For Facebook and Alphabet, Big-Ticket Fines Cause Limited Pain – WSJ

VEA Vice Chair Nell Minow is quoted in this Wall Street Journal story about whether the penalties Facebook will be paying is enough to discourage further abuses. Financial penalties typically are meant to discourage further misbehavior or make victims whole, said Nell Minow, vice chair of ValueEdge Advisors, a corporate-governance consulting firm for investors.“That second…

Opioid-maker CEO convicted of racketeering for bribing doctors to prescribe addictive painkiller.

This is an enormously important development and underscores the crucial role that investors can play in making sure that incentive compensation and other elements of risk management are aligned with long-term, sustainable returns. A federal jury on Thursday found the top executives of pharmaceutical company Insys Therapeutics guilty of criminal racketeering for orchestrating an elaborate…

Oil Company CEO Fails to Disclose “Loans” (Actually Bribes)

Oil company CEO John D. Schiller Jr. failed to disclose more than $10 million in personal loans he received while serving as chief executive officer of now-defunct Energy XXI. He sought the money in exchange for business contracts in 2014, when he was facing margin calls on a highly leveraged account secured by his company…