John Stumpf

Ethics Dunces: The Academy Of Motion Picture Arts And Sciences

/ Jack Marshall / 11 Comments

The Academy Awards announced that it will allow PriceWaterhouseCoopers to continue to represent the Oscars’ integrity as well as the organizations pledge that the results aren’t being, will not be, cannot be and haven’t been rigged, misread, wrongly tallied or mistakenly announced.

This, despite the fact that the firm proved beyond a shadow of a doubt that it cannot be trusted to do this, by either the Academy or the Oscar viewing audience, because it did not do it, exposing its carelessness and incompetence on national TV.

This is NASA letting Morton Thiokol continue to build space shuttles. This is the federal government re-hiring the same IT firm that made Healthcare.gov. This is Wesley Snipes rehiring the tax expert who told him he didn’t have to pay income taxes.

In addition to complete failure of management that the Academy’s decision to let bygones be bygones represents, it also has cultural consequences. As a culture, the United States has become allergic to accountability in all sectors. Over at Wells Fargo, where management presided over a nation-wide conspiracy to defraud depositors,  CEO John Stumpf opted for early retirement after the scandal, and is walking away with around $130 million, according to SEC filings.  Unless further action is taken by Wells Fargo’s board, which looks increasingly unlikely, Stumpf will leave with a fortune made up of stocks, cash payouts and other compensation. The Obama Administration, as documented here, repeatedly refused to hold incompetent agency heads accountable for fiascos, notably both of its Attorney Generals, and all three of its White House spokesmen. University president after university president disgraced their institutions by capitulating to racist, anti-speech, anti-education demands by students without consequence to their tenure. In journalism, Brian Williams remains on NBC’s payroll and the TV screen, despite having proven himself to be a habitual liar. Continue reading →

Wells Fargo Ethics: The Unethical Demagoguery Of Elizabeth Warren

/ Jack Marshall / 22 Comments

warren

Senator Elizabeth Warren (D-Mass), picks her adversaries so well that she gains popularity and unearned credibility through the power of cognitive dissonance. Listen closely, however, and you will hear the ranting of a class-biased demagogue.

Joining in on the bipartisan and well-deserved roasting of Wells Fargo CEO John Stumpf before the Senate Banking Committee hearing this week, Warren accused Stumpf of profiting from the mass scam in which over 5000 bank employees signed up customers for services they hadn’t requested, without their knowledge. The bank collected fees for these accounts, cards and services, and the employees got bonuses.

He probably did profit, since the bank did more business and his stock holdings increased in value. Was he aware of the scam, or even behind it? There is no evidence of that yet. Warren also said he should resign. She’s sure right about that. He is accountable as the CEO, and he failed his duty of oversight. It is, as Warren said, typical and wrong that all the firing so far have avoided the executive suites.

But Warren seems to be oddly unaware of her double standard regarding management and leadership accountability. The standards that she was railing at Stumpf for not meeting should also apply to Barack Obama’s accountability for a corrupt IRS, a rogue NSA, a drunk Secret Service, a politically-biased Justice Department, a horrifically incompetent Office of Personnel Management, a criminally negligent VA, and, of course, a technically-challenged State Department that was operated as cash-cow for its Secretary’s personal foundation.  Elizabeth Warren’s application of standards are driven by class bias and partisanship, not conduct or principle. She has enables an administration that has avoided assigning accountability or accepting it for multiple fiascos. The most recent? From Fox News:
Continue reading →