NCJ Number
73366
Date Published
1979
Length
11 pages
Annotation
The Director of Public Citizen's Congress Watch critiques S. 1722, proposed legislation on the reform of Federal criminal laws, for inadequate sanctions against crimes committed by businesses and business employees in the context of their work.
Abstract
Business crime today is especially characterized by illegal payoffs to secure business, price-fixing, and work conditions and product hazards coverups. The criminal justice system to date has done little to deter such illegal activity. Fines have been small compared to the monetary gain and the damage derived from an offense and penal sanctions are rarely used. Consequently, businesses and their employees have much to gain from illegal activity and little to lose in comparison. The public is then left to bear the consequences of illegal business activity. While S. 1722 (the Senate bill) is far preferable to S. 1723 (the House bill) in dealing with business crime, changes and additions to S. 1722 should include a 'reckless failure to supervise' provision, a double fine provision (a fine double the gain from the offense), corporate probation, a sentence of disqualification for individual officers (prohibition from engaging in the business associated with the offense for a period of time), a sentence of disqualification for recidivist firms, and the expansion of the 'consumer fraud' provision beyond Federal enclaves, along with prima facie effect in civil litigation for 'nolo' pleas.