THE POLITICAL FRONT: Observations And Lessons About the Madoff Mess

The Political Front with Douglas Castle

Dear Readers:

Prosecutorial politics have not changed since the celebrated times of The Inquisition.

Networking politics have not evolved altogether that much either, except now, instead of conquering and acquiring other tribes or kingdoms with Greek Fire, arrows, halberds, maces and wooden horses, we use e-media and weapon-free psychological pursuasion. We connect with strangers and endeavor to convert them to colleagues. We generally do this without violence or coercion.

Sometimes we refer one of our networking acquaintances to a third party -- this can be a blessing or a curse, depending upon how it is done.

The objectives of prosecution are fairly simple: investigate, indict, convict and punish. The techniques involve threats to the target, and to persons beloved to the target. The "remedy" posed to the target to mitigate his or her exposure to long-term incarceration invariably involve helping the prosecution to indict, convict and punish others -- this approach allows the trapped party (i.e., Mr. Madoff) to provide the prosecution with as much nasty information as possible on every person with whom he has conducted business. This used to be called "singing," or "ratting out" your colleagues, but now it is called "cooperation and offering testimony."

Sadly for Mr. Madoff's every business acquaintance, they are all in the process of being spoken about and possibly targeted for prosecution. It's arithmetically equitable, in that Mr. Madoff's sentence can be divided up amongst a number of his colleagues (prosecutors call them co-conspirators), so that Mr. Madoff may not have to spend several consecutive lifetimes as an inmate. It's downright ironic that many crying "victims" might well be found, upon investigation, to actually have been accomplices, and compensated well for their complicity.

In this process, the turd (for lack of a better expression) not only rolls downhill (crushing the aiders and abetters), but it actually defies gravity and military tradition by rolling uphill, as well. By this, I mean that the prosecution would like very much for Bernie to give them some incontrovertible evidence that some very high-ranking politicians, charity administrators, and seemingly untouchable business leaders willfully participated with him. What prizes for any prosecutor! Remember the Clinton impeachment proceedings? Remember the late General Noriega? Remember the now demised Saddam Hussein?

What this says to every networker is:

1. Be careful of the company you keep;

2. If you're going to do something unethical or unlawful (which you really shouldn't, anyway), don't ever have a partner, and don't ever let anyone know about what you've done. Today's bragging is tomorrow's confession. Don't provide ammunition to anyone who may choose to target you;

3. Build a reputation for integrity -- while this allowed Mr. Madoff to suck many victims (and accomplices) into his scheme, his "integrity" was merely for sociopathic show. It was not genuine, as demonstrated by his actions both before and after he entered his plea. When your instincts tell you that something may be unlawful or wrong, either walk away, or get a third-party opinion (in writing) about the legality of what you are doing;

4. If you introduce someone to anyone else, preface the introduction with:
*Where you met the person;
*How long you've known the person;
*If you have actually conducted business with the person, and the outcome;
*If you are receiving any referral fees or other compensation for the referral;
*That the person receiving the introduction should conduct his own independent assessment of the person whom you are referring, as you cannot and do not act as surety for the other person, or for the actions of any other person;

5. Be cautious about introductions. If you are receiving a referral fee, be all the more cautious. Full disclosure and genuine transparency are the order of this era.

Networking is a wonderful social and business phenomenon, but don't insinuate yourself into a chain of fools (with apologies to Lady Aretha Franklin, Queen Mother of Soul) just to "help someone out" or to make some extra money. Whether you like it or not, if you catalysize a relationship which turns out badly for either or both parties, you might find yourself facing down a large, rolling juggernaut of waste matter.

In sum: Be careful with whom you associate, and be just as careful about whom you recommend. As an aside, don't let the natural human propensity toward greed impair your judgment -- avarice, like alcohol, can be very dangerously intoxicating.

Faithfully,

Douglas Castle

DOUGLAS CASTLE

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THE POLITICAL FRONT: Observations And Lessons About the Madoff Mess