:
Fiddling with the dates of stock options doesn’t sound that nefarious. And unlike in the Enron case, with its spectacular implosion and shattered retirement accounts, the victims are a lot less obvious.

But just because the victims are harder to spot doesn’t mean that secretly backdating or otherwise manipulating the timing of an options grant is a victimless crime. Rigging the timing of option grants hurts both the company and its shareholders, usually for the greater enrichment of top executives.
I have a conservative friend who thinks corporations should run the world (as if they don't all ready). This piece names just one of the reasons I disagree. They can't be trusted. They're not elected by the workers. They are motivated by greed and avarice. They break even their own rules. They cheat on taxes. They bribe government. Need I go on?

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