What’s wrong with jail for oil executives? It’s not personal. It’s strictly business.

It worked for Al Capone… why not Tony Hayward and so many other oil executives?   Remember the adage that you’re never punished for the crime but you’ll be doomed for the cover-up?  The oil spill is horrific but what’s more damaging has been the response, the obfuscation, the denials, and the apparent path of half-truths.

It seems apparent there will never be enough money to pay for all the losses, the hardships, the heartache.  Besides fines are merely money paid by a corporation and diddled about on a balance sheet.  In an age where we mourn the absence of real responsibility, make the crime personal, not just business.

Al Capone was never convicted for crimes regarding prohibition but for tax evasion.  What’s the crime committed by the oil executives?  Perjury!

Follow the logic.  Or perhaps better phrased, follow the money.  In order to gain government leases, in order to win approval of countless drilling plans, even when testifying before Congress following the disaster on Transocean’s Deep Horizon drilling rig it seems evident the executives from BP systematically misstated the facts (lies, fibs? white lies, convenient truths?) on government forms, contracts, plans and in testimony.

And that, ladies and gentleman of the jury, is perjury.

$20 billion dollars will never be enough as a set aside for damages.  BP is already claiming they have spent 10% of that on containing the spill alone.  What will happen when gulf beaches become oil stained gooey sand dunes, devoid of tourists for years?  Or what will happen to spring-break-centered towns like Panama City when no students return next year?  Or for anyone who bought condos on a once white-sand beach who will never be able to unload those albatrosses?  Imagine the devastation from the first hurricane in the gulf which inhales oil soaked sea and distributes that as rain hundreds of miles inland, not to mention the storm surge, both of which will leave an oily residue hundreds, perhaps a thousand miles from the spill?

There is simply no way to contain the damage nor provide restitution for all these ‘legitimate’ claims.  How do you put a value on some of the losses, or for deaths of wildlife or fish?  As for the examples like a hurricane BP will most likely argue that flood surge and rain is an act of God and nature and surely they cannot be held responsible for that!  As for the more acute, local claims, one must believe they will follow Exxon’s tact of making every nickle and dime a hard-won fight for those who suffered the loss.
Which brings me back to my principal theme.  In order for any real change there ought to be personal and not just business accountability.  This may seem like some sort of Jonathan Swift parable but change is unlikely to stem from political posturing, Congressional displeasure and environmentalist hand wringing.  For any oil or drilling executive who made their false assertions, who knew that there were not enough booms, or that the valve was not up to par, they should be held accountable for simply this: lying.  They seem to have lied or misled or misrepresented inconvenient truths regularly.  Senior and highly trained engineers at BP and other oil giants should have known better – they to either lied or went mute when higher-ups changed or modified their reports.  They kept their jobs but at an ethical price that is now being borne by others who are quite innocent victims.  Similar assertions of defense and denial echoed at war crime tribunals with only a modicum of success.  Surely we would not be able to jail all of the senior vice presidents, the vice presidents, the senior engineers and on down the line, and some offer value as government witnesses, but the point is simple – let’s make those responsible pay for their perjury.  While we’re at it, perhaps offer an amnesty for all the other oil companies might be considered, for perhaps 90 days, as a period when they could review and revise their plans too.

And this new truth-telling or ethical conduct might be applied to the mining industry… or transportation, or food too as there seem to be countless industries that have grown too cozy with government regulators who  believed we’re paid by taxpayers to protect the public at-large.

The point is this – instead of focusing solely on monetary recover, which is important, let’s not settle for the easy solution – the money alone – but use this disaster as a water shed mark in US history when companies are put on notice that too-close-for-ethical-comfort relationships with K Street lobbyists is not an alternative to the more costly truth; and that doing business well requires ethics.  That success is not judged solely on the balance sheet or an ability to recover from a whoops-moment.

We have suffered through the banking crisis, the housing meltdown, the oil spill and yet it feels as if we haven’t learned a lesson called accountability.  Fiscal, moral, ethic accountability and leadership is what is sorely needed.   We have suffered a hat trick of woe.  Have we learned anything more than, “Wow, it sure is expensive” and “How did that happen?”  Are we that naive?  Are we perpetually doomed to be ostriches?  If we don’t want to put the bastards in jail then let’s break out the old family recipe for mixing tar and start gathering the feathers.

The media has treated each of these events in a episodical way.  The public sees them as disasters each  in their own right.  But I think there may be an underlying cause that transcends all three… greed, a lack of ethics and accountability.  Money wont restore that – not even the most Draconian fine.  Accountability is not s synonym for businesses with deep pockets but rather it should be a maxim for the behavior of a company’s leadership, its C-levels and its Board.

BP’s Media Management – Brilliant! Insidious but brilliant

Brilliant?  Tony Hayward and the cast of Gilligan’s Island… brilliant?  Well, perhaps as the Skipper he has left a lot to be desired, but virtually everything else the BP media machine is doing is text-book perfect and likely to be studied as a model for crisis communications and disasters of tomorrow.

BP is using the media, the web, social media and is literally crafting stories right before our eyes.  They have mastered the concept of producing and distributing their own media and communications.  Believing in the long tail of the web BP has hired its own reporters to gather news stories under the guise of journalism. Under banner headlines “BP reporters Tom Seslar and Paula Kolmar are on the ground in the Gulf, meeting the people most immediately affected by the oil spill. Read their regular updates” are an apologia of unimaginable guile and proportion featuring heartfelt reports of clean ups and mitigating the severity of the disaster. BP knows that some of these stories will fall into mainstream media either through a lack of checks and balances or an absence of editorial scrutiny. BP knows that while they cannot rebut all the stories produced by the press the corporation can muddy the water by producing and distributing its own look-like news. Clever. Perhaps even diabolical. Effective nonetheless.

Aggregating electronic media is also used to build what masquerades as a social media-oriented site where true news is co-mingled with corporate pieces.  They create and maintain a look so responsible, so balanced and fair.  Why not?  They cannot prevent the cascade of negativity so they might as well co-opt it to fit their presentation and advantage.  And goodness let’s watch them use You Tube as one of the silos to distribute their material to the main stream.

Union Carbide and Exxon were the poster children for how to bumble and fumble corporate responses to a crisis. Johnson & Johnson, Odwalla, even fast food outlets have done a better, more comprehensive and responsive job in managing a crisis over the recent past. But BP has set a new bar in how to handle the media on the ground, when to stonewall, when to provide selective access to those it favors (most notably FOX news, perhaps based on their British Sky News affiliation AKA Rupert Murdoch?), and now creating content thanks to their own news team juggernaut.

After Katrina all the networks pledged to establish and maintain news bureaus in New Orleans in response to what was perceived to be the national anguish over the tragedy. Slowly but steadily the New York based, east coast centric news producer’s interest waned until the economic costs of sustaining gulf coverage was deemed to be too high with respect to the newsness and news value of what was produced. No network executive wanted to blink first, that is to be perceived as caring less about the minority impacted city, but inevitably the networks scaled back and withdrew their staffs. Watch for the same in the gulf… the story will move from just Louisiana on to Mississippi, Alabama and ultimately the prize jewel Florida. As the floating story sails the gulf the reports will migrate too, a nomadic news team on the prowl for the oils next landfall. Meanwhile the audience’s attention to oil soaked birds and families-with-ruined-lives will become tiresome. The birds will be featured in pieces on Nat Geo. The families will become features on anniversary occasions and special events such as Thanksgiving and Christmas.
Cynical perhaps but predictive too. And as time passes the only ones covering the story, crafting and creating faux news will be the one organization with the most money to spend and the most reputation to change… BP.
Watch it and weep.

Politics, Partiansanship and Priorities – why doesn’t the media focus debate on what is seriously threatening the bulwarks of government and democracy?

Announcing his intention not to seek re-election to the U.S. Senate, Indiana’s Evan Bayh (D-IN) said, “After all these years, my passion for service to my fellow citizens is undiminished, but my desire to do so by serving in Congress has waned. For some time, I have had a growing conviction that Congress is not operating as it should. There is too much partisanship and not enough progress — too much narrow ideology and not enough practical problem-solving. Even at a time of enormous challenge, the peoples’ business is not being done.”

What a sad admission.  What a sorry state of the Congress as articulated by one of its insiders.  Too much partisanship? Too politicized? Not enough of the people’s work is being done?
At first I applauded Sen. Bayh for his conviction but the more I think about this the more unsettled I become. Why not fight the prevailing wind?  Too Quixotic?  Unwinable?  Pointless, a fight not worth fighting?   How sad that seems.
Senator Bayh can do what he chooses, to fight what he believes is worth fighting, to take a stand where he believes one must draw a line, stand and fight.  I am however reminded of former Congressman Robert Drinan (D-MA) who always believed that the means was every bit as important as the end, that the way legislation was crafted and implemented was as important as its end result. Congressman Drinan was also a Jesuit and that might explain his unyielding commitment and personal focus. Ultimately Pope John Paul II compelled Bob Drinan to choose between his collar and calling and his seat in Congress, and Father Drinan returned to academic and ecclesiastical positions.
I applauded Evan Bayh for taking his stand and calling attention to his frustration.  But the more I think about it, I am concerned if this is the easy way out?  I am struck by the thought that if people whose convictions are truly noble are being compelled to leave the Congress, aren’t we all as a nation at a loss for their departure?

The media isn’t helping… it is polarizing too.  Whether to the right (FOX) or left (MSNBC) or the muddled middle (CNN), the public is not being served by dispassionate debate and articulation of the facts.  There is a rah-rah quality to many presentations that neither serves democratic discourse or perpetuates sober debate in lieu of screaming and emotion.  The health care debate, the public meetings, the posturing and promoting of personal agenda would seem to more the sufficient evidence to indict both politicians and much of the media.

Of course there will be calls for restructuring, just as there have been calls for campaign finance reform as if this will be the cure-all, the panacea for what ails us.  I think it might be deeper than that, deeper even the the pockets of wealthy candidates who seem intent on spending personal fortunes to win their election.  Deeper too than just positioning and spin.  Much deeper than what can be squeezed into a 30 second attack ad or single column op-ed.

The real problem is tolerance.  Until we work to reform the process, unless we all agree that the means matters, until we stop the rhetoric and bombast at the expense of listening, then there will be only greater partisanship and discord, tumult and disharmony.  From sound bites and quotes, to commercial messages which banter about words like “liberal” or “conservative” with such venom as to make each totally unpalatable, we will continue to alienate audiences, to turn people off, and to polarize listeners and viewers who will believe only in what they are already convinced about, supporting sides they favor and eschew all other viewpoints.

That is the true loss we face.  We should report on that.

Use a Camera, Go to Jail… new laws make it illegal to photograph police

3 states now have laws prohibiting news photography of police… actually, any photography of on-duty police.  If this is the new trend, what does it say for society that it is more afraid of protecting illegal or unprofessional acts by law enforcement than protecting civil rights?
Gizmodo.com is reporting Are Cameras the New Guns that law makers across the country are writing laws that limit if not outright prohibit photography of on-duty police in order to limit or halt photographs or video appearing on social media.
Laws that restrict citizen’s rights also restrict the news media and drape a veil on the truth.  How far does this extend? Will news crews be allowed to shoot benign pictures of video of traffic accidents but not when police misbehave or there are questions of abuse and misconduct? What about civilian journalists who have captured police beatings, for instance the Rodney King video in Los Angeles, the Oscar Grant shooting allegedly by BART police officer Johannes Meserhle – are they now liable for prosecution for capturing evidence of potential misconduct?
Would this ban on photography extend to riots? Would this extend to coverage of police protecting the President of the United States making a visit, campaign trip or speech?
Where does one draw the line — is it permissable to make pictures of police when they are doing good things but not when their conduct might be called into question?
What, pray tell some one explain this to me, are we afraid of?  This was, still is I would hope, a country where we expect our civil rights are protected… where we expect the best and most professional conduct from law enforcement, and where we acknowledge that bad things do happen… and that there are laws to protect everyone involved.

It just doesn’t make sense to me.  Would some one help me to understand by starting a rigorous debate?

When is somebody (how about you Mr. President?) going to kick some ass?

Frank Rich has written a compelling Op-Ed piece (6.4.10) in The New York Times Don’t Get Mad, Mr. President. Get Even asking if or when the British Petroleum gulf oil spill will finally trigger Mr. Obama’s anger to reach a boiling point. I think for many Americans, especially those living from Texas to Louisiana, Mississippi, Alabama and to Florida, that tipping point passed some days ago.

Doesn’t it bother any one but me that he seems so measured?  So level headed… so unflappable even as pelicans and other shore birds die; just as beaches, industries and communities all slathered in oil may not recover for a generation?  Doesn’t this disaster rise to the level where some one in government, some one in charge, can appear to be righteously pissed off over the event, the handling, the aftermath and the guile of the company and executives in charge?

And then comes the story from The Washington Post Gitmo Becomes $500 million Camp Costly that the government’s investment in facilities at the prison camp includes features that might be considered by some, especially those suffering from the downturn in the current economy, to be lavish by any standard.  Fast-food franchises, an Irish bar, astro turf and playgrounds (mostly unused) litter the base even as its mission is on the decline and the urgency of these constructions seems to be mitigated?

A story in the Seattle Times over the weekend reported fees for the Washington Mutual bank failure have topped $100m and are still climbing.  Of course these are fees that to be paid from whatever is salvaged from the assets even as that means an even smaller fiscal pie is left to pay back to investors.  What was most alarming was the line that attorneys are charging $925. and hour for their services.  That’s a higher rate than most criminal attorney’s charge on capital cases!  Doesn’t any one wonder whether this seems exorbitant?  Is there a better way, a more affordable way?  Should there be?

The lessons learned from the bank failures and the catastrophic consequences of the financial meltdown are still yet to be calculated.  But for those responsible, isn’t tar and feathering an option worth reconsideration?  Shouldn’t many Americans who are living on savings, borrowed money, who have lost jobs and in many cases are losing hope, what little remains, aren’t they justifiably angry?  What’s wrong with showing anger?  What’s wrong with being authentically mad?  Why is showing anger something that seems to be out of place?

I cannot help but recall the lead character from the movie “Network” who asked his viewers to go to their windows and scream, “I’m mad as hell and I am not going to take it any more.”

On the eve of election night here in California, as well as other states, I do wonder when the electorate will find its way of expressing its simmering anger… not just in a ‘toss the bastards out” kind of knee-jerk response, but when will we demand and get better?

So long, farewell… Buh-bye Tony

BP CEO Tony Hayward is a marked man emerging as America’s latest leading corporate villain.  He’s the new poster boy for what not to say in a crisis.  His apparent self-focus that “he wants his life back” pits his desire for normalcy against the loss of 11 workers in the fire and sinking of the Transocean rig.  One might imagine their families would like those lives back too.

Tony, you’re doomed man. Say goodbye.  It’s all now a matter of time… you’ve been tar and feathered, smeared in oil.  When you now appear on camera the common reaction is to throw darts or change the channel.  In a world where trust and believability, credibility and likability rule… you’re sinking like a rock.

It seems truly amazing that – for some one who teaches crisis management -BP continues to make mistakes, missteps, misstatements 45 days in to the disaster.  The failure to explain what would be deemed “legitimate” claims before Congress in the earliest days of the story is today compounded by an artful, expensive PR campaign that features Hayward and his cabal of advisors doing the ‘best they can’ all the while oil gushes from the pipe.  Isn’t there an inherent contradiction in all this… are they really doing the best job they can?  Difficult admittedly, but not a success by a long shot.

The real lesson remains the experience of Valdez, Alaska.  Twenty one years after Exxon ran their tanker onto Bligh Reef there is still an oily residue just under the rocks along the shoreline of Prince William Sound.  Droplets of oil abound in the water, in pools, coating the underside of rocks that cover that shore.  Billions of dollars spent and tens of thousands of man hours invested in clean up have failed to restore, entirely restore, the waterways and shoreline.  Yes the sound is healthier than some doom and naysayers predicted, but it is not without lasting injury.  It would seem evident that a similar fate awaits the gulf coast and possibly other eastern beaches and the communities that depend upon the water for food, tourism, attraction and livelihood.

So as we watch for the expected outcome — Hayward will walk the plank with a shove from the BP board; the company will lose its financial luster and ultimately file for court protection or receivership to protect its reduced and falling assets.  Thousands of workers will lose jobs and homes; alcoholism will rise… abuse, domestic violence, divorce all soared in Valdez and the surrounding communities too.  Suits and class action filings for worker compensation due to illness stemming from the clean up will clog the courts the way the oil stifles marine life on marshes today.  Perhaps even years from now medical claims, lung and other injuries will continue to haunt local residents and their families, perhaps too even birth defects.  This will be a petri dish for health, injury and litigation for generations.  Within this year I predict BP and it’s eco-friendly logo will be replaced with a new name and consumer  brand, as if that is sufficient to hide the experience from the public’s memory.
Sadly it doesn’t take scientist to see where this mess is headed… admittedly it’s a bona fide crisis.  Hayward may become the fall guy but the corporation and those who are advising it deserve some of the blame for the handling of the story.   Black oil, corporate greed… mistakes and mishandling.  Dishonesty.  Shame.

Bombast and Bravado – and just who are you calling “riff-raff”?

Korean News, the public face of the North Korean government offers a daily menu of just about the most colorful propaganda available anywhere.  In today’s posting “National Defence Commission Issues Statement” the DPRK  warns the world not to take any action retaliating for the alleged torpedo attack on a South Korean naval warship.  Fair enough – it’s sabre rattling and diplomats, journalists  and analysts closely read these pages carefully noting even slight variations in words and phrases as indications of true policy.

Here’s how they drive their point home, “It is our invariable iron will to react to “retaliation” with more powerful retaliation and to “punishment” with indiscriminate punishment of our style.

Availing ourselves of this opportunity, we sternly warn the U.S. and Japanese authorities and riff-raffs, their poor lackeys, to act with discretion.

The world will clearly see what dear price the group of traitors will have to pay for the clumsy “conspiratorial farce” and “charade” concocted to stifle compatriots.”

Well, I hope their not calling either me and you riff-raffs.  And certainly not on a Friday.  We might justifiably take umbrage.  We can safely presume they’ll have more to say through diplomatic channels but for sheer propaganda, this is unadulterated mastery.