Why Don’t More Corporate Executives Commit Suicide?

March 3rd, 2016 by Phil Mattera

The business news is abuzz with reports that the fatal car crash of fracking executive Aubrey McClendon a day after he was indicted on federal bid-rigging charges may have been intentional. The high speed at which McClendon’s SUV was apparently travelling at the time of the collision and the absence of skid marks are generating speculation that he deliberately drove into a bridge support.

If McClendon did indeed take his own life for reasons connected to his indictment, it would not be the first case of scandal-induced corporate suicide. In 2002, for instance, J. Clifford Baxter, former vice chairman of the notorious energy company Enron, was reported to have shot himself in the head, leaving a note saying “where there was once great pride now it’s gone.”

Yet in comparison to the high degree of corporate misconduct, executive suicides are quite rare. Part of the reason is that so few executives are prosecuted individually, as was McClendon, and thus are less likely to feel the intense shame that usually prompts acts of self-destruction. And when those prosecutions do occur, some executives remain defiant, depicting themselves of victims of overzealous prosecutors.

A prime example of such defiance was former Massey Energy CEO Don Blankenship, who insisted he was targeted for political reasons despite the extensive evidence against him in a case stemming from the deaths of 29 miners in the Upper Big Branch disaster in 2010. Blankenship was convicted of conspiracy to violate federal mine safety laws but acquitted of lying to regulators.

It’s significant that McClendon’s possible suicide occurred after he was indicted on the relatively abstract charge of conspiring to rig bids for oil and natural gas leases in Oklahoma. While the charges are serious, they do not directly involve harm to people and the environment.

On the other hand, Chesapeake Energy, which McClendon co-founded in 1989 and ran until 2013, has been involved in numerous cases involving allegations of such harm in the course of fracking. In the Violation Tracker my colleagues and I at Good Jobs First created, we found more than 30 cases since 2010 in which the company has paid more than $10 million in EPA fines and settlements. Apparently, there was no shame in that.

Although it would be ghoulish to suggest that anyone commit suicide, there is no shortage of other executives who should also at least be feeling more intense shame for their actions. A number of them are at companies in the business of producing vehicles like the one in which McClendon was driving at the time of his death. McClendon’s Chevrolet Tahoe is produced by General Motors, which had to pay a fine of $900 million to resolve criminal charges in connection with an ignition switch defect linked to more than a dozen deaths.

Then there’s the case of Japan’s Takata, which is embroiled in a controversy over the production of millions of defective airbags that in some cases ruptured and sent shrapnel flying at drivers and passengers. Or else Volkswagen, which has admitted wholesale cheating on auto emissions tests, leading to untold additional amounts of air pollution.

There are plenty of additional past and present examples from industries such as chemicals, mining, tobacco and asbestos. The answer is not for more top executives to take their own lives, but for them to end their reckless behavior to protect the lives of the rest of us.

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