January 2016 Archives

Warning for All Executives: The Feds Are Watching

Whether you think well of former Massey Energy CEO Don Blankenship or dislike him; whether you are a "Friend of Coal" or a "War on Coal" supporter; Blankenship's conviction should get the attention of any Executive in any industry. The federal prosecutor on the case said it was the first time a chief executive of a major corporation was convicted of a workplace crime. "Unprecedented" was the word. Blankenship was tried on charges of conspiring to break safety laws, defrauding mine regulators and lying to financial regulators and investors about safety. After a 9 week trial, and 10 days of deliberations, the jury brought back a guilty verdict of conspiring to willfully violate mine safety standards. This one will be analyzed for years, despite any appeals, despite any sentences imposed and despite any hindsight pontifications of how the case should have been tried by both sets of attorneys. One fact is certain--an executive got convicted.

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