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Europe: The EU has sneered at U.S. corporate scandals in recent years. Now, as it faces its own spate of scandals, the EU's jeers at "cowboy capitalism" have ended.
The tut-tutting and tsk-tsking from Europe's elite in recent years could be heard across the ocean. Big U.S. scandals like those at WorldCom, Enron and Tyco are simply a result of "American-style" capitalism, the crude, brutish way we Americans run our economy. Europe, they said, is a better model.
But, as it turns out, the European Union's own business and political institutions are even more corrupt. And that corruption extends from the corporate boardroom into the highest levels of EU politics.
Indeed, the catalog of wrongdoing in recent years shows a rottenness at the core of the 15-nation EU's economic life that boggles the mind. Take just a few examples and you get the idea:
** Fraud at the Italian food conglomerate, Parmalat, in which the company lied about its balance sheet to lenders and investors.
** Kickbacks paid to directors of France's government-owned Elf oil giant. It got little attention here, but Britain's Telegraph called it "probably the biggest political and corporate sleaze scandal to hit a western democracy since the Second World War."
** An epic overstatement of earnings by Dutch Ahold, the world's No. ...