When is Greed Good?
- 1998: Waste Management - Reported $1.7 billion in fake earnings.
- 2001: Enron - Shareholders lost $74 billion dollars.
- 2002: Worldcom - Inflated assets by as much as $11 billion. 30,000 people lost their job and investors lost $180 billion.
- 2002: Tyco - CEO & CFO stole $150 million
- 2003: Healthsouth - Earnings inflated by $130 billion.
- 2003: Freddie Mac - Misstated earnings by $5 billion.
- 2005: AIG - Massive accounting fraud of $3.9 billion.
- 2008: Lehman Brothers - Hid over $50 million in loans disguised as sales.
- 2008: Bernie Madoff - tricked investors out of $64.8 billion. Bernie was termed the "Ponzi Scheme King"
- The accounting firm, Arthur Anderson was involved in at least 2 of the above partnerships and subsequently closed its doors with massive job loss.
When is Enough...Enough?! Regardless what generation you are, we ALL remember one (if not all) of these corporate scandals that provided a 10 year ladder to one of the most devastating financial markets in history with the government bailing out toxic business to the tune of an $800 billion dollar infusion.
All of us helplessly stood by, shaking our heads in disgust, left to deal with the painful aftermath of retirees returning to work, friends and family losing their jobs & homes and television news stories we couldn't escape.
But what leads corporate executives to become these big-bad-beasts of industry that steal millions, even billions, when they themselves are already so, so wealthy? The answer must be found in the SMALL things. When we each take a breath and muster the courage to look in the mirror of self reflection, where are EACH of greedy in life and more importantly, when is GREED....ever....good?
Gordon Gecko (Wall Street 1987) has become an famous icon for one that championed free market, capitalism and held the private sector accountable for fairness. He too, a talented and masterful stock & real estate investor, knew at a primal level the good and dark side of "GREED". He explained how greed for life, for love, for money and for opportunity is, in the purest form...GOOD.
Gecko's Speech to Teldar Paper
But when did it go bad for him? As Gordon's young apprentice, Bud Fox, asked "when is enough, enough, Gordon?"
A pastor once told me something I'll never forget. "Don't wait till your house is burning down to call 911 and have the fire department hose you down so hard that your once beautiful domicile is now an uninhabitable, steaming heap of ashes."
This pastor was saying this: Find the smoke. Have the courage to look honestly at yourself in the mirror and see the flaws that, when we really own them can become our greatest strengths. When, however we ignore them, they become massive facial boils that nobody can see our true self. Greed turns on us and we over-consume.
We are ALL greedy! So before you act the victim or point the finger at the overly relentless, consider where your house is smoking. It's our human nature to outreach our own grasp. Enough...is never enough because that's not the metric in which we think, act or build. We sell perfectly good homes and cars and buy bigger, faster ones. We throw away good clothing, and acquire the latest trends. It's our nature to want more and more.
Greed. I've always liked the word. When directed towards purpose, capitalism, fair play...it's a very good thing. Now go be greedy and create value and wealth in all it's beautiful forms in partnership with a universe that is championing your every move.
~Robin Reed
**Source for top 10 list: https://www.accounting-degree.org/scandals/