In a departure from normal practice, I comment upon an event unreported, as far as I can tell, in The Wall Street Journal. For me, some things transcend politics.
Maybe I missed it. Or maybe The Wall Street Journal didn’t see fit to print the leaked transcripts of President Trump’s post-inauguration phone calls with the leaders of Mexico and Australia.
What does it say that this story, blaring over the TV newswires, wasn’t printed? Does it say something about some organizations placing the Nation’s security above their own circulation numbers? Is that a control you can rely on? Apparently not from everyone.
Even if the paper had or did print something on this, what does the leak of those transcripts say about information governance? First, does the White House have adequate controls and culture in place? Clearly not. Maybe General Kelly can help with that.
But what about the person who signed an oath and nonetheless decided to leak these classified transcripts to the press, thinking little or nothing about the impact on future calls between world leaders? What’s their understanding of duty? Placing the Nation’s needs above those of party or self?
Hang ’em high.
Filed under Access, Compliance, Controls, Culture, Duty, Employees, Governance, Government, Internal controls, Protect assets, Third parties
I was working on another project, and could not do my postings as timely as I would like. But here’s a bunch of news items I wanted to write about:
- “Tesla Boss Warns on Artificial Intelligence,” The Wall Street Journal, July 17, 2017 B1. Elon Musk call for a regulatory body to “guide development of the powerful technology.” Government bodies are so well suited to such activity.
- “Disney Sued Over Films’ Visual Effects,” The Wall Street Journal, July 18, 2017 B3. Who owns the technology (that’s information) that melds real human faces with characters in films? Plaintiff wants an injunctions to prevent display and sale of several major movies.
- “States Urged to Give Voter Records to Commission,”The Wall Street Journal, July 20, 2017 A4. Who owns your voter record? You? The state in which you voted? Is it public? If so, can the Federal government request it?
- “U.S. To Drop ‘London Whale’ Charges,” The Wall Street Journal, July 22, 2017 B1. What happens when your star witness suffers a credibility problem?
- “Lax Governance Cited in Spanish Bank’s Collapse,” The Wall Street Journal, July 25, 2017 B10. Problems: lack of sufficient independence of directors from management and deals with companies that may have posed conflicts. How can you govern if you’re too friendly with management?
- “Ex-Fiat Executive Is Charged,” The Wall Street Journal, July 27, 2017 B3. Executive formerly in charge of labor relations for Fiat indicted, accused of illegal payoffs and special deals with union leaders, and skimming money from a worker training fund. Executives go to jail when they get caught.
- “Local Council Suspected in London Fire,” The Wall Street Journal, July 28, 2017 A16. Were the local councils somehow responsible for the fire that killed 80? Police think so. Decision makers are responsible for their decisions.
Filed under Compliance, Compliance, Controls, Corporation, Directors, Duty, Duty of Care, Employees, Governance, Lawyers, Oversight, Ownership, Privacy, Third parties, Uncategorized
“Ex-VW Official Admits Role in Emissions Cheating,” The Wall Street Journal, August 5, 2017 B3. A former VW “compliance executive” charged with conspiracy to defraud the US, wire fraud, and Clean Air Act violations pleads guilty. He admits he knew about the software used to mislead US environmental regulators. Faces sentencing in criminal case in December.
Hiding information from the government is not a good thing. What was the culture that allowed this to happen? Did people feel a need to do this to compete? Too many car companies have been caught up in such scandals to have it be random.
The shareholders have paid (and are continuing to pay) for the mistakes of the employees of the company. Who else from the company is going to go to jail, or lose his/her job? VW is facing costs in just the US of more than $25 billion and investigations elsewhere. Does the “compliance executive” know of others who also knew? Might he offer up some names before December? People who bought VWs are going to want to recover damages from someone.
Filed under Accuracy, Analytics, Board, Compliance, Compliance, Controls, Corporation, Culture, Culture, Data quality, Directors, Duty, Employees, Governance, Information, Internal controls, Oversight, Oversight, Value
You hire independent contractors to drive under your corporate banner, and pay you a portion of the fees they collect. You buy cars and lease them to the contractors to drive. What could go wrong? The cars catch on fire.
“Uber Knowingly Leased Unsafe Cars to Drivers,’ The Wall Street Journal, August 4, 2017 A1. Apparently, the cars that were leased had been recalled, and not fixed. Who knew what when? Did Corporate in the US know before the fire? Or is this the result of a business model or culture where working around rules is prized above complying with them?
VW is being investigated by the EU’s antifraud office since November 2015, in connection with loans based, in part, on VW’s green environmental reputation. The emissions cheating scandal has cost $25 billion. And counting. May recommend that Germany charges two employees with fraud. German authorities are in on the hunt, too.
“Volkswagen Faced With New Legal Woes,” The Wall Street Journal, August 1, 2017 B3.
Who knew what when, and who failed to disclose what they knew? When it rains, it pours.
Filed under Board, Compliance, Compliance, Corporation, Duty, Employees, Governance, Inform market, Inform shareholders, Managers, To report
“Two Plead Guilty in Insys Cases,” The Wall Street Journal, July 12, 2017 B3. Insys Therapeutics had an unusual fentanyl problem: bribing doctors to prescribe it. Two saleswomen took the plea.
Notable: one of the women is married to the firm’s former CEO, who was arrested on related charges in December, together with 5 other senior managers.
Does corruption normally run this deep? Where is (or was) the board?
Filed under Board, Compliance, Compliance, Compliance, Compliance Verification, Controls, Corporation, Culture, Culture, Directors, Duty, Duty of Care, Employees, Governance, Internal controls, Management, Oversight, Oversight
“Caterpillar Faces New Questions in Probe,” The Wall Street Journal, July 3, 2017 B1. During a criminal investigation, required export documentation couldn’t be found. Apparently, there are also inconsistencies between what was submitted to the Department of Commerce and what was turned over in response to subpoenas.
So, a corpration may be charged criminally. What about officers, directors, and employees?
It is only foolish consistency, not inconsistency, that is the hobgoblin of little minds.
Filed under Accuracy, Compliance, Compliance Verification, Controls, Corporation, Data quality, Duty, Employees, Governance, Information, Internal controls, Oversight, Value