Leaders Beware

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Jul28

July 28, 2006

It looks like the bad guys lost another one.

Today, a federal appeals court rejected defense arguments that WorldCom Inc. founder Bernard J. Ebbers was deprived of a fair trial. That means the fraud conviction stands. That means that "the once-brash mogul" will likely spend the rest of his life in prison.

The decision puts Ebbers in the same jail-time fraud category as Enron's Lay and Skillings and former Tyco International Ltd. (TYC) CEO Dennis Kozlowski.

CEO's take note. THe ruling included this sentence.

"It may well be that all but the most trivial frauds in publicly traded companies may trigger sentences amounting to life imprisonment."

Power, pride and greed are the enemies of true leaders but are a seductive temptress. The penalties for flirting have been raised.

Read more at the Washington Post.

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