Last week in Utah, Tim DeChristopher was sentenced to two years in federal prison and fined $10,000 for trying to defraud the government. It was not, as I noted in an earlier blog, exactly the normal case of fraud. DeChristopher is an environmental activist who bid on federal oil and gas leases on federal property without having the funds to pay for those leases. He made the bids because he felt that the BLM had illegally opened the lands for bidding. A federal judge later ruled that the process was illegal and voided the leases awarded, but the federal government still decided to prosecute DeChristopher, and in March he was convicted.
The judge who issued the sentence indicated that DeChristopher might well have avoided jail time if he had not been so publicly outspoken, even though DeChristopher was always polite in his statements and did not incite anyone to violence or public protests, but merely tried to explain why he had acted as he did. So the judge punished him for exercising his first amendment rights as well.
Now… if I understand all this, DeChristopher got no money or gain from his acts, and the government didn’t lose any, either, because a federal judge had already declared the lease sale void. But, if DeChristopher loses his appeal, he’ll go to jail for two years for trying to stop something that the courts eclared illegal, if many months after DeChristopher’s illegal protest bid.
At the same time, roughly, not a single one of the Wall Street bankers and real estate securitization wizards has been charged with a single crime. These were the “wizards” who created bundled securitized high risk mortgages and fraudulently sold them as prime low-risk securities… and created the largest financial meltdown in U.S. history.
Obviously, Tim DeChristopher broke the law, and some penalty should be exacted, but it ought to be more on the line of 30 days in jail or time served or the like, especially compared to the “justice” [or lack thereof] meted out on those upstanding investment bankers… who, by the way, are still using practices that have been declared less than perfectly legal to foreclose on mortgages of delinquent homeowners.
What amazes me is the depth of public support for the politicians who not only bailed out the bankers and their overpaid managers, but who refuse to change the tax laws on compensation so that hedge fund managers and the like pay, by law, only 15% in federal income taxes on the bonuses they received for effectively defrauding the government and the American people. [And no, as an author, I don’t get that kind of favorable tax treatment, and in fact, as a self-employed one, I end up paying both halves of Social Security taxes.]
All this suggests to me, and likely not just to me, that the legal structure we’ve built in recent years has strayed far from justice and is more a question of creating a form of legal financial and taxation discrimination in favor of the obscenely wealthy… and to a lesser degree, to those who are not truly poor, but who manage to exploit the “safety-net” of programs designed for the truly needy.
Meanwhile, a man who protested an illegal lease sale, if his appeal is refused, will serve more time in jail than those who destroyed billions of dollars in savings and investments, as well as millions of jobs.