HN Explorer

Why nothing happened to Law professors parents of FTX founder and Sequoia?

4 points by user90131313 ↗ HN
These people enabled things and Sequoia wrote a love letter in their own webpage, why not fine to them at all? they deleted the article and that's it? is this some game

https://web.archive.org/web/20221027181005/https://www.sequoiacap.com/article/sam-bankman-fried-spotlight/

3 comments

[ 144 ms ] story [ 7809 ms ] thread
user90131313
I bet %90 of the people who know SBF dont know what their parents did + Sequoia article? like wtf. There were some news, is that it?

If something actively promotes a scammer, saying he is high level, with all their resources. how do they get nothing?they have DD? wtf

wqtz
Based on the policy of "piercing the corporate veil" of corporate governance, it is rare that a corporate agent (a person who works for a company) is held accountable. A company operates as an artificial human being meaning that it can perform action and be accountable for it. The people running the company is not largely liable, it is the company itself who is liable. It isn't the board of directors of 3M or Dow Chemicals accountable for chemical spills. It is Dow and 3M who are accountable. There is a separation of identity. Now, in extreme cases the board of directors or upper management are charged for activities of a company as they are the "brains" behind the artificial human entity representing the company. However, the investor, sponsors or other influential stakeholder will never get criticized (formally) because they can claim they do not have operational authority, legal standings or insights into company's internal mechanism. They can claim they acted on "good faith" and it is legally impossible to prove otherwise even if they have consulted or advocated for the company.

Corporate governance as a field of study is interesting. Feel free to explore it.