Monday, April 8, 2013
Do institutions make money from illegal activities?
Of course they do and I refuse to believe that if they deny that they were not in the knowhow and were conducting their business out of ignorance of the relevant laws. I am talking about the time when a company pays its fines but deny any wrong doing ( I have already posted this in my previous posts). Do you for a minute believe that when some institutions set aside money for these charges they don’t know in advance that they have done something wrong and sometime in the future they will have to pay a fine so they set aside these ridiculous charges and still have money to pay for the operating costs and earn a profit? I have been following these fines and penalties for a very long time (measured in years) and this I have come to a conclusion that I don’t for once believe that with all the best technology and personnel they have to comply with government regulations and still they end up with violating some rules (which sometimes are really common sense laws) and still claim innocence. So my question is now why they do that, does claiming their innocence and denying any wrong doing absolve them from any wrongful activities. And if they are still paying penalties to avoid going to a costly trial means acknowledging tacitly that indeed they were in the wrong but do not want to admit it for public relations. I will believe that it is the later one that they are indeed guilty but do not want to admit it in writing but by paying fines they go on with their business and treat it as a business expense. And also there is so much money to be paid by the wrongful activities that even if they pay fines it is nothing as compared to what they earn in fees. So the institutions indeed make money by their wrongful and illegal activities but with huge amount of money at stake, they just don’t care about the penalties that they will have to pay in future.