Articles are available for reprint as long as the author is acknowledged.

White Collar Muggings Matter

Dr. Domenick J. Maglio, Ph.D.

Americans have been taught that crime does not pay. This message seems to be changing in our evolving modern culture. The more accurate statement is, “crime does pay for the rich and connected” and only does not pay for the common person.

The President of the United States nominates cabinet officials and congress has the duty to or not to confirm these nominees. Our leadership in the three branches of government is teaching us it is acceptable to be a criminal as long as you have a high position of power.

In the judicial system judges have leeway in sentencing. The courts usually throw the book at the petty criminal. However when it comes to the rich and connected, our judicial system treats these criminals with kid gloves. The psychological trauma of having to start over after losing everything you have worked for your entire life can be harder to overcome than a physical wound. The despair from white-collar robbery can alter one’s life even more drastically than a violent mugging.

The former chairman of NASDAQ, Bernard Madoff, has allegedly bilked $50 billion, not million, from very trusting clients. He is still living in comfort in his multi million-dollar penthouse spending other people’s money as a free man. The judges are treating him as a celebrity rather than what he is: a crook who has ruined the future of many people.

Individuals and foundations had total faith in Madoff’s integrity. This weasel and others like him did not use a gun but pulled off a Ponzi scheme crime that robbed his clients, friends and family. He and others like hedge fund manager, Arthur Nadel, knew his “house of cards” would eventually fall. All these white-collar muggers do irreparable damage to the lives of innocent people. Some of Madoff’s victims have committed suicide; the lives of others have been negatively altered forever.

On the political front we are told cheating on our taxes is a crime for us but is excused and dismissed for the “too big to fail” political elite.

Timothy Geithner, our new treasury secretary, admitted under oath and in front of congress, that he failed to pay his 2001 and 2002 taxes because the statute of limitations had run out making the government unable to legally penalize him. Just before the confirmation process he did pay the 2003 and 2004 taxes he also owed. Unbelievably he then stated that “they were unintentional mistakes” and “he should have been more careful.” This was not incompetence. It was blatant cheating. He was rewarded with being confirmed to the powerful federal position enforcing the IRS laws, which he did not follow. His appointment is choosing the fox to guard the henhouse.

Tom Daschle is the latest tax cheat owing over $140,000 in back taxes and earned $5.2 million, a quarter of which was consulting with companies he is supposed to now regulate. His wife is a high profile lobbyist. After nominating him, President Obama continued to support him for the job of secretary of Health and Human Services until it became obvious it would be politically impossible for the senate to confirm him.

Charles Rangel, chairman of the House Ways and Means Committee, has cheated the taxpayers out of unpaid taxes for a decade. It appears he will not be required to pay interest or penalties on the $20,000 in unpaid taxes. He has not stepped aside as chairman nor been asked to resign by fellow members of congress.

Christopher Dodd received a special VIP discounted mortgage from Countryside Mortgage Company. The Mark Rich scandal and huge donations from foreign governments to the Clinton library did not derail Hillary Clinton ‘s confirmation as Secretary of State.

The selection of disreputable politicians is making a mockery of every American for being a responsible citizen. Citizens will pay their taxes thinking that they may be fools for doing so. We have always had crooked politicians. In the past it was a drip, now it is a flood. These hypocrites have contempt for American laws and moral values that they are supposed to enforce.

WE THE PEOPLE choose elected officials to represent the people’s interest not their own aggrandizement. Without justice being served in the judicial, executive and congressional branches of government we will continue to see an increased Cancer of Corruption. Punishment has the power to deter criminal behavior. Without serious penalties for these sleazy financiers and politicians there will be no impeding them from continuing down the path of deceit thus undermining our institutions.

Our founding fathers noted that a republic needs moral leadership to survive. As President Obama said on January 29th about Wall Street CEO’s receiving excessive bonuses, “This is the height of irresponsibility. It is shameful.”

President Obama should heed his own words or suffer the ridicule of breaking his emphatic promises of leading an ethical government. President Obama should heed his own words and not nominate anyone who does not have an impeccable record. He should use the bully pulpit to point out and then cut out the Cancer of Corruption when it surfaces in the congress and the executive branch.

WE THE PEOPLE must vote out any congressional representative who does not stand up against corruption or we will all witness the dissolution of our republic.

Dr. Maglio is the author of Invasion Within and Essential Parenting. He is a psychotherapist and the owner/director of Wider Horizons School. Visit: www.drmaglio.com.