Illegal lobbying as white collar crime

Criminal Justice

Lobbyists and White Collar Crime

Crime is not always violent or obvious; rather it often lurks beneath the surface of respectable activities and individuals. White Collar Crime is one of the most pressing problems in today's society, particularly within the realm of politics. Lobbyists and their allies frequently employ underhanded methods to gain influence and enrich themselves. American taxpayers are bilked out of millions of dollars and subjected to crooked policies, all at the behest of clever operatives who claim to work for the public good. The media is filled with reports of recent scandals: Jack Abramoff and the Native American casinos, Representative Randall "Duke" Cunningham and the defense contractors, former House Majority Leader Tom DeLay and various fundraisers and special interest groups, etc. In each of these cases, individuals supposedly working in the public interest were accused of accepting money or gifts in return for special favors to groups not necessarily dedicated to their stated noble ends. Whit collar crime is so prevalent - and so potentially dangerous - precisely because it masquerades as something completely, ordinary, acceptable, legal, and moral. Much white collar crime is hidden until its worst results become obvious, or until investigative reporters, or individual whistleblowers, call attention to underhanded activities and duplicity. White collar crime and white collar criminals, are all about secret machinations, and the substitution of one thing for another; the use of influence for purposes other than it was intended. When lobbyists and their political associates become white collar criminals, the entire political system is threatened. Public policy becomes an object up for sale to the highest bidder, and the interests of the public at large are sacrificed to the greed of a few.

An essential and customary definition of white collar crime states that such crime is characterized by the use of concealed and non-physical means to obtain money or property for business or personal advantage. (Poveda, 1994, p. 40) This is to say that white collar crimes specifically do not involve physical violence or overt use of force. A white collar crime must also be carried out undercover of apparently legal activities, typically by such persons as appear themselves to forthright and beyond suspicion of illegal activity. The average white collar criminal is doing something that, to all appearances, is legal and acceptable, or the illegal actions that he or she is undertaking are not readily apparent until evidence of the crime is uncovered. White collar crime, therefore; might consist of hiding illicit payments in legitimate financial statements, or in accepting secret bribes in order to undertake a specific course of action. Lastly, the requirement that the white collar criminal be working for personal or business enrichment is a necessary determinant of this category of crime as it clearly places the scope of activity outside the general interest. A politician or government official who accepts money, vacations, or homes from a lobbyist in exchange for awarding a contract to a specific company, or group of companies, is placing his or her own personal interests above those of his or her constituents. Again, the fact that the individual concerned accepted bribes is not generally known until after the fact. Until such point as he or she is exposed, the political deal appears to be proceeding through the normal channels and in the normal way. It is for this reason, and others, that the white collar criminal may be described as "criminaloid," as opposed to "criminal," in his or her behavior.

As far back as the Nineteenth Century, the great Italian criminologist, Cesare Lombroso, described the criminaloid as an individual "who is of weak nature and easily swayed by others." (Lanier & Henry, 1998, p. 95) Ostensibly, a politician is one who is committed to respecting the law and serving the public interest. A member of Congress, for example takes an oath of office in which she or he swears to protect the Constitution of the United States. In theory, a congressman, or other official, would be beyond the temptations of self-interest. Yet, as recent scandals show, too many officials are easily seduced by more personal concerns. Like the criminaloid of Lombroso, they are weak individuals who easily forget the responsibilities of their office, exchanging them for the advantages that can be accrued through political position and influence. In keeping with the play-acting nature of white collar crime, lobbyist, Jack Abramoff, liked to approach his political marks as though he were a character in the Godfather movies. (Grigg, 2006) the key to his success was his ability to gain the confidence of those around him, and to manipulate them for his own purposes, offering whatever inducements necessary to achieve the desired end,

The playacting provided a clue to how Abramoff saw himself -- the power behind the scenes who directed millions of dollars in Indian gambling proceeds to favored lawmakers, the puppet master who pulled the strings of officials in key places, the businessman who was building an international casino empire. (Grigg, 2006)

By playing a part, Abramoff was exemplifying one of the essential elements of the criminaloid personality - the ability to disguise his intent to commit a criminal act. These performances are meant, as well, to throw off the victim; to make him or her believe that his or her ultimate actions will not be for illicit purposes. In the case of the American Indian casinos, Abramoff played both ends. The Indians themselves were swindled out of more than $80 million dollars, while Abramoff paid bribes to as many as twenty members of Congress. (Grigg, 2006) Both sides went along willing, thinking each was getting what it desired - the Indians the necessary bills to allow for the expansion of casino gambling, and the congressmen, the funds from illegal bribes that could be smugly justified as mere perks of office. Voluntary participation in suspect activity is another hallmark of the criminaloid personality. That these acts were conducted in secret or, "under the table," only completes the profile, and confirms that the individuals and groups involved were fully aware of the fact their activities violated the law, or were at least lacking in ethics.

Former House of Representatives Majority Leader, Tom DeLay, also set out deliberately to enrich himself at the expense of taxpayers and his constituents' interests. The lobbyists involved with DeLay typify the criminaloid type of the white collar criminal. A case in point is the example of Michael Scanlon, a young Republican who became Delay's deputy press secretary in 1998, the kind of junior congressional job that was described as so low-paying that, "one young female staffer revealed not long ago that she resorted to prostitution to make ends meet." (Stephen, 2005) After working with DeLay to impeach President Clinton, Scanlon left his post in 2000 to become a lobbyist. Scanlon, however; remained in close contact with the House Majority Leader. The connection proved highly lucrative for Scanlon:

Before long he had spent several million dollars on a luxurious house in Rehoboth Beach in Delaware, but because that is not within commuting distance of DC he also rented a $17,000-a-month suite at the Ritz-Carlton hotel. Last month Scanlon was charged with conspiring to "corruptly offer and provide things of value, including money, meals, trips and entertainment, to federal public officials in return for agreements to perform official acts."

(Stephen, 2005)

Such criminaloid behavior on the part of lobbyists, like Scanlon and Abramoff, takes place behind the scenes. Lobbyists maneuver within the corridors of power, acting essentially as brokers between corrupt businesspeople and interest groups, and the politicians who can make those persons still richer and more powerful. In exchange, both the politicians and the lobbyists receive their own share of the ill-gotten gain. A millionaire lifestyle, and the prestige of being associated with the government's movers and shakers, was the prize offered to Abramoff and Scanlon, and those like them. Similarly, a politician, like Tom DeLay, reaps the benefits of his illicit actions in the form of increased power in office, and greater national standing, in addition to whatever gifts of money, goods, and property may come along the way. By accepting gifts of various kinds from lobbyists, officials artificially increase their power vis-a-vis their constituents. Tom DeLay and Duke Cunningham became "high performers" who could deliver for their constituents - well, at least for some of them.

When it came to his encounter with criminal lobbyists, California congressman, Duke Cunningham played to his district's Cunningham, played to his district's dependence on defense contracting. Contractors, lobbyists, and politicians present a complex web of social and business relationships. Each has a role to play in creating the atmosphere necessary for the commission of white collar crime. In the case of Cunningham's San Diego district, it was the defense contractors who represented a major force in the local economy.

According to Keith Ashdown of Taxpayers for Common Sense, "San Diego is the underbelly of the defense industrial complex.... Dirty things happen there, and there are different rules." (Rozen, 2006) for Cunningham more defense contracts meant more jobs and greater tax revenue for his district, and thus, for himself, a greater chance of being re-elected. But there more to the personal side for Duke Cunningham, for doling out contracts was more than a matter of choosing the most qualified and lowest priced as mandated by federal rules. It was also a matter of choosing the contractor that could provide the most for him. The white collar criminal always looks to personal advantage. Lobbyists, like the now-convicted Mitchell Wade, helped steer paying clients to Cunningham. In exchange for a $21 million dollar contract from the Department of Homeland Security, a limousine company also furnished personal services to the Congressman, including the transport of "escorts" for Cunningham's personal pleasure. (Rozen, 2006)