What alternative(s) does a company charged with criminal activity have? Don’t they have to settle?
“Takata Ramps Up Settlement Talks,” The Wall Street Journal, September 29, 2016 B1. Air bag manufacturer facing possible wire fraud charges based on “misleading statements and concealed information.” Here, the company is alleged to have hidden information about the fact that their product kills people.
You’re the prosecutor. Why should you settle without putting a bunch of people in jail and getting massive fines? Beyond the cost of product recall and the $70 million fine already. Apart from the savings in trail costs, and factoring in the chance of losing such a case, shouldn’t the amount of fines be just short of confiscatory? Does the Yates memo actually mean anything? Should senior execs get jailed? Should their compensation be clawed back? If not, why not? VW’s diesel claims didn’t kill people (immediately). Wells Fargo’s CEO didn’t really hurt anyone.
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