If there’s a reason why people should be pissed at the top 1%, or in this case the top 1 % of the top 1%, the story of Jon Corzine and MF Global should justify it.
First of all, let’s note that Jon Corzine, former CEO of Goldman Sachs, is a big-time Democrat. There are some clueless people in the conservative blogosphere who have this notion that rich people are Republican, or that Wall Street is Republican.
And then on the liberal side of the blogosphere, there are people who still have the notion that Republicans are rich while Democrats represent the middle class. That’s also false. In New Jersey, the super-rich Jon Corzine ran the state of New Jersey into the ground, and then he was voted out of office in favor of the solidly middle class Chris Christie, a mere government employee for most of his life. Well, maybe he was upper middle class, but his government job paid him less than $200K so he was in the 99% along with the Occupy Wall Street people, because you have to make more than $300K to be in the top 1%.
And while Chris Christie was saving New Jersey from its fiscal mess, Jon Corzine was busy running MF Global into the ground. And if you read the article I linked to above, you will see that Jon Corzine was not just a mere victim of a company which would have gone bankrupt without him. Rather, Jon Corzine directed the company to engage in risky investment strategies that wound up losing so much money that the company went bankrupt.
It’s worth noting that if someone like a computer programmer left his job for ten years to do something else, no one would ever hire him in his original field ever again. But different rules apply to the top 1% of the top 1%. Corzine’s decade in politics apparently didn’t create the perception that his skills were too outdated to work again in his previous profession.
The final kicker is that not only did MF Global lose money on bad investments, yesterday it was revealed that $700 million of customer money is missing.
My prediction is that Jon Corzine will still be rich after all this is over. Conservative libertarian types sticking up for rich CEOs make the ridiculous argument that they make a lot of money because they have more “risk.” While what Corzine did was risky for shareholder, customers, and ultimately the US taxpayers through the SIPC, Corzine himself is not going to personally go bankrupt. Nope, he will be able to keep the massive salary he was paid to run MF Global into the ground. And someone will probably hire him again.
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