The Stewart Affect

The Stewart Affect

The decision in the Martha Stewart case put great pressure on the criminal penalties that would be dealt out in future findings. Lying under oath is a federal offense, perjury; the penalty should not be different as it is incurred for white collar crime. If you break the law you break the law it there is not alternate reality. Martha Stewart received inside information on the company's financial instability. Ms. Stewart held considerable amounts of stock in the company at the time, placing on the company's board of directors. Upon hearing this confidential information she quickly sold a large quantity of her stock in the company before the news was available to the public or before the stock to lapse in value.

Some may look at Martha Stewart's dealings as acceptable, while other's are quick to identify the parallels to Enron's terrible white collar indictments. The trend of the rich getting richer while the poor have kids and continue to get poorer is continuously seen in America's capitalist society. When blue collar America reads, watches and hears about rich successful people white collar America lying, cutting corners and taking advantage of others they are outraged. Martha Stewart didn't break any laws until the company was investigated. The internal revenue service looked into the financial practices of the company and found the funds were misplaced. Funds were also allocated from the companies holdings to private accounts for the upper level company's members, executives and board members. When questioned, under oath, on her specific knowledge of the company's financial situation and if she had been advised to sell her stock she answer with a firm "No." Others who were question, under oath, told the truth and Martha Stewart's true involvement was unveiled. She in turn was charged on the offense of perjury. Does