Wednesday, July 14, 2004

Ken Lay should go to jail !

I believe Ken Lay, the former CEO of Enron should go to jail. Why?

Understand me correctly: this is no legal judgment. Everybody should be assumed innocent until proven guilty. And Of course Mr Lay will try to show that he didn't know anything about the financial fraud that was going on. Not that he will deny that is has been going on, because that is pretty obvious. But he'll try to prove he wasn't aware of it.

But even if he succeeds in actually proving he didn't know about it, I think he should have known and should still be put behind bars.

The reason is if he gets away with this, any CEO in the future will always be able to get away with fraud and plausible deniability will become a de facto standard in each boardroom. Provided you don't interfere at all with the financial matters of your corporation, you can then always escape prosecution in case of corporate fraud. And that seems to me unacceptable if we ever want to improve corporate responsibility.