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As long as a corporation is a shield to commit crimes with impunity, nothing will change. We really need to reassess this perverse concept of a corporation where you can simply commit crimes against people, personally profit, yet never be personally held responsible, let alone accountable.

The same thing is causing problems in the financial markets right now, with massive zombie company portfolios of various private equity firms still paying out fees to the managers to siphon off the debt and assets of investors.

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Corporations shield shareholders from civil liability not operators from criminal charges. You seem to have no concept at all what a corporate shield is or the difference between criminal and civil law
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> As long as a corporation is a shield to commit crimes with impunity, nothing will change.

AI simply makes it easier for corporations to commit crimes with impunity, now they can distance themselves from responsibility even further. No one has even bothered to levy fines for AI agents hacking or corporations violating copyright to train their models.

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> where's the jail time for executives

Our American obsession with jail is nuts. The violation at hand was “misleading state citizens about how it safeguards and collects user data.”

Lots of folks at Meta should be criminally investigated. But not for this, not unless someone willfully signed off on a lie.

> This will keep happening until those at the top are held personally responsible

Perfect is the enemy of the good.

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> But not for this, not unless someone willfully signed off on a lie.

From the judgement: “The extraordinary number of willful violations found by the jury, the duration and repetition of the conduct, the breadth of subjects on which violations occurred, the involvement of senior Facebook leadership, the size of New Mexico audiences reached, and the clear intentional and systematic nature of Facebook’s repeated misstatements established in the trial record support the highest level of penalty allowed by the New Mexico Unfair Practices Act […].”

Emphasis mine.

It isn’t criminal law, but maybe at that level it should be.

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In case it hasn’t become abundantly clear to everyone by now: this is how Facebook operates. The people who do this stuff get promoted, and vice versa. This will keep happening until those people are scared straight, and the incentive structure that turns people into this are abolished.
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> the involvement of senior Facebook leadership

If anyone perjured themselves, granted. If not, criminalizing this lets anyone in power go after anything with any economic heft.

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Beating someone with a stick isn't the only way to cause harm. And if you cause harm to 40 million people, you should be held accountable - it should be treated as a crime.
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I am, in fact, fine with anyone in power going after any company's senior leadership which makes a "clear intentional and systematic nature of repeated misstatements" while committing crimes violating privacy laws 40 million times. I am very equal opportunity punishment for all serial lying criminals. What part of what you said was supposed to be undesirable?
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> fine with anyone in power going after any company's senior leadership which makes a "clear intentional and systematic nature of repeated misstatements" while committing crimes violating privacy laws 40 million times

You’re describing a wet dream for Silicon Valley’s elites. Reducing the courts’ ability to check prosecutorial discretion is an ongoing project there.

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> Our American obsession with jail is nuts.

If we were really obsessed with jail for executives, a lot more of them would be locked up right now. There might be an obsession, but it's only about jailing peons.

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> If we were really obsessed with jail for executives, a lot more of them would be locked up right now

This is the opposite of what happens in any incarceration-happy culture. See: the French Revolution. The rich got away, got richer, in fact. The machines of terror inevitable turned on the poor. Liberties are most valuable to those of us who are not billionaires.

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Sure, but we can still all be pissed about the upper class being beyond consequences that us plebs get.

If I do something to fuck over this many people and harm society this much I’m going to jail. No billionaire is having the same consequences.

Until that changes you are going to have people be willing to back table flipping movements like the French Revolution in a gamble to maybe give consequences to those in charge. Hell that’s more than half the reason we got Trump.

Also I’m going to call out your analysis of the French Revolution as failing entirely as poor. Some of the rich got richer but people wanted the kings head and they definitely got it.

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> we can still all be pissed about the upper class being beyond consequences that us plebs get

Sure. Light a bonfire. Scream and windmills. And then come to your senses and realises lowering the bar for criminality will absolutely not limits its blast radius to the people you want it to.

> you are going to have people be willing to back table flipping movements like the French Revolution

The rich got richer in the French Revolution! America’s rich want that.

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I don't think "holding rich people to the same standard as the peasants" is equivalent to "lowering the bar for criminality"

In fact, I'd go so far as saying it's much closer to "keep the bar for criminality where it is, but apply it to everyone equally" but personally I'd add a little addendum about scaling up the punishment for crimes by those with greater influence and responsibilities to the people, but that's just me

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China jails executives, they just sentenced the CEO of evergrande to life, with a death penalty suspended sentence.

They do this despite jailing fewer people in total (not just per-capita) than America.

One could say that this is because Xi is untouchable but I think it's more about the social norms. Americans can't even consider a world where we prosecute the powerful.

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> And then come to your senses and realises lowering the bar for criminality will absolutely not limits its blast radius to the people you want it to.

If you’re already in the blast radius of the current system, why would you care if it expands if you think it might include the people fucking you over in the first place?

I’m not disagreeing that there are problems that could result from this idea. I’m disagreeing with you on the idea that people are crazy for wanting this while there’s this class of people who do whatever they want whenever they want to the rest of us.

Like I pointed out with the French king loosing his head during the French Revolution. The fact that one of those people had consequences is worth it to a lot of people even if it means the rest of the noble class is even more empowered.

They are already beyond consequence generally, more power for them doesn’t change the relationship between the common man and the nobles.

You saw the same emotional situation play out with Luigi Mangiones actions despite having scant effect on the system.

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Our system consists of exactly one proposition, to wit: There must be in-groups whom the law protects but does not bind, alongside out-groups whom the law binds but does not protect.
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I'm in complete agreement about the perfect being the enemy of the good. Complaining about this outcome serves very little purpose.

But this case was about selling out democracy. I suppose it falls into the category of great crimes like killing people with cigarettes and deceiving the public and regulators while doing it. If you steal from the rich and powerful you go to prison, but killing tens to hundreds of thousands of children in Africa is too abstract to punish that way.

The American attitude about and system of incarceration is pretty crazy, but so is our idea of scale in crime. At the retail end of our criminal so-called justice system, you have cops that in many places fragrantly engage in overtime and detail fraud, sometimes amounting to hundreds of thousands of dollars, putting minor criminals in prison and penury. It's all pretty crazy.

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> If you steal from the rich and powerful you go to prison, but killing tens to hundreds of thousands of children in Africa is too abstract to punish that way

This crosses jurisdictions. We have no international legal system that doesn’t rely on voluntary cooperation.

If you’re claiming that every car- and bicycle-theft victim is a billionaire, idk what to tell you.

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Oh bike thieves are lower than dog poop, for sure. My ambivalence stems from the cop who might catch that thief stealing 100X more from the municipality in the form of overtime fraud. The rot is in play at every level of scale.

Also you don't need international justice to find criminality in how DOGE was done.

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I would agree except jail time is what all us peons face for all sorts of far more benign charges. So until poor people's punishments are lessened they are going to advocate for greater punishment for these crimes.
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So our obsession with jail is nuts, because... you lean towards no one willfully signed off on a lie, in a company with a history like Meta/Facebook, in a $25B fine?
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Full presidential pardons go for just a couple of million, a rounding error on that fine. Invoking social media and complaining about a democrat judge or deep state conspiracy and forking over the money using the right attorneys is all it takes. Nobody with that kind of resources will go to jail.
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I'm sure the crime reached into all 50 states. Maybe they should be tried and sentenced in all of them, so avoiding jail would need 51 pardons instead of just one.
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I just want to note that the president can give pardons for federal crimes, but not for state level crimes.
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> I just want to note that the president can give pardons for federal crimes, but not for state level crimes.

He can and he did, it just does not work.

But he can make the governor do it, which did work at least once.

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And your source of information is internet hearsay, I gather?
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Just this week the New York Times reported the case of a venezolan banker who received a pardon after hiring a former lawyer of the president. There probably will be litigation if they misreport it so this does not seem hearsay to me.

AI readily provided me a list of 8 other well documented cases of "pay for pardons" and offered detailed research on all of them.

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Yes, our obsession with jail is nuts. Why do I only hear people say so in response to populist calls to throw corporate executives in prison for actual crimes?
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If corporations are people, then they should face the exact same punishment as a person. If any individual perpetrated this level of fraud they might be spending the rest of their life in jail. See: bernie madhoff.
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A sole proprietor would also only face financial damages, not jail time. Employees can be charged with criminal charges. Corporations don't protect from that.
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> If any individual perpetrated this level of fraud they might be spending the rest of their life in jail. See: bernie madhoff

…what is the factual basis for comparing this to Madoff?

How is the circle of passing draconian laws instead of proportional response then driving draconian regimes to abuse that permit not a lesson we can learn?

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>what is the factual basis for comparing this to Madoff?

the jury's ruling?

- extraordinary number of willful violations found by the jury - the duration and repetition of the conduct - the breadth of subjects on which violations occurred - the involvement of senior Facebook leadership - the size of New Mexico audiences reached - clear intentional and systematic nature of Facebook’s repeated misstatements

That's an extremely high bar to hit and Facebook cleared it. Madoff's scheme, even adjusted for inflation, tops out around 200b dollars or so. Facebook clears the overall financial bar by a whole magnitude, and its effects were felt globally.

You seem very fixated on downplaying just how historical a case this (and/or proceeding cases against FB) will be. This will easily go down in the same lane as cigarettes on how people remember this era.

>How is the circle of passing draconian laws

Do I really need to bring out the Martin Luther King Jr. quote here just because we're so fixated on legalities? Let's remember nothing cigarette companies did were illegal as well.

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> Let's remember nothing cigarette companies did were illegal as well

What are you getting at? That we should jail people for not breaking laws?

The fact that you're comparing this to fucking Hitler is insane. Even you know it, which is why you were too embarrassed to say it.

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The problem with fines is that they don't actually disincentivize bad behavior by companies, as long as they are large enough to absorb the fine as a cost of doing business.

Time in the pokey is unpleasant for everyone.

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The fines are not big enough if the companies can just absorb the blow like that. $25B is not large enough to be a problem for Facebook. Add two more digits and the executives would be running to their doomsday bunkers.
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The problem with fines is that they don't actually disincentivize bad behaviour by decision makers.

Corporations don't make decisions, individuals do.

You could argue if we hit the business hard enough, the individual making those decisions maybe suffers from.. maybe... less bonus? but, well....

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Sorry but it sounds like you think "limited liability" should only be understood to refer to corporate debts and bankruptcy proceedings and that "corporate personhood" should be understood as a legal fiction to make things simpler for bureaucrats.

That's crazy talk. Did you miss the part where corporations are actually people?

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> Our American obsession with jail is nuts.

Sure but also there has to be some sort of deterrent and an executive who's worth is $100M+ who can't touch their $100M because their in jail is far more of a deterrent than META missing its earnings for a quarter because they owe the government a one-time slap on the wrist.

I'm all ears on what a different penalty could be that ultimately stops this behavior.

PS - META's stock is currently up 2% in after hours trading, so

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> Our American obsession with jail is nuts.

We rarely imprison the people who actually deserve it. Even when we do, it's barely a punishment if the person is wealthy.

Our jails are full, but a lot of that is we harshly punish mundane crimes against people with no real ability to defend themselves. And that's mostly because the grift of for-profit prisons.

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Our jails are full, relative to other developed countries, because we have vastly higher rates of crime. Our laws, by design, hamper the ability of the state to "harshly punish mundane crimes against people with no real ability to defend themselves". Talk to any cop in any metro area of note; everyone knows who the criminals are by name and face, but they remain largely out there to offend and reoffend because it's hard (again, by design) to prove it beyond a reasonable doubt.

> the grift of for-profit prisons

Only a single-digit percentage of prisoners are in for-profit prisons, and roughly half of the states do not use them at all. I dislike them for the obvious perverse incentive, but it's a great exaggeration to say that the system puts largely innocent people in prison to line the pockets of for-profit prison execs.

For better or worse, American society is very good at sorting people, so the HN crowd and other intelligentsia usually doesn't encounter the bottom 5% that wreak havoc.

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> prove it beyond a reasonable doubt

Except that proving it is rarely necessary because the system relies on plea deals and because the 6th amendment is not automatically enforced. There are places in the US where the criminal justice system would break down if every defendant refused a plea deal and demanded a speedy trial.

Our jails are full because we have unnecessarily long sentences and a prison system that is meant to be punitive instead of rehabilitative (and which winds up encouraging recidivism and compounding the problem further). Things have improved over the past 20 years but we have not done enough to address the problem.

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> There are places in the US where the criminal justice system would break down if every defendant refused a plea deal and demanded a speedy trial

I'm actually not aware of any place in the US that routinely administers what could be considered a speedy trial. It's a shame, really, but perhaps an inevitable side-effect of the ever-increasing burden on the part of the prosecution. Pre-Warren Court, it was normal for criminal cases to take days between arrest and trial.

> Our jails are full because we have unnecessarily long sentences and a prison system that is meant to be punitive instead of rehabilitative

I make the point in a sibling comment that the US actually has lower incarceration rates compared to its peer nations, relative to their homicide rates. Our jails are full because we have a lot more crime. We can agree to disagree on the "root causes" thereof.

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>because we have vastly higher rates of crime.

And guess what the top reason is for incarceration are? Hint: it beats out sex offences and weapons/arson. And it started right after a certain announcement in the 70's that was largely admitted to increasing incarceration rates.

https://www.bop.gov/about/statistics/statistics_inmate_offen...

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It's widely known that drug offenses are easier ways to stick criminals (who perpetrate crimes other than drug offenses) in prison, analogous to how in the end they convicted Al Capone of tax evasion. There is no epidemic of mere consumers of controlled substances going to prison, at least not in the past decade or longer.

Besides, you can look at the straightforward statistic of homicides to gauge the overall criminality of a population. The US has a homicide rate an order of magnitude higher than its peer countries. By this measure, the US actually has an under-incarceration problem, not one of over-incarceration. Wikipedia has the US incarceration rate at 542 per 100k, compared to Sweden at 92, Switzerland at 77, or South Korea at 115; compare that to the intentional homicide rates of the US at 5.763 per 100k, Sweden at 0.867, Switzerland at 0.504, and South Korea at 0.489. If incarceration scaled with the homicide rate, those other countries are actually much more prison-heavy than the US!

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The whole purpose of companies is that the bankruptcy of a company will not ruin entrepreneurs and strip them of all their belongings. You have the possibility of failing softly. That's a good thing because it enables you to take a calculated risk. But that risk is usually just money.

When a company, for example its managers through willful negligence or an outright lie, enables the organization to do something that is considered illegal, they absolutely should be held personally responsible. The existence of a company as an entity shields the entrepreneurship itself, not individuals who are actively harming others.

Managers who willingly poisoned people with cigarettes or lead, and now with brain rot, while simultaneously claiming that it is not harmful to the public, even when they know that is simply a lie, should absolutely be held responsible.

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Honestly it doesn’t matter what they get them on, half of the PMC in America needs to be indicted on RICO charges for white collar crimes against humanity
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Deranged statement here
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>> where's the jail time for executives

> Our American obsession with jail is nuts

I am European and I want those American executives in jail as well /s

But in all seriousness, shareholders in 2026 should start pushing for an investment markets reform to introduce criminal responsibility for such actions, because that's a pretty good deterrent to have the executives not act against their fiduciary duty and the shareholders' bottom line.

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The CEO is the only one with decision power and is responsible for all crimes. The CEO is also the one making the most money off the crimes. If we don't actual jail them, crimes will keep increasing as we are witnessing. AI companies are now bragging about their crimes publicly.

Good is arresting a CEO and holding them in prison for a few decades. These fines do nothing. These fines are the enemy of good.

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Hold them in jail pending trial. They are the definition of flight risk.
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Besides, aren't C-levels usually the ones that justify their huge compensation by claiming that they deserve it because they take the big risks?
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Sorry, who claims this? Sounds like you’re confused
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Big risk of being fired maybe while receiving humongous payoff. Ridiculous.
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Golden parachutes mitigate those risks. The company may tank, but they get theirs.
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No one will bother making a move on the execs until the get-out-of-jail-free cards they bought from the current president are no longer valid.
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If they get more decisions like this and they're overextended with AI investment, they'll be pretty fucked. Of course, the cockroaches will scuttle away without penalty.
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> This will keep happening until those at the top are held personally responsible for the crimes they sign off on.

Cambridge Analytica was a decade ago and there hasn’t been a similar Meta scandal since, so it seems like the deterrent has worked.

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LOL. had a good laugh. thanks
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If only software engineers were liable like real engineers are
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"But my boss told me to increase engagement at all costs, including substantially increased rates of teen suicides, so shrug guess I have to since my visa will be revoked otherwise and I need this cash to send home to my family."

Even when you cannot get highly employable US engineers to agree to do unethical work, you can always import some indentured servants who are too vulnerable to feel like they can say no.

I know someone that took a job at meta short term to get cash for a family member with cancer.

Go after the people giving the orders, not the workers trying to survive a deeply fucked up system.

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I will never understand the framing of visa-sponsored workers at Facebook as indentured servants. These are incredibly highly-paid jobs, easily in the top 5% of earners in the United States even for fairly junior roles. Even in California, these folks are in the top quintile of earners. These are people who could earn a third as much in India, Canada, or the Netherlands, and still be living exceptionally well. They have exercised more agency than the vast majority of Americans or even Bay Area residents.

That said, expecting individual engineers to understand the greater context of building an online addiction machine is probably too much. The product managers and data scientists surface concerns and executives decide. And executives should be held criminally responsible in the event of gross negligence.

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All of the accolades you bestowed upon visa-sponsored workers could be true. But the framing of indentured servitude comes from the visa sponsorship itself. These workers do not feel they have the right to free expression or to speak out against unethical business practices (not just data privacy but even 9/9/6 work schedules), for fear of losing their sponsorship. That’s why “indentured” is used: they’re contracted to a specific employer. They don’t have freedom of movement in the labor market. This also creates labor price arbitrage, which employers use to pay visa workers less than permanent residents and citizens. This labor arbitrage inevitably lowers the wages of non-sponsored workers.
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This is more or less an uninformed vibes-based response.

1. Few workers report a 996 work schedule at Meta or other Mag7 companies. This work schedule is reported by smaller AI startups and Chinese and Indian tech firms.

2. H1B and many other sponsored visas are transferrable. I have had several colleagues get laid off or interview for other jobs and get hired elsewhere. The L visa is non-transferable, though it represents a minority of visa sponsorships in the US.

3. You directly ignored my data about workers at Meta out-earning other workers in the Bay Area. My foreign colleagues earned the same as I did at virtually every stage of my career.

In general macroeconomics, yes, the introduction of foreign workers results in wages getting pulled down. This "lump of labor" only has temporary impacts. The overall outcome is an increase in the market for engineers, as immigrants go on to found companies. NVIDIA, the world's most valuable company, is one of these.

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It's disgusting and a downplay of atrocity of slavery. It's why we should stop allowing tech companies to import so many foreign workers if this is what they are okay with: openly destroying our society for money.

Expect the GOP to move in this direction as the democratic party starts going after big tech as well.

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Why would you personally punish the chumps that execute the orders instead of leadership that gave the orders?
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Im not a lawyer but i believe just following orders isnt considered a valid excuse. Now that machines participate in giving instructions it seems quite logical.

If the wires are hanging out of the wall and someone asks me to switch the power on it reminds me how my old boss almost died then chased the guy with a hammer but collapsed from his injuries before he could kill him. So i disassemble the switchboard. If there is someone like that walking around I don't care how long it takes. Sometimes they get angry I just ignore it. They may also report it to my boss.

RL is different like that but also quite similar.

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> Im not a lawyer but i believe just following orders isnt considered a valid excuse

This is sophistry that was used to condemn Nazis but has never applied to any context outside of the Nuremberg trials. Fail to follow orders and you're shot as a traitor. Follow them and you're hanged as a war criminal. "Just follow orders" is the basis of paid employment itself.

It is assumed that those giving bad orders will be held responsible for doing so, but this rarely proves to be the case. See the eBay harassment of the Steiners. Everybody involved that followed orders was punished except the executive that signed off on and provided support for the operation.

But in the Equifax breach, two executives were fired following criminal intrusion by Chinese hackers they had no involvement with. Everyone that neglected to follow orders to patch Struts probably still works there.

The rules are arbitrary.

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Ok sure, not in the eyes of the law. But ethically
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"I was just following orders" has never been a valid excuse for anything, continue using it at your own peril.
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Why punish the leadership? they were just following their "fiduciary duty to shareholders" to maximize value.
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Punish everyone, you may be unjust but at least you'll be thorough.
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It’s needs to be punishment all the way from the top to the bottom
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that's how you build a case against the ring leader
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"Real" engineers aren't responsible for their product being used in nefarious ways as long as the product was built according to the rules.
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Perhaps so. That liability means doctors, engineers, lawyers, etc. need to push back because now their skin is truly in the game.

But a part of that process means introducing licensing to the field of software. Yet another hoop that this field has traditionally rejected. I don't think all SWE's "need" a license. But I do think that maybe it's long overdue to finally distinguish between a "programmer" and an "engineer" more formally.

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Fines are just permits for companies that can afford it.
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I want a new season of Oz starring Zuck.
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Just takes one line to change a civil law into a criminal one, “and shall serve a term of imprisonment of not less than . . .”
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Idk if Mark really is an android as they suggest, how do you jail a robot?
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Pardons are a cool million away, maybe a bit more if you are Zuck, because the big guy is not going to let in opportunity to extract more pass him by
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The judgement here was for violation of civil law, not criminal law. If New Mexico would have gone after the executives, the result would have been a much smaller fine, not jail. Or are you suggesting the executives should have been prosecuted for some criminal law violation? If so, what?
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We imprison or fine to motivate others not to do the same. I doubt the current treatment is potent enough.
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the chinese legal system somehow in its flaws is able to hold powerful company execs to account.

whereas here in the states - once you're a billionaire - jail or being held personally liable is a foreign concept.

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Unless you're Sam Bankman-Fried, Bernie Madoff, Elizabeth Holmes, Allen Stanford, Raj Rajaratnam, Michael Milken...
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The literal point of incorporation is that you as a shareholder or proprietor of a business are legally separated from the corporation in the eyes of the law.

We need reforms on corporate governance. Right now Meta is basically Mark Zuckerberg and a bunch of bag holders. They can't vote him out because he has both a board seat and majority voting power all on his own. Dumping the stock is far from a safe thing for institutional investors to do if they want to avoid lawsuits or regulatory attention.

It needs to be illegal for you to both be the CEO of a publicly-traded company and the voting majority shareholder. Note I say majority, not major plurality.

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There is no law or regulation which requires institutional investors to hold Meta stock. Sometimes people who don't actually understand the law make spurious claims that those investors are legally required as fiduciaries to put their funds into the highest yielding investments. But in reality there is no such requirement, and investment managers have significant flexibility unless there's something more specific in their own organizational bylaws. They can underweight Meta stock if they believe it's overvalued due to potential legal risks or corporate governance problems or whatever.
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> Sometimes people who don't actually understand the law make spurious claims that those investors are legally required as fiduciaries to put their funds into the highest yielding investments. But in reality there is no such requirement

The requirement is what a lawyer can convince a dozen jurors the requirement should be. If there's a lawsuit against a fund manager at an institutional investor saying "you didn't fulfill your duty as a fiduciary because x", there's at least some risk that x becomes a real responsibility for fiduciaries through the outcome of that case. If the zeitgeist dictates that as a responsibility, it is a responsibility.

> They can underweight Meta stock if they believe it's overvalued due to potential legal risks or corporate governance problems or whatever.

The fact that they aren't doing so when the company is losing billions of dollars in legal judgments would suggest either

1) They can't do so because they would lose money doing so

or

2) Our system is in need of reform so that when executives direct a company in such a way that it is routinely facing legal exposure, shareholders remove those executives so that corporations act as better citizens and things are handled at the shareholder meeting level instead of the court system level.

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And there it is, another ignorant HN user making an uninformed claim about legal issues they don't understand with no actual case law citations to back it up.
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It's a jury system. If they manage to get a dozen people through voir dire that dislike the state of the social media market enough, they can, in theory, find Meta liable. Maybe they do, maybe they don't.
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Executives cant goto jail, they are already taking responsibilty.
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I don’t understand your comment.
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Im making fun of the double speak used by the media when they use the word responsibility following the company doing something wrong.
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I assume it's the typical "accepting responsibility" of execs and politicians where nothing happens. Best case they throw some underling under the bus or have their institution pay a fine. But they themselves have no consequences
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