| Equality
for Martha Stewart?
The
best one can say about the sentencing of Martha Stewart is that
it climaxes the rise of women to equality with men in the workforce.
She was used as a political fall-guy because she was popular, entrepreneurial
and rich -- following a long list of men with the same attributes,
from Ken Lay of Enron a week earlier and running back to junk-bond
guru Michael Milken years before. She was treated like one of the
boys, one who would send a message to all that being rich and successful
is grounds for suspicion and for assurance of prosecution if you
do not dot the innumerable I's and cross all the tricky T's of the
modern welfare state -- to demonstrate to the envy-the-rich constituency
that justice is "fair" to all, rich and poor.
But
the justice system is anything but fair. Convicting the poor is
difficult because they often invoke sympathy from juries of neighbors
facing similar life situations. But the rich and famous are easy
game, even with their expensive lawyers, for envy is a widespread
human failing. So ambitious prosecutors will go to any length to
find a juicy target. Household names can even be prosecuted without
charging them of an underlying "crime," as was the case
with Ms. Stewart. Claiming she lied to investigators about insider
securities trading was enough for her to end up in jail -- without
being charged with insider trading itself -- especially for a woman
who appealed to middle class housewives who take pride in making
living more gracious, staying home to "bake cookies,"
in Hilary Clinton's famous elite putdown. Stewart simply was one
more scalp on the wall of powerful, ambitious, federal prosecutors
to win the applause of the mob. If lying to the Feds is so bad,
why did Bill Clinton not merit a court trial? Prosecuting powerful
presidents is much more dangerous than baiting the rich and is almost
as rare as jailing the media.
While claiming to follow the rule of law, the Stewart
prosecution lacked the most basic requirement: to set clear rules
beforehand regarding what would constitute illegal behavior, as
has been required from the early philosopher John Locke to moderns
like F.A. Hayek. Insider trading is a relatively new and murky charge
to begin with (see Andrew Bernstein article below) but prosecutors
could not make a case for it that even a sympathetic judge could
swallow. Instead, she either did or did not tell the truth to investigators
based on the word of a securities employee who might have been prosecuted
himself if he did not testify against her. He convinced the jury
but Stewart was denied the right to raise the point that the prosecution
did not have evidence of an underlying crime. So elite prosecutors
and judges bend the law to fit political whim, leading a retreat
from the rule of law in the United States that will eventually lead
it into the jungle of third-world-like legal chaos.
Elsewhere
in the securities world last week, Allison Schieffelin was parlaying
her sex into a $54 million Equal Opportunity Commission award, $12
million for herself alone--for so-called sex discrimination against
a woman who was earning $1 million per year as a securities underwriter
and trader at Morgan Stanley. As in similar suits, her lawyers used
institution-wide statistics to show that fewer women than men were
top executives in the securities business. The fact that there were
20 percent women in executive positions (up from 14 percent two
years before) and there were fewer women in the field generally
was claimed irrelevant or even as proof of further discrimination.
It did not matter that the head of the fixed income section at Morgan
Stanley was a woman or that the CEO of Smith Barney was a woman.
The
only thing that mattered was that employment lawyers and feminist
groups were pleased with the result -- or thought the settlement
should have been even higher. No guilt was proven because the company
was forced to settle, as do most companies fearing the bad publicity
worse than the loss of cash. Judge Richard Berman made his views
obvious during the trial when he accused Morgan Stanley's lawyers
of "disagreeing with everything" in the pre-trial hearing,
as if it was unfair to present a defense. Settlement seemed the
best option from a judge who crowed at the end of his trial that
the case was a "watershed" event "in protecting the
rights of women on Wall Street"--protecting all of those millionaires.
From the little that we know about the case (the records were sealed),
the main evidence was that men in the securities office "ordered
breast-shaped birthday cakes and hired strippers" -- well-known
proof of injury among tough securities traders. An even bigger award
of $100 million was made earlier against Smith Barney for having
a party room named "Boom Boom" after a play about a bar
with dancing girls. Such is how women are oppressed in the securities
business these days.
Ms. Schieffelin filed the charge because she had
been denied promotion and EEO laws are one of the few means to seek
redress, whether for real discrimination, poor performance or whatever--and
she was later fired for "gross insubordination." In fact,
the overwhelming number of charges is dismissed as obviously not
discrimination but attempts to override normal personnel decisions.
Still, the large EEO community could not justify its existence without
some successful suits and big, rich firms again make the best targets.
Juries sympathize with almost anyone who files against them and
the executives fear nothing more than being thought discriminatory
and want to settle at any cost. Did I forget to mention that Schieffelin
won her millions for sex discrimination even though she was fired
by a woman supervisor?
The
military is different. Even feminists reluctantly concede it is
an exemplar of employment equality, other than forbidding women
in combat positions. The war in Iraq has shown the incredible advancement
of women to influential positions in the very close support positions
of military police and intelligence. Indeed, women held the top
positions in both fields in that war zone, even skirting close to
the Congressional restrictions on female combat deployment. For
example, Army public relations showcased Brig. Gen. Janis Karpinski,
the top military police officer in Iraq, as "the first woman
to lead combat troops" in U.S. history. Indeed, the Abu Ghraib
prison scandal revealed women to be serving in all of the critical
positions.
The
first pictures that so shocked the nation highlighted two low-ranking
women military police guards pointing to the private parts of nude
male prisoners. Not receiving as much initial attention was the
fact that Gen. Karpinsky was their boss, most media attention being
directed to a subordinate male colonel. Almost no attention has
been directed to the fact that women in military intelligence played
top roles too. It was the desire for better intelligence, indeed,
that led to personnel plans to remove Gen. Karpinski, who was deemed
inadequate for the position, and to the scandal itself. Reluctant
to fire a woman deemed the first to lead combat troops, the decision
was made to give military intelligence de facto control over the
prison and leave Karpinski nominally in place. This put Maj. Gen.
Barbara Fast, the leading intelligence officer in Iraq, actually
in charge of the prisoners at the time of the abuses. Indeed, the
tougher Guantanamo Bay interrogation techniques later transferred
to Abu Ghraib and questioned as incompatible with the Geneva Convention
-- including 20-hour interrogations, light and sound assaults, the
use of women jailors to taunt nude male prisoners, exposure to cold
weather and water, and so-called "stress positions" --
were first declared legal by the Guantanamo legal council, Lt. Col.
Diane E. Beaver.
With
all of the equality, however, there were anomalies. There was the
unwillingness to fire Gen. Karpinski, for example. The reluctance
of military officers to do so is understandable since more male
military careers have been ended by EEO complaints than battlefield
errors in recent years. The media hesitancy to highlight the strong
female role is less obvious. As was first reported here, the Washington
Post did not identify the soldiers in the critical first pictures
as women, or bring attention to the fact that Karpinski was a woman.
More surprisingly, the higher-ranking and more important Maj. Gen.
Fast has only been identified a few times publicly and, then, only
buried deep within newspaper stories and never on television.
So,
is the feminist, Naomi Wolf, correct that the "masculine empire"
is dead and now women are in the top positions, or very near to
them? Women can be treated equally in court prosecutions, as with
Martha Stewart, but also can be given multi-million dollar awards
for claimed work-place discrimination by other women, as with Allison
Schieffelin, or be promoted to top positions in formerly male fields
in the military and be given additional considerations, as was Janet
Karpinski initially, or even be granted protection from media scrutiny,
as with Barbara Fast. To escape the all-powerful critical eye of
the media, now that is real power. Yet, all of these examples concern
a relatively few, elite women. The position of the majority of women
today is more complex.
As Prof. Steven E. Rhoads demonstrates in his new
book, "Taking Sex Differences Seriously," while almost
all men seem similar in valuing aggressiveness, competitiveness,
and dominance, women seem to divide into two camps. A majority of
women prefer marriage, nest building and children to work and power
and only a minority favor power and position. Even most high-powered
women in candid surveys reject role reversal and prefer a partner
superior in earnings, status and power. Indeed, most women believe
that feminism has made it harder to combine jobs and family and
has made it more difficult to have a successful marriage.
As
early as 1942, the pioneering feminist Virginia Woolf concluded
that American women had achieved essential political equality with
men. What were holding women back from social and economic equality
were "phantoms" in their own minds that they, themselves,
had to overcome. The most oppressive of these was the "angel
in the house" ideal of the sacrificing mother and wife rather
than the free and independent (and even selfish) woman preached
by her feminism. More social and economic redoubts have fallen over
the past half-century and most American women have left the house
at least for part of the day to join the worlds of power and competition.
But
there has been a cost for most women, with a majority regretting
that children and marriage have become more threatened as a result
of the gains-for most women have refused to swap the angel for the
selfish power role that presumably would grant them true feminist
equality, freedom and happiness. Even for the most powerful and
successful who have managed to overcome the phantoms, like Martha
Stewart, these have simply achieved the equality of workplace achievement
that makes them the target of popular envy, just like the men.
By Donald Devine, Editor.
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