Time to Shake Up the S.E.C.

by Diane Dimond on May 3, 2010

The Porn Soaked S.E.C.

I wish there were a way to indict an entire government commission. Okay, well, maybe just the senior staff?

I’m speaking, of course, about the Security and Exchange Commission where as many as 33 of its top management – including senior lawyers and accountants – were apparently too busy looking at triple X-rated internet porn sites to notice brewing financial tsunamis like the implosion of the U.S. housing market, the demise of giant Lehman Brothers and rogue billionaire investment gurus like Bernie Madoff and Robert Allen Stanford who, together, decimated countless thousands of American’s retirement plans.

It was the S.E.C.’s job to look out for our financial well-being and we now see how miserably they failed. As Wall Street quaked, the financial structure of America began to crumble and Ponzi schemes percolated these Bozos were more worried about feeding their own sexual appetites.

Just a short time after the Office of Inspector General’s recent Porn-Gate report made news it was revealed that the

Clean Up Your Act!

S.E.C. had filed a blockbuster mortgage fraud suit against investment giant Goldman Sachs. Headlines screamed the news, Congress immediately jumped on the “we’ve-got-to-have-hearings-on-this!” bandwagon and attention was averted away from the S.E.C. employees own criminality.

I want to shine the spotlight back where it belongs. And I don’t use the word “criminality” lightly.

Some of these top echelon employees were raking in as much as $222,000.00 a year, all taxpayer money of course. These ne’er do wells, one who was reported to have spent at least 8 hours a day for weeks on-end perusing and downloading porn sites, might as well have walked into a convenience store and stolen all the cash out of the register.  Stealing is stealing.

This report on porn viewing at the S.E.C. is chilling in its detail. It concludes that most of the X-rated behavior began in 2008 just as the U.S. economy began to wobble and the problem hasn’t stopped! The most recent case of an S.E.C. executive spending more time surfing nasty sites than working on our behalf occurred just a few weeks ago.

One senior S.E.C. attorney spent so much time drooling over and capturing pornographic images on his office computer that he ran out of space on his hard drive. He began to download the lewd material onto discs which filled multiple boxes and were stored right there in his government office. This is an attorney who surely knew what he was doing was wrong.

Mary Schapiro, Chief of SEC, Must Punish Porn Addicts

A female S.E.C. accountant tried to access vulgar porn sites 1,800 times in just one two-week period. Investigators found 600 pornographic images burned on to her government-issued laptop computer’s hard drive.

Another S.E.C. accountant brought his own sexually explicit videos in to work and used the Commission’s computer to upload them to porn club sites he’d joined on line. And a regional staffer’s computer showed that he’d tried to access pornographic websites but was stopped by the Commission’s Internet filter 16,000 times in one month! That averages out to 800 times every work day! What the heck was this guy doing in between trying to view porn?

Mike Leahy, author of the bestselling book “Porn Nation”, asked about that type behavior, said simply, “Trust me, these guys are addicts.”

Great, these are the watchdogs in charge of regulating the economy.

Two years after the porn-fest at the S.E.C. began it is little comfort that they’ve now apparently been shamed into using their computers only for official business. It’s somehow just not enough when the S.E.C.’s spokesman, John Nester, announces that, “Each of the offending employees has been disciplined or is in the process of being disciplined … Some have already been suspended or dismissed.”

Really? Just “some” of them? And, what about the possibility of criminal charges being filed against the worst offenders – maybe charges of accepting government funds under false pretenses – because I sure feel like I’ve been ripped off … in more ways than one!

It’s not just the pornography scandal that should force a major revamp of the S.E.C. It’s the culture of uncaring evident

Madoff Didn't Walk, Neither Should SEC Staffers

for many years there that must change. Way back in 2000 the S.E.C. was warned about the unscrupulous activities of billionaire con man Bernie Madoff. He should have been thoroughly investigated and stopped then yet it took nine years to bring him to justice. The S.E.C. first heard that Robert Allen Stanford was up to no good in 1997 yet his scheme continued for more than a decade, growing to an astounding 8 billion dollars.

I don’t hear Congress clamoring to hold hearings on the Securities and Exchange Commission but I think they should. Those S.E.C. scoundrels who spent time sexually arousing themselves instead of doing the job we taxpayers paid for should have to pay a price.

{ 14 comments… read them below or add one }

Robin May 3, 2010 at 1:40 am

You took the words out of mouth! Great piece….as always!

Reply

Diane May 3, 2010 at 12:26 pm

ABQ Journal reader Carlos writes:

” The SEC is responsible of the Ponzi schemes of Madoff and Stanford.

http://www.actiweb.es/sib/index.html
http://www.actiweb.es/sib/seccorruption.html
http://www.actiweb.es/sib/secporn.html

Reply

Diane May 3, 2010 at 12:27 pm

DD Web Site Reader Robin Sax writes:

“You took the words out of mouth! Great piece….as always!”

Reply

Rosenblum May 3, 2010 at 12:33 pm

Diane
At 200k per year, who do you think is going to work for the SEC? The smart ones are all over at Goldman making 200k a day. It’s not even a contest. Give SEC guys a % of the fraud they find. Then you’ll get some action, and less time spent on porn.

Reply

Rfoulds May 3, 2010 at 1:37 pm

So Rosenblum’s answer is PAY THEM BETTER? Isn’t there such a thing as doing a good job, and earning your middle class pay anymore? Does EVERYONE deserve to be a millionaire now?
I don’t think so.
Let the Ivy league boys and girls go to work for Golman and others. The SEC should hire the college grads from the heartland who still have values and ethics and let them catch the disgrntled Ivy Leaguers.
But to echo Ms. Dimond’s original point. The SEC needs to clean house and start over.

Reply

Diane May 3, 2010 at 6:46 pm

Facebook Friend Robin Brown writes:

“Fire them! They are public servants, hired & paid to serve the public…and these actions are not what they are paid for. They have betrayed a trust and dishonored the offices they hold. Give their positions to those who will remember whom they serve and perform the duties they are supposed to do. Jobs are harder to come by these days – give them to honorable, deserving, hard-working Americans.”

Reply

Diane May 3, 2010 at 6:48 pm

Facebook Friend Lorraine Okie

“Remember a recent Administration Cabinet Member approved regardless of Public Protest to His involvement in Pornography bringing question to the Justice Department . Porn is everywhere and the tragedy is it’s on Tax-Payers Time and just like a pandemic infects at invisible/detectable levels. There are not enough Whistle Blowers with courage to expose because of repercussion. “

Reply

Diane May 3, 2010 at 6:50 pm

Facebook Friend Hollie Vest

” THEY SHOULD BE FINED & then FIRED??? They should have to PAY BACK the tax dollars for ALL of the time they did this on the TAXPAYERS dime & Gov. company time. Really very upsetting.”

Reply

Diane May 3, 2010 at 6:51 pm

Facebook Friend Mary Pastoor Mccowin

“Put the porn issue aside. Those public servants used work hours for personal business. Make them pay back the time they stole from their employers (us).”

Reply

Diane May 3, 2010 at 6:51 pm

Facebook Friend Dawn Givens

“No wonder financial institutions just do whatever the heck they want to.”

Reply

Diane May 4, 2010 at 6:19 pm

DD Web Site Reader Attorney and TV Pundit Doug Burns,

“I did a segment on that on CNN Headline News recently.
This is actually mixing two concepts — job performance and morality — from the standpoint of job performance it’s no different from watching non-porn stuff on line all day instead of working; morals-wise, it’s another thing”

Reply

Diane May 4, 2010 at 6:56 pm

DD Web Site Reader Matt Bruce writes:

“Diane:

I’ve just just the answer! Send them along with Michael Steele to one of those weirdo Sex Clubs that Steele took the GOP Donors to a while back and then afterward let’s DEPORT them all in the name of “common sense”… “

Reply

Diane May 5, 2010 at 6:09 pm

ABQ Journal Reader Don Dietz writes:

” Fire them. There should have been a policy in place to that effect. At Sandia, (National Laboratory) the policy is clear, you watch porn, you’re done. There are cases where some people accidentally stumble onto an inappropriate site, recognize what has happened and immediately log off. If that happens, no harm no foul but if you stay there, you’re history. Should be the case with the SEC.

Reply

dan May 17, 2010 at 11:01 am

I don’t think congress will shine the light in fear some may shine on them.

Reply

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