Monthly Archives: March 2011

Stunning, Even by Goldman’s Liberal Definition of Fiduciary

Posted on March 31, 2011 by mmjdiary

In the summer of 2010, Clearwire Corp. hired Goldman Sachs to offer its advice on whether the company should sell its wireless division to Sprint.  In February 2011, Goldman let the Clearwire folks know that it was resigning its position … Continue reading →

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In the this may never be over department . . . Former Enron Executive Sentenced

Posted on March 31, 2011 by mmjdiary

Rex Shelby, a former Enron broadband executive was sentenced to two years of probation for his role in exaggerating the performance of the broadband unit.  The charges had been brought in 2003, so the wheels of justice do grind slowly.  … Continue reading →

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A Set-Back for Redemption

Posted on March 31, 2011 by mmjdiary

Barry Minkow was but 21 years old when he created ZZZZ Best, a carpet-cleaning company that was a classic Ponzi scheme.  Mr. Minkow defrauded investors of $300 million and even duped Oprah inot being a believer in his entrepreneurship before … Continue reading →

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“If I’m the audit partner and I have concluded that what we are doing is correct and consistent with [standards], I don’t know why I would take that to the audit committee, as I’m the expert.”

Posted on March 18, 2011 by mmjdiary

Randolph Beatty, dean of the Leventhal School of Accounting at the University of Southern California Marshall School of Business.  Oh, dear dean, you do so when your client has  spun off $50 billion in debt, as Lehamn Brothers did. Because … Continue reading →

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What’s the Matter with the SEC? Funny Farm Redux

Posted on March 11, 2011 by mmjdiary

  We need not go back to the SEC’s missed Madoff opportunities or its unwillingness to shut down the Stanford Ponzi operation because it was a little too complex to fit within the performance evaluation slam-dunks its lawyers needed. The … Continue reading →

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He should not lead.

Posted on March 10, 2011 by mmjdiary

Scott Bundgaard, the Senate Majority Leader in the Arizona Senate had a late-night side-of-the-road ruckus with his ex-girlfriend.  “Ruckus” may be charitable because the story keeps changing.  True enough, the judicial process on domestic violence charges have not run their … Continue reading →

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“No. Are you kidding? I’m just hoping the coach doesn’t dismiss me.”

Posted on March 10, 2011 by mmjdiary

Ohio State University president, E. Gordon Gee upon suspending football coach Jim Tressel for his failure to mention to Mr. Gee the allegations against his players that culminated in the NCAA suspending 5 players for the first 5 games.  Coach … Continue reading →

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“Just about everyone does it. If your dream is to have someone (famous) sing at your birthday or wedding, and you offer enough money, the answer will most likely be yes.”

Posted on March 10, 2011 by mmjdiary

Gary Bongiovanni, editor of Pollstar, commenting on Beyoncè, Nelly Furtado, Mariah Carey, and Usher performing private shows for the Gadhafi family.  About a million bucks came each of their ways in exchange.  Ms. Carey said she was “naïve and unaware … Continue reading →

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“I don’t judge a person by what they’ve done and what they’re going to do.”

Posted on March 10, 2011 by mmjdiary

Brian Wilson, of the San Francisco Giants, in discussing his meeting with Charlie Sheen.  That leaves only judging folks by what they are currently doing.  Mr. Sheen has that covered as well, and he could use just a smidgen of judgment.  Sometimes judgment … Continue reading →

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When the Punishment for Cheating is Far Less Than the Consequences for Failure

Posted on March 10, 2011 by mmjdiary

I am a single parent, so, hell yeah, I have the motivation to want to have good scores. I don’t want to lose that money. Think about the teachers who are monitoring their own students who are taking those state … Continue reading →

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You may have crossed a few ethical lines if you have covered the windows of your classroom so that folks on the outside cannot see that students are cheating on their state exams.

Posted on March 10, 2011 by mmjdiary

Yes, educators at the George Washington Carver Charter School in Highland Park, Michigan opened exams early, spread the questions around before students took those exams, and offered answers as the students took the exams.  “I think they were afraid for … Continue reading →

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We Are Ahead of Japan When It Comes to Cheating

Posted on March 4, 2011 by mmjdiary

The Barometer recalls the 80s when we here in the USA feared that the Japanese would take over the world because they were so good with cars, real estate, and production.  Their lost decade found us pulling ahead.  And there … Continue reading →

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On BYU’s Standards: Enforcement is to an organization what integrity is to individuals.

Posted on March 4, 2011 by mmjdiary

This ethics stuff is fairly straightforward when there’s not much to lose.  We tend to go wobbly when so much is on the line. However, BYU yanked the eligibility of one of its star basketball players as it heads, with … Continue reading →

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Rajat Called Raj: SEC Says Goldman Director Tipped Galleon CEO and Now Faces Charges

Posted on March 2, 2011 by mmjdiary

Rajat Gupta was a member of the Goldman Sachs board in 2008 (he has just resigned) when the board discussed on September 21-23 converting Goldman Sachs into a Bank Holding Company and accepting Berkshire Hathaway’s offer of a $5 billion … Continue reading →

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