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Trust. That is the word that is key in our system. This is true from our political institutions to our financial community. Trust in our media to tell us the truth in total is a fundamental in the American system. Well, these are pretty much givens in most Americans minds. What is institutional deception? It is "a process within an organization, either public or private with an express social, legal or political responsibility whose leadership and bureaucratic structures are constructed in such a manner that allows, enables, or directs its power for the purpose of misleading, deceiving or otherwise obfuscating the actual situation it is entrusted to covey".

Here are a few examples of Institutional Deception:

 

Government Statistics

 

Institutional Deception is not usually devised maliciously. It is usually done by consensus, ostensibly for the public good. This can be seen most clearly in the government statistics, such as CPI numbers. This is a typical example of Institutional Deception. The CPI is a key measurement for inflation and millions of Americans paychecks are pegged to the CPI, in the for of Cost of Living Adjustments (COLA).  If CPI did reflect actual price increases, inflation would become a self-fulfilling prophecy. Millions of Americans would have more money to spend and would drive prices up higher into and ever increasing spiral. Thus, institutionally, the Bureau of Labor Statistics and to a lesser degree the FED, have allowed institutional deception to become the norm in order to forestall a nasty political fight with social security benefactors, military personnel, and various retirees whose livelihood depend on CPI adjustments.

 

Medical Profession.

 

The Medical profession has also been involved in the same types of frauds. Clinical trials of drugs on patients of such a nature that many doctors are calling the risks unacceptable. These  risks are among groups that seems to have impaired decisional capabilities. This is true of patients who are taking trial drugs to help control various psychiatric problems, including psychosis. This also includes unethical research conducted on Veterans and active duty military personnel (such as the Anthrax vaccine which never gained FDA approval but was mandatory for all military personnel to receive). While the Clinton Administration was busy telling people the vaccines were safe, his own government bureaucrats were saying that its safety was not clearly demonstrated and blasted the administration for significant deviations in the vaccines preparations.  The company involved in the deviations was recently purchased by former Chairman of the Joint Chiefs of Staff (Admiral Crowe).  The Medical profession has been polluted also by HMOs, whose primary concern is for the bottom line of the insurance company (or corporation). Doctors complain of being prevented from providing care that they as the primary care giver may wish to recommend but are forbidden to do so because of corporate regulations. The lie gets repeated that certain types of care are 'unnecessary' or 'superfluous' and thus the patient is short changed and the doctor and corporation must provide an explanations to their polices which usually skirts the issue of profitability vs. care or finances vs. health. The deception if successful can be enshrined in law and thus become a legal truth, regardless of the scientific or ethical ramifications.

 

Business

 

Today one of the most important institutions for safeguarding some sort of honesty in business financial reporting is being corrupted by the very entities that are entrusted by law for ensuring that honesty, that being accounting firms. There has been a legal tug of war has been waged behind the scenes between the Big-5 accountancy firms and the SEC chairman, Arthur Levitt. Levitt has attempted to break down the old boy network that has consistently frozen out small investors and stockholders and their interests in favor of insider machinations. He has shown a deep concern for many of the scandals that have involved accounting fraud (Rite Aid, Sunbeam, etc.) Indeed more scandals are in the offing. More importantly are the consulting ties that accounting firms have with their accounting clients, potentially undermining their legal responsibility for independence. The Big-5 have fought back and will continue to do so for moneys sake. The SEC had to play hardball by threatening to expose fraud by launching head-to-toe investigations by the SEC's Enforcement Division into questionable practices conducted by the Big 5. Suddenly, as if by magic,  the Big-5 were willing to talk. However, with the issuance of new accounting rules the battle is not over, but Levitt is due to leave the SEC in January, with the present administration. Yet it appears that despite the Valiant efforts of Mr. Levitt, the financial walls between the auditor and their clients are coming down and with a wink and a nod, seriously fraudulent audit reports can be written, with the weight of a Big Five name on the embossed on the audit report. The result? Investors get lied to as the real state of a company's financial health.The recent scandals show clearly that business cannot survive for long when it is founded on financial deception. Enron, WorldCom and Global Crossings all show that like a heroin addict, the need for increasing levels of deceit grow with time until the company can no longer pay its bills to stay afloat. This is one of the many fundamental economic problems that an honest administration, one that really cared about the general welfare of its citizens, would seriously begin to tackle. However, the last administration that made a serious attempt at this was John F. Kennedy's, and we know what happened to him. An established form of financial corruption has existed for a long time in America. However, that corruption was not the foundation of the entire economy. It is beginning to appear that much of the prosperity of the 1990's was a mirage. A mirage of accounting tricks, false financial statements, 'pump and dump' routines and fraudulent transactions (money laundering, off book transactions, etc) all marketed as 'the new economy'.

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These are but a very small sample of ways in which institutions both public and private engage in institutional deception. These deceptions, and hundreds more like it are changing the way Americans perceive the world around them and their financial, political and spiritual status. Americans are becoming increasing swayed by pronouncements of its public institutions that have decided to engage in deceptive practices for their own narrow agendas. The most alarming and dangerous is the monopolization of information in the form of mergers and acquisitions in the mainstream media. Here, only a very few and extremely privileged corporations are allowed to speak to the American people in mass. All others are relegated to 'fringe' status by the brain-dead talking heads babbling on the evening news. Yet, most Americans eat up every word spoken on TV as though it were absolute truth. This detaches the hearer and believer from reality. In essence driving them to a place of what can be referred to as socially acceptable insanity.

 

These are harsh words, but if indeed our leaders are engaging in a pattern of deception on an institutional level and the citizens of this nation are inclined consistently to believe them, what does that say for our venerated leaders? What does that say about our respected journalists who refuse to cover these issues? What does that say about America's financial gurus as they pontificate on the daily financial news programs, for large honorariums and fees? What does it say about the medical profession that receives billions of dollars for profitable, never-ending research for cures of diseases that kill millions? What motivation do such researchers have in finding a cure other than helping their fellow man? What motivations do they have to ensure a cure is never found? Institutional deception is so ingrained in American Society that it will be impossible to remove without some individuals resorting to extraordinary means. These means should have long ago been employed by our legal system. This is no longer possible. Our courts are becoming increasingly corrupt and are now incapable of dealing with the real issues of institutional deception without revealing its own culpability and involvement. What will be the eventual result? Our society will go through serious economic and political convulsions as it comes to terms with reality. These changes will be disastrous for almost every American as they come to terms with the prospect of serious financial loss, political uncertainty and even deprivation. This sounds extreme, yet history shows us that no society can remain in a delusional state for very long. Reality has a way of violently crashing in on the unsuspecting and those that live in a constant state of determined denial.

 

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