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* Sun-Times editorial board…
But as we read the stunning “statement of facts” that prosecutors laid out Friday that implicated Madigan — but didn’t formally charge him with any crimes — our focus also sharpened on the company that admitted to a series of outrageous bribery schemes: electricity giant ComEd.
The power company admitted to using lobbyists to shower jobs, contracts and payoffs all over Springfield for the sole purpose of gaining favor with Madigan, who denies any wrongdoing but, at minimum, is standing in a bad storm.
ComEd’s criminal conduct is clear and undisputed, and almost comical in its audacity, breadth and sheer enthusiasm.
It’s a wonder — and a shame — that ComEd has only been fined — $200 million — and nobody as of now will be going to prison. The U.S. attorney’s office has deferred criminal charges against the company and its executives for three years, provided they “fully and truthfully cooperate” in the investigation of other “individuals or other entities.” The stock price for ComEd’s parent company, Exelon, closed more than 3% higher in the wake of the news.
It’s a wonder as well, we suppose, that ComEd, a pillar of the Chicago community, could try to work Springfield like a criminal enterprise so aggressively for so long. If nothing else good has come of this, the utility has served up an excellent object lesson in the dangers of tissue-thin regulations on political lobbying in Illinois.
We would hope that every big corporation calls a Zoom meeting next week with their armies of lobbyists to review basic ethical guidelines.
posted by Rich Miller
Monday, Jul 20, 20 @ 9:40 am
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At some point, can we have a discussion about what a great deal this is for ComEd? Their parent company turns more than $2 billion a year in profit. For them, paying a $200 million fine is the like throwing a couple of deck chairs off the Titanic. No wonder Exelon’s stock climbed 3 percent Friday.
The Deferred Prosecutions Agreement holds only the corporate entity accountable. The ComEd execs who admitted to engineering a bribery scheme face no criminal sanction or civil liability — and if they continue to cooperate, they never will. The first person to cut a deal usually gets the best terms of surrender, but this is very generous.
Comment by Roman Monday, Jul 20, 20 @ 9:49 am
I am upset that ComEd avoided any individual prosecutions, but if it is a choice between taking down a corrupt company versus taking down corruption in state government, I’ll choose the latter.
Comment by Chicagonk Monday, Jul 20, 20 @ 9:52 am
Two hundred million is the cost of business…a bargain at that.
Comment by Dotnonymous Monday, Jul 20, 20 @ 9:58 am
Com Ed should be treated as an ongoing criminal enterprise be sold off and some executives at top go to prison
It is ridiculous how banks investment firms and huge corporations get a break on crime
Comment by DuPage Saint Monday, Jul 20, 20 @ 9:59 am
= am upset that ComEd avoided any individual prosecutions, but if it is a choice between taking down a corrupt company versus taking down corruption in state government, I’ll choose the latter.=
What if it turns out being neither?
Comment by Jvslp Monday, Jul 20, 20 @ 9:59 am
@Jvslp - Well that would be very disappointing. Anyone with two eyes and a brain can see the corruption that is the Madigan machine.
Comment by Chicagonk Monday, Jul 20, 20 @ 10:05 am
“More buffers‼ Bigger buffers‼”
– MrJM
Comment by @misterjayem Monday, Jul 20, 20 @ 10:11 am
Madigan has not been indicted. If the U.S. Attorney uses the same logic as he did with Com Ed, the Speaker’s Office would be prosecuted and fined.
But corporations do not commit bribery. People within those corporations do. A person or persons had the idea to do it, and a person or persons followed through with action.
To indict Madigan would say that individuals in corporations are not held accountable but individual politicians are.
The Old Boy Network means you can hide behind your corporation if you do wrong. White collar crime is crime, and people commit it, not corporations.
Comment by Streator Curmudgeon Monday, Jul 20, 20 @ 10:12 am
-We would hope that every big corporation calls a Zoom meeting next week with their armies of lobbyists to review basic ethical guidelines.-
Agenda for Zoom meetings
Find us a Madigan
Don’t get caught
Memo to accounting: Authorize a Fine line item as a business expense.
Learning from the past, ramping up for the future.
Comment by Froganon Monday, Jul 20, 20 @ 10:25 am
A side note…instead of fining them $200M, I think they should make them cut their rates by $200M.
Comment by Skeptic Monday, Jul 20, 20 @ 10:26 am
Good thing state pols and staff have a great retirement deal because lobbying may not be as lucrative going forward
Comment by Curious George Monday, Jul 20, 20 @ 10:34 am
===staff have a great retirement deal===
Not really. Most don’t stick around long enough.
Comment by Rich Miller Monday, Jul 20, 20 @ 10:40 am
There are so many aspects of just the Madigan subpoena that Rich linked to the blog on Friday that the Sun Times editorial Board will have trouble deciding what entities to go after next. Then there are things I was surprised to not see on the subpoena list like the IL Tollway Authority, IDOT is on the list for a piece of property in China town but not for possible no show jobs. I am also intrigued by the Rush Medical Center showing up on the list.
Comment by Rod Monday, Jul 20, 20 @ 10:56 am
Where’s CUB on all this? Have they even emailed a statement to media?
Comment by Senator Clay Davis Monday, Jul 20, 20 @ 11:00 am
===Have they even emailed a statement to media? ===
I didn’t get one, but it’s on their website https://www.citizensutilityboard.org/wp-content/uploads/2020/07/20200717_CUBStatementOn200ComEdFine.pdf
Comment by Rich Miller Monday, Jul 20, 20 @ 11:06 am
=Two hundred million is the cost of business…a bargain at that.=
I heard on a work call this morning that $200M is roughly a year’s earnings for ComEd. I realize their parent company is much larger, but ComEd is the entity in question and a year’s earning isn’t a slap on the wrist. I fully agree that I’d like more punishment, I’d like to see executives charged, I’d like to see Madigan charged, to the extent either is warranted and can be proven (I’m not making a legal argument that there is enough evidence to do one or both of those things, just that I wish and hope actual people will be punished not just a corporation). So I understand the sentiment, but I just want to point out that $200M is a very significant fine and paying it is not shrugged off by ComEd as “the cost of doing business”. Accepting it is a very serious admission and day of reckoning.
Comment by Anon Monday, Jul 20, 20 @ 11:10 am
Interesting that Lisa Madigan was against the ComEd rate hike bill of 2016.
Comment by 17% Solution Monday, Jul 20, 20 @ 11:59 am
==The power company admitted to using lobbyists to shower jobs, contracts and payoffs all over Springfield for the sole purpose of gaining favor….ComEd’s criminal conduct is clear and undisputed, and almost comical in its audacity, breadth and sheer enthusiasm.==
Considering that Com Ed’s parent Exelon Corp is headquartered in another state one wonders if there may not be Fed sniffing around going on elsewhere too. It’s hard to think of the type of bold corruption outlined last week by Federal prosecutors as a one-off situation in Illinois when all states involve lobbying to get rate hikes done. The “deferred” situation for Com Ed that is based on “cooperation” may involve others than just their Illinois target.
Comment by Responsa Monday, Jul 20, 20 @ 12:27 pm