“Doug is a loving, all-in, supportive parent…he has led a life dedicated to providing thousands of children from impoverished backgrounds with the opportunity to improve their lives.” – Brien O’Connor, defense attorney for Douglas Hodge
“Your conduct in this whole sordid affair is appalling and mind-boggling all at the same time,” – U.S. District Judge Nathaniel Gorton
Ethics Doesn’t Care About Privilege
As the judge was about to pass down an 8-month sentence on Douglas Hodge former CEO of Pacific Investment Management Co LLC (PIMCO), his defense attorney pulled out all of the stops to make his client appear as a saintly philanthropist.
To be sure, he made a decent case for his client, but in the end, it was hard to deny that Hodge, a man of immense wealth and privilege, had successfully bribed individuals at USC and Georgetown to get his kids into those schools as fake recruits for the soccer and tennis teams. The bribes amounted to about $850,000.
Hodge is the 14th parent to have gotten swept up in the college admissions scandal. Conceded Hodge after sentencing: “I have counseled my children to listen to that inner voice that tells them right from wrong. Well, I did not listen to mine.”
If there should be any silver lining for Hodge it is that the government asked for a two-year sentence as his bribery and his flaunting of the educational system was so outrageous. The judge was going to give Hodge a year, but reconsidered in lieu of Hodge’s charitable gifts.
However, ethics does not work on a quid pro quo basis. One is not exonerated in one area of their life, because they were charitable in another. In addition to his jail sentence, Hodge must pay a fine of $750,000 and serve 500 hours of community service.
Don’t Cry for Me
In essence, through his bribes of college admissions officers, Hodge was able to take four scholarships away from qualified student-athletes. Hodge felt such privilege in his bribery scheme that he even took the bribes as tax-deductions.
Unfortunately, it has been reported that at least one of the four children were well aware of how she was able to gain entry into a prestigious school. Though Hodge denied this: “(I) was careful to shield my children from the actions that Mr. Singer and I were taking on their behalf.”
The man who purportedly served as the conduit between wealthy parents and colleges, Rick Singer, was paid hundreds of thousands of dollars to “bribe college sports coaches.” Singer also helped to “fix” admissions tests and was able to gain access to several coaches at many elite universities. The bribe checks went to the coaches at their homes, often disguised as gifts to support the various programs.
Who is Hurt?
Who was hurt by this scam? Literally, everyone involved for many different reasons. Clearly, deserving student-athletes who were in line for scholarships were shut out because people of privilege had bribed coaches and admissions counselors. They clearly affected Title IX programs, specifically set up to give underprivileged women and minority students a chance.
The integrity of several prestigious universities was compromised. Despite their lofty philosophies and higher missions, those who accepted the bribes were common crooks and reduced to embracing greed.
Douglas Hodge’s children, though they may not be fully aware of it at this time, were tainted. If anything, they learned that it is not necessary to work toward life goals, that it is much easier to cheat, lie and bribe. Hodge taught his kids nothing. What he did was not about love, but of perpetuating privilege. Far better had his children gone to community colleges and worked their way to 4-year schools.
In the end, Hodge might have rationalized that because he supported charities, that he was due to take advantage of the system. He was wrong. In fact, his hypocrisy rather negates anything good he might have accomplished.
Money may buy many things, but it can’t buy ethical behavior. As Hodge sits in a jail cell, he may come to understand that despite his wealth, he has learned very little about doing the right thing.
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