Wednesday, August 29, 2012
Fines and Penalties
There are fines and there are penalties. Whenever I see corporations get hit by fines and penalties, they usually pay them up without acknowledging their mistakes. Maybe it is because they don’t want to go to litigation and waste a lot of time and money only to lose at the end or they don’t want to let out the secrets of the basis of their fines. But if you are not to be blamed then why do you have to pay for the fines in the first place It is just as well the public knows that you have done something wrong and you will want to pay the fine and get over with then to acknowledge the obvious. But now the same thing happens with individuals too, they would rather acknowledge the guilt and pay the fine rather than sit through court proceedings and not know what the outcome is. I have no idea how they decide how much to fine or penalize some company and how do they come up with the formula. But usually the bigger the offense, the bigger the fine. Usually the fines and penalties are there to act as a deterrence for other people not to follow in the same footpath, but there is too much money involved in doing some illegal dealings that corporations and people do it intentionally and then they thing that they will get away with it with a fine. But I believe that only fines and penalties should not be used but also some type of restriction on a corporation’s activity where they made all that money should be implemented so that it is a lesson for others not to do the same.