1 00:00:00,720 --> 00:00:02,160 Speaker 1: Can if I am six forty. 2 00:00:02,200 --> 00:00:05,640 Speaker 2: You're listening to the John Cobel Podcast on the iHeartRadio app. 3 00:00:05,960 --> 00:00:08,160 Speaker 2: We're on the radio from one until four, then after 4 00:00:08,160 --> 00:00:11,960 Speaker 2: four o'clock John Cobelt Show on demand on the iHeart App. 5 00:00:12,680 --> 00:00:13,640 Speaker 1: As usual, we. 6 00:00:13,640 --> 00:00:16,560 Speaker 2: Have a lot of stuff, and we have stuff that 7 00:00:16,640 --> 00:00:19,360 Speaker 2: you're not gonna hear talked about anywhere else for whatever 8 00:00:19,440 --> 00:00:23,640 Speaker 2: mysterious reasons. One thing we are gonna do next segment, 9 00:00:23,640 --> 00:00:26,000 Speaker 2: we're gonna have Aaron Katerski on from ABC News because 10 00:00:26,079 --> 00:00:31,240 Speaker 2: Sam Bankman freed that fraud, that cruk, that scum, and 11 00:00:31,360 --> 00:00:35,400 Speaker 2: he eluded eight billion dollars from thousands of people who 12 00:00:35,520 --> 00:00:41,159 Speaker 2: had accounts with his FTX crypto company. That guy at Weirdo, 13 00:00:41,800 --> 00:00:46,160 Speaker 2: the big bushy Hair, he's going to prison and he's 14 00:00:46,200 --> 00:00:49,440 Speaker 2: gonna be going for well twenty five years is the sentence. 15 00:00:49,960 --> 00:00:52,640 Speaker 2: I don't think he's gonna stay that long, but that's 16 00:00:52,680 --> 00:00:55,000 Speaker 2: the sentence he got from the judge Elis Kaplan. Today, 17 00:00:55,240 --> 00:00:58,480 Speaker 2: Aaron Katerski is going to explain it coming up in 18 00:00:58,520 --> 00:01:01,880 Speaker 2: about fifteen minutes here on KFI. Okay, So, here is 19 00:01:02,000 --> 00:01:04,800 Speaker 2: a statistic which I found at a news site called 20 00:01:04,800 --> 00:01:09,800 Speaker 2: California Insider dot com and this I didn't hear about this, 21 00:01:09,920 --> 00:01:14,000 Speaker 2: didn't see this anywhere else. I'm on a lot of 22 00:01:14,440 --> 00:01:17,800 Speaker 2: email lists for various news organizations, so this one popped 23 00:01:17,840 --> 00:01:20,360 Speaker 2: up in my email, and I go, huh, look at this. 24 00:01:21,280 --> 00:01:21,680 Speaker 3: Do you know? 25 00:01:21,800 --> 00:01:25,760 Speaker 2: Our unemployment rate in California is the highest in the country, 26 00:01:26,360 --> 00:01:33,800 Speaker 2: the highest five point three percent as of February fifty states. 27 00:01:34,040 --> 00:01:39,680 Speaker 2: We're number one. We're number one in unemployment. There is 28 00:01:39,680 --> 00:01:41,679 Speaker 2: a there are a million people out of work in 29 00:01:41,720 --> 00:01:46,039 Speaker 2: this state, but that's not discussed at all. No one 30 00:01:46,120 --> 00:01:50,760 Speaker 2: covers these things anymore. A million people out of work 31 00:01:50,800 --> 00:01:55,880 Speaker 2: in one state, five point three percent unemployment. The job claims, 32 00:01:55,960 --> 00:01:59,800 Speaker 2: or rather the unemployment claims went up twenty seven thousand 33 00:01:59,800 --> 00:02:04,240 Speaker 2: dollars dollars. I'm sorry, I went up twenty seven thousand 34 00:02:04,440 --> 00:02:09,000 Speaker 2: people since January. It's forty five thousand more since February 35 00:02:09,040 --> 00:02:15,320 Speaker 2: of last year. And there's an assemblyman named Juan Atlantis 36 00:02:15,360 --> 00:02:19,400 Speaker 2: who said this month California has regained the top spot 37 00:02:19,440 --> 00:02:22,880 Speaker 2: for the highest gas prices and the highest unemployment in 38 00:02:22,960 --> 00:02:27,239 Speaker 2: the nation. Yeah, people are out of work more than 39 00:02:27,280 --> 00:02:29,560 Speaker 2: any other state, and they've got to pay five dollars 40 00:02:29,639 --> 00:02:33,520 Speaker 2: gas on top of it. Atlanta said, we continue to 41 00:02:33,560 --> 00:02:38,880 Speaker 2: have the highest poverty rates. Okay, so number one in unemployment, 42 00:02:39,160 --> 00:02:42,640 Speaker 2: number one in gas prices, number one in poverty. That's 43 00:02:42,680 --> 00:02:46,000 Speaker 2: Gavin Newsom's California. Everybody, congratulations. 44 00:02:47,040 --> 00:02:47,440 Speaker 1: Wow. 45 00:02:48,840 --> 00:02:52,919 Speaker 2: The tech industry lost fifty four thousand jobs in the 46 00:02:53,000 --> 00:02:58,160 Speaker 2: last year. Professional and business services lost thirty three thousand, 47 00:02:59,080 --> 00:03:04,560 Speaker 2: and in just a month. Seven out of eleven industries 48 00:03:04,880 --> 00:03:11,280 Speaker 2: tracked by the California Employment Department, seven out of eleven 49 00:03:12,280 --> 00:03:17,280 Speaker 2: lost jobs from January to February almost ten thousand jobs 50 00:03:17,320 --> 00:03:21,280 Speaker 2: in construction, over seven thousand, in trade and transportation and 51 00:03:21,480 --> 00:03:26,160 Speaker 2: utilities over twenty seven hundred, and financial services. The economy 52 00:03:26,200 --> 00:03:33,560 Speaker 2: is terrible in California. The economy is really bad. Forty 53 00:03:33,639 --> 00:03:36,920 Speaker 2: nine states have a better unemployment rate. And what kicks 54 00:03:36,920 --> 00:03:42,480 Speaker 2: in any day now twenty dollars minimum wage, which is 55 00:03:42,480 --> 00:03:46,800 Speaker 2: going to lead to more unemployment. Even the communists at 56 00:03:46,800 --> 00:03:53,440 Speaker 2: the Elsigunda Times wrote a story Chapotlee MacDonald's Starbucks, Jack 57 00:03:53,480 --> 00:03:55,800 Speaker 2: in the Box Shake Shack are going to have to 58 00:03:55,920 --> 00:03:59,240 Speaker 2: raise their menu prices, but a lot of fast food 59 00:03:59,240 --> 00:04:05,640 Speaker 2: franchisees are getting rid of employees, are cutting their hours. 60 00:04:07,520 --> 00:04:14,400 Speaker 2: The minimum wage was sixteen dollars an hour. Now it's 61 00:04:14,440 --> 00:04:18,520 Speaker 2: going to be twenty that's a twenty five percent raise 62 00:04:18,560 --> 00:04:23,039 Speaker 2: everybody got, and most of the owners of these franchise 63 00:04:23,080 --> 00:04:27,560 Speaker 2: restaurants say, we can't afford that, So customers are going 64 00:04:27,600 --> 00:04:28,520 Speaker 2: to pay more for. 65 00:04:29,880 --> 00:04:32,120 Speaker 1: Hamburgers and. 66 00:04:34,279 --> 00:04:40,840 Speaker 2: Burritos and coffee twenty dollars an hour. Jack Hartung is 67 00:04:40,880 --> 00:04:43,960 Speaker 2: Chipotlei's chief financial officer, and he said, it's going to 68 00:04:44,000 --> 00:04:48,599 Speaker 2: be a pretty significant increase to our labor, so prices 69 00:04:48,600 --> 00:04:52,560 Speaker 2: are going to go up between five and ten percent. 70 00:04:53,560 --> 00:04:56,839 Speaker 2: We're definitely going to pass this on. So this is 71 00:04:56,839 --> 00:05:03,120 Speaker 2: how inflation works. You inflate our officially wages, and then 72 00:05:03,160 --> 00:05:08,359 Speaker 2: the companies, in order to stay solvent, inflate their prices. 73 00:05:11,240 --> 00:05:13,240 Speaker 2: So we're all going to have to pay more now 74 00:05:13,279 --> 00:05:16,159 Speaker 2: for food because Gavin Newsom's gang. 75 00:05:17,000 --> 00:05:19,520 Speaker 1: Oh it's Gavin Newsom. It's entirely his doing. 76 00:05:21,560 --> 00:05:24,040 Speaker 2: Because he could veto these stupid bills, but he wants them, 77 00:05:24,080 --> 00:05:27,240 Speaker 2: he promotes them, he brags about because he's just so 78 00:05:27,400 --> 00:05:34,279 Speaker 2: preciously progressive. Uh So everybody's getting a twenty five percent 79 00:05:34,400 --> 00:05:37,840 Speaker 2: increase if you work in that in that field, and 80 00:05:38,360 --> 00:05:41,120 Speaker 2: I talked about this yesterday. These jobs were never designed 81 00:05:41,120 --> 00:05:43,599 Speaker 2: to raise a family of four. These were designed to 82 00:05:43,640 --> 00:05:46,760 Speaker 2: be starter jobs that you took in high school and 83 00:05:46,839 --> 00:05:51,480 Speaker 2: college young adults. Nobody is supposed to raise a family 84 00:05:51,520 --> 00:05:55,279 Speaker 2: of four on jobs like this. But we have so 85 00:05:55,320 --> 00:05:58,480 Speaker 2: many poor people, would it yes? Because when you let 86 00:05:58,520 --> 00:06:01,080 Speaker 2: in millions of illegal alien you end up with a 87 00:06:01,080 --> 00:06:05,600 Speaker 2: lot of poverty. Right, So now suddenly to raise them 88 00:06:05,600 --> 00:06:08,320 Speaker 2: out of poverty, you're supposed to give them twenty dollars 89 00:06:08,320 --> 00:06:12,080 Speaker 2: an hour jobs, and they're very low skilled jobs. There 90 00:06:12,120 --> 00:06:14,839 Speaker 2: isn't a human being alive who can't shake a fry basket. 91 00:06:17,240 --> 00:06:23,880 Speaker 2: You have a Georgetown University professor, public policy professor. This 92 00:06:24,000 --> 00:06:29,800 Speaker 2: guy used to be the chief economist in the Clinton 93 00:06:29,839 --> 00:06:33,400 Speaker 2: administration for the Labor Department. So this is no right 94 00:06:33,400 --> 00:06:36,599 Speaker 2: wing libertarian cooke here. He said, this is such a 95 00:06:36,640 --> 00:06:39,520 Speaker 2: traumatic increase on the state minimum wage that was already 96 00:06:39,600 --> 00:06:45,320 Speaker 2: quite high. The workers who keep their jobs will be happy. 97 00:06:45,320 --> 00:06:48,680 Speaker 2: They'll be better off if they keep their jobs. But 98 00:06:48,800 --> 00:06:52,440 Speaker 2: there's a lot of fast food companies slashing the jobs, 99 00:06:53,120 --> 00:06:54,320 Speaker 2: and they're putting an automation. 100 00:06:56,920 --> 00:06:57,679 Speaker 1: What do you think. 101 00:06:57,560 --> 00:07:03,240 Speaker 2: AI is designed for? This is ultimately going to be 102 00:07:03,279 --> 00:07:05,479 Speaker 2: bad for a lot of fast food workers. You'll see, 103 00:07:06,040 --> 00:07:08,120 Speaker 2: although you know what. They just don't report on this 104 00:07:08,120 --> 00:07:13,240 Speaker 2: stuff anymore. We've already got the worst unemployment and the 105 00:07:13,240 --> 00:07:17,080 Speaker 2: worst gas prices and the worst electricity prices, and the 106 00:07:17,120 --> 00:07:22,240 Speaker 2: highest poverty rate, and now you're gonna jack up the 107 00:07:22,280 --> 00:07:27,360 Speaker 2: minimum wage, which will lead to higher prices, higher inflation, 108 00:07:29,240 --> 00:07:36,400 Speaker 2: and more unemployment. It's just a ridiculous, stupid policy. But hey, 109 00:07:36,440 --> 00:07:39,800 Speaker 2: that's what you get. You keep voting for this. When 110 00:07:39,800 --> 00:07:44,120 Speaker 2: we come back. Aaron Katski on Sam bankmin Freed. He's 111 00:07:44,160 --> 00:07:48,200 Speaker 2: gone to prison for a long time. He's from ABC News. Aaron, 112 00:07:48,280 --> 00:07:49,200 Speaker 2: we'll talk to him next. 113 00:07:49,920 --> 00:07:54,280 Speaker 3: You're listening to John Cobelt on demand from KFI AM 114 00:07:54,280 --> 00:07:54,840 Speaker 3: six forty. 115 00:07:56,080 --> 00:07:58,400 Speaker 2: We're on from one until four, and then after four 116 00:07:58,440 --> 00:08:02,880 Speaker 2: o'clock you can have the podcast John Cobelt's show on 117 00:08:02,960 --> 00:08:07,480 Speaker 2: demand also on the iHeart app. And Sam Bankman Freed 118 00:08:07,720 --> 00:08:12,120 Speaker 2: finally got sentenced in court today. He was the golden 119 00:08:12,160 --> 00:08:15,840 Speaker 2: boy of the crypto industry. He ran that company called FTX. 120 00:08:15,880 --> 00:08:18,880 Speaker 2: You may remember their commercials in the Super Bowl starring 121 00:08:18,920 --> 00:08:23,560 Speaker 2: Tom Brady and Giselle Bunchen and Larry David Well. He 122 00:08:23,640 --> 00:08:27,360 Speaker 2: was found guilty of stealing eight billion dollars from thousands 123 00:08:27,360 --> 00:08:31,160 Speaker 2: of his customers, and today was sentencing day. Aaron Katerski 124 00:08:31,520 --> 00:08:34,360 Speaker 2: has more on this. Aaron, how are you from ABC News. 125 00:08:35,080 --> 00:08:37,120 Speaker 4: John, It's good to hear you. Sam bankd and Fried 126 00:08:37,160 --> 00:08:40,680 Speaker 4: stood before the judge in a ten jail smock. He 127 00:08:40,760 --> 00:08:43,480 Speaker 4: had his head bowed and his hands folded in front 128 00:08:43,520 --> 00:08:45,920 Speaker 4: of him as the judge imposed the sentence of twenty 129 00:08:45,920 --> 00:08:49,000 Speaker 4: five years, and he did so for a couple of reasons. 130 00:08:49,040 --> 00:08:52,600 Speaker 4: The judge said, it's a very serious crime and Bankman 131 00:08:52,640 --> 00:08:54,360 Speaker 4: Free just needed to be punished for it. But he 132 00:08:54,400 --> 00:08:58,520 Speaker 4: also said he wanted to disable, to use the judges word, 133 00:08:59,080 --> 00:09:03,080 Speaker 4: bankman Freed to commit another fraud, and he said if 134 00:09:03,200 --> 00:09:05,440 Speaker 4: there was not a trivial risk that he would do 135 00:09:05,480 --> 00:09:07,760 Speaker 4: this if he was let out of prison too soon. 136 00:09:11,160 --> 00:09:14,480 Speaker 2: The prosecution was asking for more than one hundred years, 137 00:09:15,160 --> 00:09:18,719 Speaker 2: and bank Winfried's defense lawyers were saying, how about five 138 00:09:18,800 --> 00:09:19,199 Speaker 2: or six? 139 00:09:19,960 --> 00:09:23,880 Speaker 4: Yeah, I mean the span was enormous. And even though 140 00:09:23,920 --> 00:09:27,160 Speaker 4: the probation department said one hundred years and the judge said, 141 00:09:27,280 --> 00:09:30,160 Speaker 4: you know, the eligibility was one hundred and ten years, 142 00:09:30,360 --> 00:09:33,120 Speaker 4: the defense called that barbarrack. They said there was no need. 143 00:09:33,480 --> 00:09:38,920 Speaker 4: He's not some monster. He's not even burning madeoff. He's 144 00:09:38,960 --> 00:09:42,880 Speaker 4: a manner is what the defense attorney called him, and 145 00:09:42,920 --> 00:09:46,080 Speaker 4: somebody who should be given a chance and not have 146 00:09:46,240 --> 00:09:49,560 Speaker 4: the prime of his life taken away from him. And 147 00:09:49,640 --> 00:09:53,920 Speaker 4: prosecutors said, look, he's not a monster, but he did 148 00:09:54,200 --> 00:09:58,160 Speaker 4: rob thousands, ten to thousands of people in some cases 149 00:09:58,160 --> 00:10:01,280 Speaker 4: of their life savings who put their money in FTX, 150 00:10:01,840 --> 00:10:04,840 Speaker 4: trusted Sam Bankman Free's guarantee that it was going to 151 00:10:04,840 --> 00:10:07,760 Speaker 4: be safe. Heard him push for regulation of the crypto industry, 152 00:10:07,760 --> 00:10:09,480 Speaker 4: and the judge said that was all on act right, 153 00:10:09,760 --> 00:10:15,000 Speaker 4: because it just ended up being, you know, a piggybank 154 00:10:15,040 --> 00:10:15,880 Speaker 4: for him personally. 155 00:10:16,400 --> 00:10:19,520 Speaker 2: People would put their money into an FTX account and 156 00:10:19,600 --> 00:10:23,560 Speaker 2: the purpose was to eventually invest in crypto. And what 157 00:10:23,640 --> 00:10:26,560 Speaker 2: Bankman did is he stole those deposits because he had 158 00:10:26,559 --> 00:10:29,079 Speaker 2: a hedge fund that was falling apart and he had 159 00:10:29,120 --> 00:10:32,000 Speaker 2: to transfer eight billion dollars to keep that hedge fund 160 00:10:32,440 --> 00:10:33,160 Speaker 2: edge fund to flow. 161 00:10:33,320 --> 00:10:35,080 Speaker 1: Is that generally what happened. 162 00:10:35,840 --> 00:10:39,160 Speaker 4: That that's essentially the fraud that he took eight billion 163 00:10:39,240 --> 00:10:42,200 Speaker 4: dollars of customer funds. He also took you know, another 164 00:10:42,280 --> 00:10:46,400 Speaker 4: almost two million from lenders and another million from investors 165 00:10:46,400 --> 00:10:50,200 Speaker 4: in FTX and put it all into his privately controlled 166 00:10:50,679 --> 00:10:54,640 Speaker 4: hedge fund known as Alometer Research, and you know, that 167 00:10:54,800 --> 00:10:59,720 Speaker 4: was making some pretty speculative investments itself. It was taking 168 00:10:59,720 --> 00:11:04,320 Speaker 4: on a lot of political donations, it was buying up 169 00:11:04,440 --> 00:11:07,520 Speaker 4: some lavish real estate. And the jury at the time 170 00:11:07,600 --> 00:11:10,280 Speaker 4: saw all the you know, the thirty million dollars Penthosi 171 00:11:10,400 --> 00:11:13,520 Speaker 4: lived in the Bahamas with the ocean views, and you know, 172 00:11:13,559 --> 00:11:17,600 Speaker 4: all of that. The judge said was not bankman frees 173 00:11:17,720 --> 00:11:20,840 Speaker 4: money to use, and that's part of the reason why 174 00:11:20,960 --> 00:11:22,920 Speaker 4: so many people ended up losing everything. 175 00:11:23,440 --> 00:11:27,000 Speaker 2: The defense attorneys try to make it sound like it's 176 00:11:27,000 --> 00:11:30,160 Speaker 2: not that big a deal because in the bankruptcy proceedings, 177 00:11:30,520 --> 00:11:32,840 Speaker 2: people are going to get most or all their money back. 178 00:11:32,960 --> 00:11:33,559 Speaker 1: Is that true? 179 00:11:33,640 --> 00:11:37,680 Speaker 2: The prosecution was pushing back on that, and I haven't 180 00:11:37,679 --> 00:11:40,920 Speaker 2: seen an explanation of exactly how they're going to be 181 00:11:40,920 --> 00:11:45,040 Speaker 2: able to refund all the money that was lost. Did 182 00:11:45,040 --> 00:11:46,960 Speaker 2: that come up at all or have you heard anything? 183 00:11:47,960 --> 00:11:52,720 Speaker 4: Yeah, the defense John believes that through the bankruptcy process 184 00:11:53,640 --> 00:11:57,720 Speaker 4: that customers are going to eventually be made whole because 185 00:11:58,440 --> 00:12:03,040 Speaker 4: what's left of FTX crypto holdings are actually surging in value. 186 00:12:03,440 --> 00:12:06,760 Speaker 4: Cryptos had a pretty good rebound. You know, in the 187 00:12:06,800 --> 00:12:12,240 Speaker 4: last year or so, and so the defense effectively is 188 00:12:12,280 --> 00:12:15,120 Speaker 4: saying the money isn't lost, It's kind of been around 189 00:12:15,120 --> 00:12:18,080 Speaker 4: the whole time. It just needed to have a resurgence, 190 00:12:18,080 --> 00:12:21,640 Speaker 4: and through the bankruptcy process, all these creditors are you know, 191 00:12:21,679 --> 00:12:23,400 Speaker 4: all these customers are going to be made whole. The 192 00:12:23,480 --> 00:12:27,520 Speaker 4: problem with the argument is that in a bankruptcy, the 193 00:12:28,360 --> 00:12:31,439 Speaker 4: customers who lost money are often at the back of 194 00:12:31,480 --> 00:12:34,760 Speaker 4: the line. And so the judge even said today it 195 00:12:34,840 --> 00:12:38,679 Speaker 4: was disingenuous for Bankman Freed's attorneys to be arguing that 196 00:12:39,280 --> 00:12:41,199 Speaker 4: these customers are actually going to be fine. 197 00:12:41,840 --> 00:12:44,480 Speaker 2: The judge in the case, Lewis Kaplan, he came down 198 00:12:44,559 --> 00:12:47,760 Speaker 2: pretty hard verbally. In addition to the twenty five year sentence. 199 00:12:47,760 --> 00:12:51,720 Speaker 2: He was having none of anyone trying to rehabilitate Bankman 200 00:12:51,760 --> 00:12:53,040 Speaker 2: Freed's reputation here. 201 00:12:54,080 --> 00:12:56,679 Speaker 4: Yeah, and you know, the prosecutors had said, look, put 202 00:12:56,720 --> 00:12:59,200 Speaker 4: them away for forty years. That's the only way to 203 00:12:59,200 --> 00:13:01,319 Speaker 4: guarantee not going to commit a from The judge said 204 00:13:01,320 --> 00:13:03,000 Speaker 4: that would have been excessive. But he said, look, this 205 00:13:03,200 --> 00:13:06,640 Speaker 4: was a very serious crime, and he said it wasn't 206 00:13:06,640 --> 00:13:10,440 Speaker 4: a trivial risk that bankmin Freed could commit another crime. 207 00:13:10,480 --> 00:13:13,679 Speaker 4: In fact, you know, he talked about how he's he's 208 00:13:13,800 --> 00:13:16,199 Speaker 4: very smart, communicates in a way that a lot of 209 00:13:16,240 --> 00:13:21,400 Speaker 4: people find off putting, but has the capacity, the judge said, 210 00:13:21,880 --> 00:13:24,880 Speaker 4: to do something like this again, because he really seemed 211 00:13:24,920 --> 00:13:28,040 Speaker 4: to doubt or or maybe even take the defense at 212 00:13:28,040 --> 00:13:30,120 Speaker 4: its word that he's just a quirky guy, but somebody 213 00:13:30,120 --> 00:13:34,439 Speaker 4: who doesn't necessarily, you know, think about the consequences of 214 00:13:34,800 --> 00:13:39,320 Speaker 4: his actions and has the brain power to do something 215 00:13:39,360 --> 00:13:39,959 Speaker 4: like this again. 216 00:13:40,240 --> 00:13:43,880 Speaker 2: Yeah, I mean, he came across obviously as a genius 217 00:13:43,880 --> 00:13:47,240 Speaker 2: in a very narrow way when it came to analyzing 218 00:13:47,600 --> 00:13:52,080 Speaker 2: the crypto world, but not I didn't detect much of 219 00:13:52,120 --> 00:13:55,280 Speaker 2: a conscience or much remorse in his persona. 220 00:13:55,840 --> 00:13:58,640 Speaker 4: None of the judge said. In fact, you know, Bankman freed. 221 00:13:59,240 --> 00:14:03,400 Speaker 4: He did apology and he talked about, you know, how 222 00:14:03,800 --> 00:14:06,160 Speaker 4: he felt sorry for people who had lost everything, and 223 00:14:06,160 --> 00:14:09,040 Speaker 4: he sort of said it's on me. But the judge said, 224 00:14:09,080 --> 00:14:13,000 Speaker 4: he heard not a word of remorse, and there's a 225 00:14:13,760 --> 00:14:16,200 Speaker 4: real question about that. And the defense said, look, this 226 00:14:16,320 --> 00:14:19,400 Speaker 4: is a he's a complicated kid. He doesn't always express 227 00:14:19,440 --> 00:14:21,720 Speaker 4: his emotions the way you or I do. You know, 228 00:14:21,800 --> 00:14:26,840 Speaker 4: he's autistic and all of that, and the judge said 229 00:14:26,880 --> 00:14:30,000 Speaker 4: he took that into consideration. But the lack of remorse, 230 00:14:30,560 --> 00:14:34,520 Speaker 4: the you know, the propensity to potentially do this again, 231 00:14:35,160 --> 00:14:38,440 Speaker 4: and the severity of the crime, he said, all warranted 232 00:14:38,480 --> 00:14:39,840 Speaker 4: that sentence of twenty five years. 233 00:14:39,920 --> 00:14:42,240 Speaker 2: Yeah, he might get out, what about fifteen years. I 234 00:14:42,240 --> 00:14:45,480 Speaker 2: heard some commentators saying, I guess with good and all. 235 00:14:46,400 --> 00:14:50,040 Speaker 4: Sure, maybe, but I think it's it's a significant part 236 00:14:50,040 --> 00:14:51,720 Speaker 4: of his life. You know. The defense was saying that 237 00:14:51,920 --> 00:14:56,200 Speaker 4: he's thirty two, it's he's in his prime to try 238 00:14:56,240 --> 00:14:59,840 Speaker 4: and you know, find a life partner or whatever. You know. 239 00:15:00,080 --> 00:15:02,280 Speaker 4: The defense even suggested, hey, put him to work trying 240 00:15:02,320 --> 00:15:05,000 Speaker 4: to get the money back. Let him use his you know, 241 00:15:05,080 --> 00:15:08,680 Speaker 4: his genius for good in here. And the judge just 242 00:15:08,800 --> 00:15:13,320 Speaker 4: wasn't buying any of that. He doubted that, you know 243 00:15:13,360 --> 00:15:16,000 Speaker 4: that that any work that Bankman Freed would do wouldn't 244 00:15:16,040 --> 00:15:16,520 Speaker 4: be criminal. 245 00:15:17,120 --> 00:15:19,800 Speaker 2: All right, Thanks very much, Aaron, Aaron Katurski, ABC News 246 00:15:19,840 --> 00:15:23,160 Speaker 2: on the Sam Bankman Freed sentencing. Thank you, Thank you. John, 247 00:15:23,360 --> 00:15:25,840 Speaker 2: all right, and we've got more coming up. 248 00:15:27,000 --> 00:15:30,840 Speaker 3: You're listening to John Cobelt on demand from kf I 249 00:15:31,040 --> 00:15:32,200 Speaker 3: AM six forty. 250 00:15:32,840 --> 00:15:35,280 Speaker 2: Run from one until four after four o'clock John Cobelt's 251 00:15:35,280 --> 00:15:39,400 Speaker 2: show on demand. Uh, is there still room on the 252 00:15:39,400 --> 00:15:42,520 Speaker 2: moistline or are we settle on that? Yes, there's still 253 00:15:42,600 --> 00:15:46,440 Speaker 2: room on the Moistline. We're still taking submissions. Maybe the 254 00:15:46,520 --> 00:15:50,680 Speaker 2: quality is not is the quality like Boeing like. 255 00:15:53,000 --> 00:15:55,480 Speaker 1: We do not Boeing level, but close? Okay? All right? 256 00:15:55,920 --> 00:15:59,120 Speaker 2: Uh, you can do better than Boeing level Moistline submissions, 257 00:15:59,120 --> 00:16:02,000 Speaker 2: all right? Eight seven seven moist eighty six, eight seven 258 00:16:02,080 --> 00:16:04,480 Speaker 2: seven mois steady six. You better call now though, and 259 00:16:04,720 --> 00:16:07,720 Speaker 2: get everything off your chest. All you can use the 260 00:16:07,760 --> 00:16:10,520 Speaker 2: talkback feature on the iHeart app eight seven seven moist 261 00:16:10,560 --> 00:16:15,040 Speaker 2: eighty six, because we're gonna air the Moistline tomorrow in 262 00:16:15,080 --> 00:16:16,360 Speaker 2: the three bulk out. Wait. 263 00:16:16,400 --> 00:16:19,120 Speaker 5: We love those moistline callers, don't we, John. 264 00:16:19,040 --> 00:16:19,400 Speaker 1: We do. 265 00:16:19,560 --> 00:16:21,760 Speaker 2: But you know, we do have quality control and we 266 00:16:21,840 --> 00:16:25,000 Speaker 2: have standards, and you know, if nothing else, you can 267 00:16:25,120 --> 00:16:26,920 Speaker 2: always complain about Denverra. Yeah. 268 00:16:26,920 --> 00:16:27,280 Speaker 5: I love that. 269 00:16:27,480 --> 00:16:31,440 Speaker 2: That's that's the go to. Yeah, joh, we all do. 270 00:16:31,560 --> 00:16:33,880 Speaker 2: We will get it entertainment. We all get a perverse 271 00:16:33,880 --> 00:16:39,200 Speaker 2: pleasure out of it. So uh and actually we have 272 00:16:39,240 --> 00:16:41,960 Speaker 2: a lot of Boeing stories here, none of which you'll 273 00:16:42,000 --> 00:16:44,240 Speaker 2: be pleased with. I'm sure now this this, this is 274 00:16:44,280 --> 00:16:50,080 Speaker 2: fascinating because in public life most everybody lies, especially corporate executives. 275 00:16:50,960 --> 00:16:53,040 Speaker 2: They lie in their public relation outfit. 276 00:16:53,160 --> 00:16:53,480 Speaker 1: Lies. 277 00:16:53,880 --> 00:16:57,600 Speaker 2: Often the media covers up their lies. And Boeing got 278 00:16:57,600 --> 00:17:00,000 Speaker 2: caught here. When you have when you have door plugs 279 00:17:00,000 --> 00:17:02,800 Speaker 2: falling out of the sky, you can't lie anymore. And 280 00:17:03,560 --> 00:17:06,080 Speaker 2: a number of media outlets have done, as they say, 281 00:17:06,119 --> 00:17:09,879 Speaker 2: a deep dive into what was going on the Boeing 282 00:17:09,880 --> 00:17:16,439 Speaker 2: production line. And you know that whistleblower committed suicide. His 283 00:17:16,600 --> 00:17:19,679 Speaker 2: mother is speaking out. We're going to have clips of 284 00:17:19,680 --> 00:17:23,320 Speaker 2: that interview. She was on CBS. She's in her eighties 285 00:17:24,119 --> 00:17:27,040 Speaker 2: and her son aged sixty two. That was John Barnett 286 00:17:27,080 --> 00:17:29,080 Speaker 2: committed suicide. He's the guy who shot himself in the 287 00:17:29,080 --> 00:17:33,080 Speaker 2: parking lot. Scout the Carolina if he committed suicide unless 288 00:17:33,119 --> 00:17:36,200 Speaker 2: he was epsteined. So we'll get to that next segment 289 00:17:36,240 --> 00:17:42,360 Speaker 2: the interview. But Dave Calhoun, the Boeing CEO who took 290 00:17:42,400 --> 00:17:46,320 Speaker 2: over in twenty twenty after the last round of Boeing crashes, 291 00:17:46,920 --> 00:17:50,119 Speaker 2: he did a really terrible job. You'll see how terrible 292 00:17:50,280 --> 00:17:53,640 Speaker 2: in a few minutes. But the production line really went 293 00:17:53,680 --> 00:17:57,439 Speaker 2: to hell. The stock price is now forty three percent 294 00:17:57,560 --> 00:18:01,240 Speaker 2: lower compared to the day he took over forty three 295 00:18:01,280 --> 00:18:06,400 Speaker 2: percent lower. It it was about three hundred and thirty 296 00:18:06,600 --> 00:18:12,600 Speaker 2: dollars a share, and as CEO, your entire future is 297 00:18:12,600 --> 00:18:15,000 Speaker 2: tied up in the stock price, and it's gone from 298 00:18:15,000 --> 00:18:17,840 Speaker 2: three hundred and thirty to one hundred and eighty eight 299 00:18:17,840 --> 00:18:20,200 Speaker 2: dollars a share, a huge decline. 300 00:18:20,400 --> 00:18:22,160 Speaker 5: Yet he's staying until the end of the year. 301 00:18:22,359 --> 00:18:24,280 Speaker 2: He's staying until the end of the year or until 302 00:18:24,320 --> 00:18:27,080 Speaker 2: they can replace him. And you saw how. 303 00:18:27,080 --> 00:18:30,320 Speaker 5: Much he's getting astronomical amount. 304 00:18:29,960 --> 00:18:34,000 Speaker 2: Of money, twenty four million dollars and it could go up. Yes, 305 00:18:34,600 --> 00:18:37,359 Speaker 2: twenty four million dollars. He's going to get for sure 306 00:18:38,200 --> 00:18:42,280 Speaker 2: for one of the worst jobs in aviation history. And 307 00:18:42,680 --> 00:18:46,320 Speaker 2: if it's judged to be a retirement, he gets five 308 00:18:46,359 --> 00:18:51,560 Speaker 2: million dollars extra. And if his successor turns the company 309 00:18:51,600 --> 00:18:54,879 Speaker 2: around and the stock price goes back up over the 310 00:18:54,920 --> 00:18:57,960 Speaker 2: next eight years, he could get up to a forty 311 00:18:58,000 --> 00:18:59,400 Speaker 2: five million dollar payout. 312 00:18:59,480 --> 00:19:03,720 Speaker 6: Why I'm in the wrong business. 313 00:19:04,040 --> 00:19:06,680 Speaker 2: You are in the wrong business because you know, if 314 00:19:06,720 --> 00:19:09,639 Speaker 2: you suck every day, yeah, you get sent home. But 315 00:19:10,040 --> 00:19:12,920 Speaker 2: this guy could suck every day for four years and 316 00:19:12,960 --> 00:19:15,439 Speaker 2: he's guaranteed twenty four million, and he could end up 317 00:19:15,440 --> 00:19:20,040 Speaker 2: with forty five million. And if you the story in 318 00:19:20,080 --> 00:19:22,720 Speaker 2: the New York Times describes what's been going on in 319 00:19:22,720 --> 00:19:25,920 Speaker 2: the production line, and he didn't have one good day. 320 00:19:26,359 --> 00:19:29,760 Speaker 2: If this is what was going on, so let's go 321 00:19:29,800 --> 00:19:31,960 Speaker 2: to the production line. According to the New York Times, 322 00:19:32,040 --> 00:19:35,119 Speaker 2: I didn't know these things. You know, stuff happens, and 323 00:19:35,280 --> 00:19:37,480 Speaker 2: it's like I said about another. 324 00:19:37,240 --> 00:19:37,880 Speaker 1: Story this hour. 325 00:19:38,040 --> 00:19:41,119 Speaker 2: It depends that things get reported or not. February of 326 00:19:41,200 --> 00:19:45,360 Speaker 2: last year, there was a new Southwest Airlines Boeing seven 327 00:19:45,520 --> 00:19:49,560 Speaker 2: thirty seven MACS. One of its first flights, its automated 328 00:19:49,640 --> 00:19:55,640 Speaker 2: stabilizing system started malfunctioning in the air and the pilots 329 00:19:55,640 --> 00:19:58,480 Speaker 2: had to make an emergency landing shortly after takeoff. 330 00:19:58,800 --> 00:20:01,800 Speaker 1: This is one of the first flo heights. I don't 331 00:20:01,800 --> 00:20:04,880 Speaker 1: know what an automatic stabilizing system. Doesn't that sound good? 332 00:20:04,880 --> 00:20:05,760 Speaker 5: If it's not worth. 333 00:20:05,640 --> 00:20:09,520 Speaker 2: No, it seems like you don't want that malfunctioning. Then 334 00:20:09,640 --> 00:20:12,760 Speaker 2: two months later, this would be in April last year, 335 00:20:12,960 --> 00:20:15,359 Speaker 2: an Alaska Airlines seven thirty seven Max. 336 00:20:16,200 --> 00:20:20,120 Speaker 1: It had only been used for eight hours. Eight hours? 337 00:20:20,840 --> 00:20:21,920 Speaker 1: What is that? Two flights? 338 00:20:22,000 --> 00:20:24,000 Speaker 5: Three flights or maybe one? 339 00:20:24,680 --> 00:20:27,359 Speaker 2: They had to ground it because the mechanics had a 340 00:20:27,400 --> 00:20:34,840 Speaker 2: problem with a fire detection system. Oh November of last year, 341 00:20:35,440 --> 00:20:40,080 Speaker 2: United Airlines got a just delivered Boeing seven thirty seven Max. 342 00:20:41,200 --> 00:20:44,919 Speaker 2: One of the engines failed. They were thirty seven thousand 343 00:20:44,960 --> 00:20:50,200 Speaker 2: feet in the air, engine goes poof gone. In each case, 344 00:20:50,520 --> 00:20:55,720 Speaker 2: the plane had just been built. And the Time says 345 00:20:56,080 --> 00:21:01,919 Speaker 2: these incidents were not widely reported. Well why not exactly? 346 00:21:02,280 --> 00:21:07,600 Speaker 2: We were getting, you know, every little minor twitch a 347 00:21:07,640 --> 00:21:11,800 Speaker 2: couple of weeks ago. And there's an engineer quoted in 348 00:21:11,840 --> 00:21:14,960 Speaker 2: here who worked at Boeing for more than ten years, 349 00:21:15,240 --> 00:21:16,960 Speaker 2: and he says, there are a lot of areas where 350 00:21:17,000 --> 00:21:19,439 Speaker 2: things don't seem to be put together right in the 351 00:21:19,440 --> 00:21:24,119 Speaker 2: first place. That's what you want to hear about an airplane. Yeah, 352 00:21:24,160 --> 00:21:25,600 Speaker 2: they're just not put together right. 353 00:21:26,080 --> 00:21:28,800 Speaker 1: He says. It shortcuts everywhere. 354 00:21:31,240 --> 00:21:34,440 Speaker 2: So remember all this stuff came after the two crashes 355 00:21:35,600 --> 00:21:39,720 Speaker 2: that they had in twenty eighteen and twenty nineteen, the 356 00:21:39,720 --> 00:21:45,600 Speaker 2: two crashes that killed hundreds of people. It's said, according 357 00:21:45,640 --> 00:21:50,760 Speaker 2: to the Times, there are crucial layers of redundancies that 358 00:21:50,840 --> 00:21:54,040 Speaker 2: are supposed to keep the Boeing plane safe. But those 359 00:21:54,119 --> 00:22:00,000 Speaker 2: layers appear to be strained appear to be strained. The 360 00:22:00,040 --> 00:22:05,919 Speaker 2: inspection process, well, they had something called you could you 361 00:22:05,960 --> 00:22:08,960 Speaker 2: could self Uh, what's a word I want to use here? 362 00:22:09,000 --> 00:22:10,520 Speaker 1: Self verification? That's right. 363 00:22:11,200 --> 00:22:13,119 Speaker 2: They didn't have an inspection process, and a lot of 364 00:22:13,200 --> 00:22:15,800 Speaker 2: cases at Boeing, a guy just would look at the 365 00:22:15,800 --> 00:22:18,359 Speaker 2: work at work. He just did go do I feel 366 00:22:18,359 --> 00:22:21,000 Speaker 2: like I did a good job today? Yes, I did 367 00:22:21,040 --> 00:22:23,000 Speaker 2: a good job today. I'm going to self verify. 368 00:22:23,080 --> 00:22:27,440 Speaker 1: Look at that. Look at those door bolls. Uh. 369 00:22:28,080 --> 00:22:31,919 Speaker 2: Because they talked to several current and former employees and 370 00:22:32,000 --> 00:22:35,320 Speaker 2: mechanics in some cases could sign off on their own work. 371 00:22:36,160 --> 00:22:39,439 Speaker 2: Now for the employees that didn't sign off on their 372 00:22:39,480 --> 00:22:44,720 Speaker 2: own work, they could go inspector shopping. They knew on 373 00:22:44,760 --> 00:22:47,880 Speaker 2: the production floor who the tough inspectors are and who 374 00:22:47,880 --> 00:22:50,280 Speaker 2: are the guys who didn't care. So you go to 375 00:22:50,320 --> 00:22:51,840 Speaker 2: the guy who doesn't care. It's like, how is my 376 00:22:51,920 --> 00:22:53,240 Speaker 2: work today? Looks great? 377 00:22:53,960 --> 00:22:56,560 Speaker 1: Yeah? Right, I'll sign it. Sure, just go away, let 378 00:22:56,600 --> 00:22:58,639 Speaker 1: me alone. Wow. 379 00:22:59,440 --> 00:22:59,560 Speaker 4: Uh. 380 00:23:02,320 --> 00:23:05,359 Speaker 2: Calhoun going back to the CEO. When he took the 381 00:23:05,560 --> 00:23:07,879 Speaker 2: CEO job, he said he was determined to improve the 382 00:23:07,920 --> 00:23:11,800 Speaker 2: company's safety culture. But this is what a bureaucrat thinks 383 00:23:11,840 --> 00:23:15,800 Speaker 2: is improving safety culture. He added directors on the board 384 00:23:15,880 --> 00:23:19,240 Speaker 2: with engineering and safety expertise. What you had to do 385 00:23:19,280 --> 00:23:21,840 Speaker 2: is go on the production floor and overhaul the culture. 386 00:23:22,359 --> 00:23:26,560 Speaker 2: That led to people's self inspecting or inspector shopping to 387 00:23:26,600 --> 00:23:28,840 Speaker 2: find the easy guys. That's what you have to do. 388 00:23:29,040 --> 00:23:32,679 Speaker 2: But having two more nerds on the board isn't going 389 00:23:32,720 --> 00:23:33,080 Speaker 2: to help. 390 00:23:34,560 --> 00:23:34,760 Speaker 1: Oh. 391 00:23:34,800 --> 00:23:39,719 Speaker 2: They also created a safety committee. Isn't that classic? A 392 00:23:39,840 --> 00:23:46,560 Speaker 2: safety committee? David Davin Fisher used to be a mechanic 393 00:23:47,000 --> 00:23:49,600 Speaker 2: up in Rented where the door plug blew app and 394 00:23:49,920 --> 00:23:53,080 Speaker 2: he gave a TV interview he said around twenty seventeen 395 00:23:53,400 --> 00:23:56,040 Speaker 2: when they introduced the Max, that's when he noticed the 396 00:23:56,040 --> 00:23:58,600 Speaker 2: culture shift. They were trying to get the plane rate 397 00:23:58,720 --> 00:24:01,360 Speaker 2: up and they just kept crying and crunching and crunching 398 00:24:01,400 --> 00:24:06,040 Speaker 2: to go faster and faster and faster because the executives 399 00:24:06,040 --> 00:24:11,040 Speaker 2: were freaked out. Air Busts, their main competitor, had a 400 00:24:11,040 --> 00:24:14,639 Speaker 2: new plane out and they were able to make this 401 00:24:14,760 --> 00:24:19,480 Speaker 2: plane safely and efficiently, and it was very fuel efficient. 402 00:24:19,560 --> 00:24:22,479 Speaker 2: So this Airbus plane was a real threat to Boeing. 403 00:24:22,840 --> 00:24:26,520 Speaker 2: All the contracts were going to Airbus, so Boeing decided 404 00:24:26,920 --> 00:24:29,800 Speaker 2: instead of making forty two max jets a month they 405 00:24:29,840 --> 00:24:30,960 Speaker 2: would make fifty two. 406 00:24:31,240 --> 00:24:36,000 Speaker 6: So to have an inferior product is better to go 407 00:24:36,119 --> 00:24:39,440 Speaker 6: up against your competition. I didn't look at what's happened now. 408 00:24:39,880 --> 00:24:41,920 Speaker 6: I mean, that makes absolutely no sense. 409 00:24:42,119 --> 00:24:43,560 Speaker 1: That's the decision they made. 410 00:24:43,760 --> 00:24:47,400 Speaker 2: Better sell fifty two bad planes than forty two good 411 00:24:47,440 --> 00:24:54,640 Speaker 2: planes and that, and so the workers were constantly beat 412 00:24:54,720 --> 00:24:56,440 Speaker 2: on to keep it going, keep it going. 413 00:24:57,000 --> 00:24:57,560 Speaker 1: Listen to this. 414 00:24:57,840 --> 00:25:02,320 Speaker 2: Workers assembling the planes would sometimes sometimes they would try 415 00:25:02,320 --> 00:25:05,399 Speaker 2: to install parts that had not been logged or inspected. 416 00:25:07,160 --> 00:25:10,560 Speaker 1: Hey, what's this? Can I use these? Where are they from? 417 00:25:10,600 --> 00:25:12,440 Speaker 5: It looks like it might fit over here. 418 00:25:13,320 --> 00:25:18,040 Speaker 2: They also tried to get around quality control procedures that 419 00:25:18,119 --> 00:25:26,000 Speaker 2: were supposed to weed out defective components. In one case, 420 00:25:26,080 --> 00:25:28,920 Speaker 2: a worker took parts from the shipping area the parts 421 00:25:28,920 --> 00:25:31,320 Speaker 2: had just come in, nobody inspected them to see if 422 00:25:31,320 --> 00:25:33,800 Speaker 2: they were made properly, and took them right to the 423 00:25:33,800 --> 00:25:36,920 Speaker 2: factory floor and they started installing them in the planes. 424 00:25:39,520 --> 00:25:44,040 Speaker 2: Another worker who makes Boeing seven eighty sevens, said he 425 00:25:44,119 --> 00:25:47,880 Speaker 2: used to see wires being rooted incorrectly, and that means 426 00:25:47,880 --> 00:25:50,280 Speaker 2: they could rub against one another, and that could result 427 00:25:50,320 --> 00:25:55,760 Speaker 2: in bad things happening, and I'm only giving you a 428 00:25:55,760 --> 00:25:57,480 Speaker 2: piece of the investigation here there. 429 00:25:57,560 --> 00:26:01,440 Speaker 6: And you know some Boeing workers in Texas, they're accusing 430 00:26:01,760 --> 00:26:04,880 Speaker 6: Boeing of firing people who have been who have brought 431 00:26:04,920 --> 00:26:05,960 Speaker 6: up safety concerns. 432 00:26:06,160 --> 00:26:06,640 Speaker 1: Oh yeah. 433 00:26:06,680 --> 00:26:09,560 Speaker 2: One of the whistleblowers I've read a few weeks ago 434 00:26:09,640 --> 00:26:14,120 Speaker 2: said if if you didn't follow their procedure to get 435 00:26:14,119 --> 00:26:17,680 Speaker 2: the planes out quickly, you were gone. And if you complain, yeah, 436 00:26:17,720 --> 00:26:20,479 Speaker 2: you can't complain either. Just shut up and send out 437 00:26:20,520 --> 00:26:22,320 Speaker 2: that defective plane now. 438 00:26:22,560 --> 00:26:25,080 Speaker 6: And then when something happens with that plane, guess who's 439 00:26:25,119 --> 00:26:27,840 Speaker 6: going to be blamed those people who were told to 440 00:26:27,880 --> 00:26:28,320 Speaker 6: shut up. 441 00:26:28,400 --> 00:26:30,160 Speaker 1: Yeah, hey, you put out a bad product. 442 00:26:30,160 --> 00:26:30,360 Speaker 4: There. 443 00:26:30,840 --> 00:26:34,160 Speaker 2: We come back the whistle blower who killed himself, John 444 00:26:34,200 --> 00:26:37,840 Speaker 2: Barnett in South Carolina. His mother is still around and 445 00:26:37,920 --> 00:26:40,920 Speaker 2: she spoke to CBS, and we have a couple of 446 00:26:41,000 --> 00:26:44,879 Speaker 2: clips of the interview. She thinks that her son was 447 00:26:45,040 --> 00:26:46,560 Speaker 2: bullied into suicide. 448 00:26:47,320 --> 00:26:51,679 Speaker 3: You're listening to John Cobels on demand from KFI AM 449 00:26:51,680 --> 00:26:52,240 Speaker 3: six forty. 450 00:26:52,600 --> 00:26:57,359 Speaker 2: In the middle of this bullying disaster was John Barnett, 451 00:26:57,640 --> 00:27:00,720 Speaker 2: sixty two years old, and he has been a whistleblower 452 00:27:00,760 --> 00:27:07,000 Speaker 2: about Boeing for years. He retired back in twenty seventeen. 453 00:27:07,440 --> 00:27:09,639 Speaker 2: He'd worked there thirty two years, and he was telling 454 00:27:09,680 --> 00:27:13,040 Speaker 2: everybody he could that there were a lot of problems 455 00:27:13,080 --> 00:27:19,600 Speaker 2: with Boeing jet production. He says Boeing would constantly retaliate 456 00:27:19,680 --> 00:27:24,800 Speaker 2: against him, They would embarrass him, and there was a 457 00:27:24,800 --> 00:27:28,040 Speaker 2: lot of stress, and eventually he shot himself to death 458 00:27:28,720 --> 00:27:31,240 Speaker 2: in the middle in the same week that he was 459 00:27:31,480 --> 00:27:36,800 Speaker 2: giving depositions to lawyers about Boeing's retaliation. His mother is 460 00:27:36,840 --> 00:27:41,159 Speaker 2: still alive. She's in her eighties. Her name's Vicky Stokes. 461 00:27:41,880 --> 00:27:49,040 Speaker 2: She and Barnett's brother, Rodney Barnett talked to CBS and 462 00:27:49,080 --> 00:27:52,639 Speaker 2: we have a couple of clips, and here's one excerpt. 463 00:27:53,359 --> 00:27:58,520 Speaker 2: CBS News Mark Strassman towing talking with the mother about 464 00:27:58,560 --> 00:28:00,680 Speaker 2: the stress that her son suffered. 465 00:28:01,520 --> 00:28:04,159 Speaker 7: I didn't go into a lot of detail, but I 466 00:28:04,240 --> 00:28:09,800 Speaker 7: know he was like embarrassed at meetings that he would 467 00:28:09,840 --> 00:28:10,760 Speaker 7: be called out. 468 00:28:11,320 --> 00:28:14,120 Speaker 1: Was his treatment at work? Did it wear on him? 469 00:28:14,520 --> 00:28:14,760 Speaker 6: Oh? 470 00:28:14,840 --> 00:28:18,479 Speaker 7: Yes, that would wear anybody down after I don't remem 471 00:28:18,520 --> 00:28:19,760 Speaker 7: whether seven or eight. 472 00:28:19,640 --> 00:28:24,119 Speaker 2: Years and there here's more about whether Boeing is to 473 00:28:24,160 --> 00:28:26,040 Speaker 2: blame for Barnett's death. 474 00:28:26,720 --> 00:28:27,520 Speaker 1: Do you blame boy? 475 00:28:28,359 --> 00:28:30,879 Speaker 7: I think if this hadn't agone on so long, I 476 00:28:31,200 --> 00:28:37,399 Speaker 7: still have my son, My sons would still have their brother, 477 00:28:38,760 --> 00:28:44,120 Speaker 7: and we wouldn't be sitting here. So in that respect, I. 478 00:28:44,120 --> 00:28:48,120 Speaker 2: Do Barnett's family intends to carry on his whistleblower lawsuit 479 00:28:48,280 --> 00:28:49,000 Speaker 2: against Boeing. 480 00:28:49,120 --> 00:28:54,240 Speaker 7: What is his legacy that Boeing changes and makes things 481 00:28:54,360 --> 00:28:58,000 Speaker 7: right in their factories, builds of planes that were used 482 00:28:58,000 --> 00:28:59,120 Speaker 7: to Boeing flying. 483 00:29:00,160 --> 00:29:05,440 Speaker 2: Want just to safety of the public, Bung's attorney, I'm sorry, 484 00:29:05,480 --> 00:29:06,480 Speaker 2: Barnett's attorney. 485 00:29:06,760 --> 00:29:06,960 Speaker 4: John. 486 00:29:07,000 --> 00:29:13,800 Speaker 2: Barnett' attorney, Brian Knowles said that the retaliation that Barnett faced, 487 00:29:14,360 --> 00:29:17,480 Speaker 2: he endured it constantly. He wasn't trying to hurt Boweing, 488 00:29:17,480 --> 00:29:21,720 Speaker 2: he was trying to save Boeing, and they were constantly 489 00:29:21,760 --> 00:29:24,960 Speaker 2: embarrassing him, constantly calling him out at work meetings because 490 00:29:24,960 --> 00:29:28,200 Speaker 2: they were unhappy with his criticism. He was saying that 491 00:29:28,400 --> 00:29:31,760 Speaker 2: workers were under so much pressure they were deliberately fitting 492 00:29:32,280 --> 00:29:37,240 Speaker 2: substandard parts onto the aircraft. Second rate parts were removed 493 00:29:37,240 --> 00:29:40,560 Speaker 2: from scrappins and then fitted on the planes. 494 00:29:42,040 --> 00:29:43,520 Speaker 1: When the FA reviewed it. 495 00:29:45,320 --> 00:29:49,560 Speaker 2: They confirmed that Barnett was telling the truth and required 496 00:29:49,600 --> 00:29:53,840 Speaker 2: Boeing to take action, which just caused more retaliation. 497 00:29:54,560 --> 00:29:55,560 Speaker 1: And more criticism. 498 00:29:56,400 --> 00:29:58,680 Speaker 2: And I guess in the middle of this deposition, unless 499 00:29:58,720 --> 00:30:01,920 Speaker 2: somebody at Boweing took him out, he couldn't take it 500 00:30:01,920 --> 00:30:06,720 Speaker 2: anymore and he killed himself. But who knows. I mean 501 00:30:06,760 --> 00:30:11,880 Speaker 2: that is that is a really bad company, a real disaster. 502 00:30:12,120 --> 00:30:16,920 Speaker 2: John Barnett is dead and David Calhoun, the CEO, is 503 00:30:16,960 --> 00:30:19,840 Speaker 2: going to get a minimum twenty four million dollars for 504 00:30:19,920 --> 00:30:24,880 Speaker 2: being forced out. And you wonder why people will criticize 505 00:30:24,920 --> 00:30:28,960 Speaker 2: big business and capitalism, there's a prime example, and it's 506 00:30:29,000 --> 00:30:29,760 Speaker 2: on planes. 507 00:30:30,280 --> 00:30:34,560 Speaker 1: Planes, it's not office chairs work. 508 00:30:34,560 --> 00:30:37,120 Speaker 2: Coming up, we are going to have Top Spitzer on 509 00:30:37,360 --> 00:30:41,400 Speaker 2: in minutes after Deborah's news. We were talking about the 510 00:30:41,720 --> 00:30:44,680 Speaker 2: guy in Orange County who escaped from a halfway house, 511 00:30:45,240 --> 00:30:47,880 Speaker 2: which doesn't sound like that big a deal, except this 512 00:30:47,920 --> 00:30:50,320 Speaker 2: guy once killed his mother and they found him on 513 00:30:50,320 --> 00:30:52,479 Speaker 2: the loose in Mexico. So Todd will talk to us 514 00:30:52,480 --> 00:30:55,120 Speaker 2: about it next. Hey, you've been listening to the John 515 00:30:55,160 --> 00:30:57,840 Speaker 2: Cobalt Show podcast. You can always hear the show live 516 00:30:57,880 --> 00:31:00,720 Speaker 2: on KFI AM six forty from one to four pm 517 00:31:00,800 --> 00:31:03,760 Speaker 2: every Monday through Friday, and of course anytime on demand 518 00:31:03,880 --> 00:31:05,280 Speaker 2: on the iHeartRadio app.