7
Jun
2005

Pension crisis and corporate fraud

06/04/05

By any standard, the pension default by United and other U.S. companies is simply outrageous. Pension funds are supposed to be set aside by companies in separate accounts so they will be there when employees retire. Instead, dishonest company officials have been commingling pension funds with other company revenues, and using them to fund current expenses, pay executive perks, and to fund corporate expansion. The PBGC reports that during the past six years, many large companies have put nothing into their pension accounts. ... The massive corporate default on pensions is fraud any way you look at it, and the corporate officials responsible should have their personal assets attached to pay off their obligations to employees, and then be put behind bars, like any other thief. Instead, courts have quietly OKed United's default on their pension guarantees...

//www.isil.org/towards-liberty/pension-crisis.html

from International Society for Individual Liberty, by Jarret Wollstein


Informant: Thomas L. Knapp
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