THE SENIOR MEN'S CLUB OF NEW CANAAN
Minutes of the Regular Meeting of October 25, 2002
President Bob Witt opened the meeting with 135 members present. Current membership is 500, with 42 on the waiting list. New members Yale Tauber and Allen Stevens were introduced and welcomed. President Witt advised the members that the SMC Board had provisionally approved an increase in membership to 525. Also, those members who do not wish to receive telemarketing calls, should dial 800-842-2649.
Announcements: We were informed that Frank Perron is at home, and Marvin Newman and his new hip arrived at Waveny. Charlie Morris announced he has begun preparations for our Christmas luncheon. We thank Pete Stair for providing timely information on the SMCNC web site. Bob Moylan will make a guide available explaining how to self treat a heart attack.
Activities: Golfers have retired and will reawaken in May. Racquetball players continue to seek players, and bowlers convene as usual. Bridge players will play at Waveny today and will offer Bridge lessons at St. Marks next week beginning at 0915. The October 4F luncheon will be at the NCCC today. Trailblazers have gone into seasonal retirement. Paddle is in full swing MTTH, 9-11.
Couth: Nov. 9th, the Army-AF football game. On Dec. 5th, we visit the Newport mansions. The Couth committee has great plans for January at the NY Philharmonic with lunch at Tavern on the Green. In March it’s “Mamma Mia”, with dinner at Firebird.
Resident Humorist: John Berg provided the members a profound insight into the intellectual sophistication of Georgians.
Speaker: Vice President Jack Murray presented Professor Bob Lear, who introduced Boris Yavitz former Dean of the Columbia Business School, who spoke about the complex issues confronting corporate governance. He stated one of the great inventions was the Corporation, which has allowed for the accumulation of millions of dollars and the success of the economy. Dean Yavitz stated there are three principals in corporations: the owners, the managers and board of directors. In early years of corporate America, Directors representing CEO’s were essentially “rubber boards”, and became self-perpetuating. After WWII, an effort was made to have independent boards with oversight and skills. Corporate boards have two broad responsibilities: a micro or inside view, and macro or outside view. He then spoke about the Enron scandal and the many questions people asked. Where were the Directors? Were they transparent, or asleep at the switch? It seems that Board members who often rely on external auditors for complex accounting issues, were given misleading information. The SEC, who should have been a good watch dog, was in fact not providing oversight. In addition, brokerage houses, investment banks, and commercial banks were complice in the fraud. Congress was subservient to the accounting industry by passing watered down legislation. In brief, investors and pension funds were taken for a ride. The loss of trust, faith, and belief, in these institutions has been so deep that Dean Yavitz sees no recovery soon. To bring back trust, those responsible must be punished and forced to return to the victims the ill gotten gains. Finally, he stated that the public and shareholders must demand higher standards from Boards of Directors.
Stan Stanziale - Asst. Secretary