[HN Gopher] My high-flying life as a corporate spy who lied his ...
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       My high-flying life as a corporate spy who lied his way to the top
        
       Author : aagha
       Score  : 120 points
       Date   : 2023-04-23 17:02 UTC (5 hours ago)
        
 (HTM) web link (narratively.com)
 (TXT) w3m dump (narratively.com)
        
       | stametseater wrote:
       | From the author's bio
       | 
       | > _Robert Kerbeck's true crime memoir, RUSE: Lying the American
       | Dream from Hollywood to Wall Street is the story of how a wannabe
       | actor became the world's greatest corporate spy. Frank Abagnale,
       | author of Catch Me If You Can, said, "Kerbeck has mastered the
       | art of social engineering, or what he calls 'rusing', and taken
       | it to a whole new level,"_
       | 
       | Frank Abagnale is now believed to have lied about most of the
       | cons he supposedly perpetrated. Is there any good reason to
       | believe this Robert guy is more legit?
       | 
       | Either way he's still a con artist I guess.
        
         | ip26 wrote:
         | It's idempotent. He pulled the greatest ruse, convincing you of
         | his exploits as a con artist when in fact he wasn't the great
         | con he said he was ;)
        
       | jnsaff2 wrote:
       | Yet another fiction writer that writes fiction and lies about it
       | being a true story?
       | 
       | Why would one trust a person who advertises themselves as a liar?
       | 
       | Do they suddenly turn honest in order to write a book?
        
         | [deleted]
        
         | cwdegidio wrote:
         | It totally screams of another "Confessions of an Economic
         | Hitman." It will be a bestseller, be proven fake, and then
         | quoted a million times.
        
         | metadat wrote:
         | To be fair, it's only a memoir. This doesn't invalidate your
         | points, though - only recommended as a pure entertainment read.
        
         | hn_throwaway_99 wrote:
         | Yeah, I'm extremely skeptical after just the first story in
         | this article. It says it takes place in 2006. Why would this
         | person spend an hour reading these names over the phone instead
         | of emailing them? I could understand plausible deniability, but
         | if the woman with cancer thought this guy was in the
         | _compliance_ office, surely she wouldn 't be thinking he wants
         | to sidestep compliance rules.
         | 
         | The whole thing smells extremely fishy, perhaps I'm just jaded
         | be all the ever present grift online these days. And these con
         | artists "coming clean" to write a book so they can bask in the
         | glory of their exploits? STFU, you're a slimy douchebag, and
         | your attempt to write a "true crime" book is even lamer.
        
       | htrp wrote:
       | > until some tech industry folks created a little thing called
       | LinkedIn that made publicly available much of the information I
       | charged a lot of money for.
       | 
       | TLDR: he was selling org charts for wall street banks
        
       | markus_zhang wrote:
       | Well nowadays they might come as <put your favorite db/os/tool>
       | account managers out there. I have seen one and then realized
       | they are probably not account managers.
        
       | greatpostman wrote:
       | Personally know someone that became in the top 50 people at a
       | major USA bank. They were a "quant" and claimed to be using
       | sophisticated algorithms to trade the market. In reality they
       | were making gut based trades with fake software full of
       | complicated derivatives trading algorithms. Fooled some of the
       | most well paid people in the world
        
         | supahfly_remix wrote:
         | Was this person ever found out?
        
           | greatpostman wrote:
           | They got fired and the whole trading operation collapsed.
           | They never discovered the extent of the facade, but there
           | were suspicions. The whole thing went on for 15 years. A
           | major portfolio. By then he had enough to easily retire
        
             | vulcan01 wrote:
             | Why would they be fired, if they were one of the top 50
             | people in the bank? From a pure profit perspective, if this
             | guy was that good, did it really matter if he was using
             | 'sophisticated algorithms' or not?
             | 
             | (I may have misunderstood your first comment. If so, please
             | let me know.)
        
               | karaterobot wrote:
               | I assumed they meant top 50 on the org chart, not
               | necessarily the top 50 in objective performance over a
               | long term. I could be wrong.
        
               | __alexs wrote:
               | The risk profile of someone who is consistently lucky is
               | probably quite different from someone who is consistently
               | right.
        
               | fiddlerwoaroof wrote:
               | I'm not sure you can dismiss someone being "consistently
               | lucky" so easily.
               | 
               | https://en.m.wikipedia.org/wiki/Superforecaster
               | 
               | The thing that would concern me more is the pattern of
               | dishonesty than that the person did well over a long time
               | by just going with their gut.
        
               | fauxpause_ wrote:
               | > Superforecasters do not predict the future with perfect
               | accuracy: Bloomberg notes that they made a prediction of
               | 23% for a leave vote in the month of the June 2016 Brexit
               | referendum. On the other hand, the BBC notes that they
               | accurately predicted Donald Trump's success in the 2016
               | Republican Party primaries.[11]
               | 
               | Is there any good documentation on superforecasters
               | efficacy? Like with actual statistical measurements?
               | Because the Wikipedia article is really dumb.
        
               | DANmode wrote:
               | The entire metric is "beating the market".
               | 
               | If someone showed me airtight, verifiably top tier calls
               | over _15 years_ (especially the last 15) I 'd probably
               | rub whatever rabbit's foot they asked.
        
               | nullc wrote:
               | Are you aware of the old random stock pick fax scam?
               | 
               | You get some huge list of fax numbers. You pick some
               | random penny stocks and fax each one a different random
               | pick, telling them it's going to explode. Then you look
               | and see which picks fail and you discard those numbers.
               | 
               | Eventually you get down to a small list of numbers they
               | you've been consistently making amazingly prescient stock
               | picks to for the last weeks/months... then you tell them
               | all to invest in some dogcrap that you've cornered or ask
               | them to buy your latest picks, or some other story to
               | extract a lot of money from them.
               | 
               | The victims rubs your rabbit's foot and you cash in.
               | 
               | Thing is that the same scam can be performed in a
               | decentralized manner, even by accident, just by having a
               | lot of investment advisors some of whom get a
               | consistently lucky run.
        
               | getlawgdon wrote:
               | The longer the horizon, the less so.
        
               | PakG1 wrote:
               | The interesting question is whether he developed any
               | tacit skill or tacit knowledge that would explain his
               | consistent success but would also be difficult to
               | communicate or explain precisely because it's tacit, and
               | therefore can only be described as listening to his gut.
               | In the article, something like this is described:
               | 
               |  _I can tell she is going to say something else, and I'm
               | pretty sure I know what it is. She's going to share with
               | me how much time she has left. I can hear it in her
               | pauses. After so many years working the phone, I've
               | learned to pick out the nuances, the things being said
               | behind what's being said, entire life stories even, in a
               | hesitation or vocal inflection, in blank moments in
               | time._
               | 
               | It's difficult to explain what makes a pause have meaning
               | or nuance, and yet, this guy may be able to interpret
               | them consistently in a simple phone call without seeing
               | facial expressions and body language. Tacit stuff is
               | really tough to define and nail down. So it's easy to say
               | gut feeling instead. But as tacit stuff finally gets
               | clarified, defined, and explained, we're often able to
               | see that tacit stuff is anything but a gut feeling.
        
               | bitL wrote:
               | College education sometimes kills some major talents so
               | one could also imagine that people who avoided higher
               | education might keep some rare talents distinguishing
               | their performance from the others. Tiny chance but it
               | might happen.
        
         | TacticalCoder wrote:
         | > Personally know someone that became in the top 50 people at a
         | major USA bank.
         | 
         | Not top 50 people but I know someone from our group of
         | teenagers/early-twenty-agers friends who just lied to get hired
         | for a tech company in Belgium. He never went to uni but most of
         | his friends did, so he knew a bit the who's who / hang out with
         | these people and he faked a resume, lied (written down) about
         | having a diploma in economics.
         | 
         | He started climbing the corporate ladder in that company (I
         | _think_ it was HP but I don 't recall all the details of this
         | story, it was a long time ago) then after something like 10
         | years, he started getting cocky and thought that now he could
         | move to another company, boasting 10 years at the previous
         | company and this or that title he had now.
         | 
         | Bad luck for him: the company he applied to did a background
         | check and realized he had no diploma (I don't know how they
         | found out? Is that public information? But they found out
         | anyway).
         | 
         | They didn't just not hire him: they warned his current
         | employer, the one he was working for since 10 years, that he
         | applied lying about having a diploma.
         | 
         | He was fired on the spot [1].
         | 
         | I don't know if there's any moral to this but if you lie and
         | your lie works, you better then keep a low profile for a _very_
         | long time.
         | 
         | [1] Some are going to ask: _" If he was good at his job, why
         | fire him?"*. To me the answer is simple: you don't want a
         | relationship (personal or with an employer/employee) based on a
         | lie to begin with._
        
           | astura wrote:
           | >I don't know how they found out? Is that public information?
           | 
           | Verifying degree is extremely easy in most cases - the
           | background check company will just call the registrar. It's
           | probably done through an API nowadays.
        
           | LandR wrote:
           | For my current job I had to get proof of my degree,
           | institution and grade.
           | 
           | Thos was for a degree between 1999 and 2003.
           | 
           | They wanted info down to the month I started... I had no idea
           | so just guessed a month in 1999... They got back to me to
           | check what was up as they had determined I actually started
           | in some other month...
           | 
           | They even wanted proof of what High school I went to.
           | 
           | Some companies are super thorough!
        
           | vsareto wrote:
           | >To me the answer is simple: you don't want a relationship
           | (personal or with an employer/employee) based on a lie to
           | begin with.
           | 
           | Personally, if I found out and they could actually do the
           | work, I would let it pass. I'd consider it a white lie in
           | that case.
           | 
           | I think it's more of a harm to society to use degrees as
           | requirements when they aren't actually required. This too is
           | lying, but you won't see companies facing penalties for
           | putting a degree requirement when one isn't necessary for the
           | job.
        
             | the_snooze wrote:
             | If you're looking at it from just a qualifications
             | standpoint, then you're right. However, there's more to a
             | person than their qualifications and skills. Judgment and
             | character matter too.
             | 
             | If someone were to lie to my face and waited until I caught
             | them before owning up to it, then giving them a pass tells
             | the world that I'm A-OK with deceit as long as they deliver
             | results.
        
           | dmreedy wrote:
           | > Some are going to ask: "If he was good at his job, why fire
           | him?"
           | 
           | I would propose a slightly more cynical model:
           | 
           | It might not look good if it goes public
        
             | nanidin wrote:
             | If word gets out that this company doesn't check
             | backgrounds, then this company will be inundated with
             | fraudsters.
        
             | willcipriano wrote:
             | A bit more cynical:
             | 
             | People with college degrees act as a group. By enforcing
             | the educational cartel they prevent poorer upstarts from
             | competing with them.
        
               | greesil wrote:
               | Maybe penalizing people for lying on their resumes is a
               | good idea.
        
           | gunshai wrote:
           | So they fired someone for lying, despite 10 years of work
           | history.
           | 
           | Seems like there's more to that then just not having the
           | degree.
           | 
           | Your college degree is not correlative to your ability to
           | actually do a job. He probably did a lot more than just that.
        
             | rhyme-boss wrote:
             | Or high-level jobs have no accountability for actually
             | being good at something.
        
           | jedberg wrote:
           | > I don't know how they found out? Is that public
           | information?
           | 
           | When I graduated college (UC Berkeley, very large public
           | school in California) I had to go to the registrar to pick up
           | my diploma since I graduated off cycle. In line in front of
           | me was a guy who seemed to know the lady at the window well,
           | and put down a piece of paper and said "got another list to
           | check". The lady went into the back, so I asked the guy what
           | he was doing.
           | 
           | He told me he worked for a background check company and was
           | there about once a month with a list of names to verify
           | graduation dates. He told me a lot of his work comes from
           | government and big companies. He then suggested that if I was
           | going to lie about graduating, make sure it was to a small
           | company that can't afford background checks!
           | 
           | He also told me that almost every month there is at least one
           | person who fails to have the degree they claim to have.
        
             | bitL wrote:
             | This is done via parchment.com these days, they send you a
             | nice e-diploma whose signature can be verified in Acrobat
             | Reader or on their site directly.
        
             | nullc wrote:
             | Dunno how long ago that was, but these days universities
             | tell you that they're prohibited by law to disclose such
             | information. In the US the applicable law is FERPA-- which
             | was passed in 1974-- but there are similar rules in other
             | countries. You might well have been witnessing a violation,
             | it certainly happens.
             | 
             | The general difficulty in checking such things is part of
             | why that form of fraud is so ubiquitous.
        
               | snthd wrote:
               | FERPA -
               | https://www2.ed.gov/policy/gen/guid/fpco/ferpa/index.html
               | 
               | >Schools may disclose, without consent, "directory"
               | information such as a student's name, address, telephone
               | number, date and place of birth, _honors and awards, and
               | dates of attendance_. However, schools must tell parents
               | and eligible students about directory information and
               | allow parents and eligible students a reasonable amount
               | of time to request that the school not disclose directory
               | information about them.
        
               | jedberg wrote:
               | FERPA doesn't apply when the person has a signed
               | agreement to allow disclosure. Same way you can request
               | that one college send your grades to another (for grad
               | school apps for example).
               | 
               | Doing a background check is the same thing. It's
               | authorized by the student.
        
       | howmayiannoyyou wrote:
       | White collar criminal investigations and prosecutions have
       | declined as counter-terrorism, drug, counter-espionage and
       | politically motivated investigations have (greatly) increased. Is
       | it reasonable to expect the majority of people to act virtuously
       | when doing so puts them at great disadvantage in an effectively
       | unregulated environment? This is what Liv Boree might call a
       | Moloch trap - a game theoretic perspective on the common good
       | eroded as competing individual actors seek to survive and/or
       | flourish.
       | 
       | The private sector attempts to control its own. SCIP, the Society
       | of Competitor Intelligence Professionals, has a code of ethics
       | that wouldn't approve of this article. How many SCIP members
       | adhere to that code is a separate question, one I'd rather not
       | know the real answer to. Similarly, hiring managers and
       | recruiters will sometimes interview for phantom job descriptions,
       | the real goal being eliciting competitor information.
       | 
       | Patriotism, religion, legalism, altruistic idealism... there's no
       | shortage of things we can cling to when doing the right thing is
       | difficult. But without accountability & enforcement, unrestrained
       | competition makes unethical behavior almost appear to be a
       | necessity. We really must do better, but we are now so far
       | removed from the collective consequences of our individual
       | misbehavior, the road to ruin might be unavoidable.
        
         | thenerdhead wrote:
         | This has been the case forever. Society's values ebb and flow.
         | 
         | If we were in a society where values were held to a high
         | regard, you might see different headlines like:
         | 
         | "Failed actor takes on new role of regulating officials for
         | financial gain".
         | 
         | or even a few years earlier:
         | 
         | "Selfish man vilifies volunteer firefighters in California for
         | not doing enough to save his house".
        
         | rcarr wrote:
         | This is one of the root problems of Western society today and I
         | think it has its origin in the financial crisis. The
         | perpetrators got off scott free everywhere (except Iceland) and
         | everyone who wasn't a banker ended up paying the price.
         | 
         | The other core component is economies completely dependent on
         | house price rises rather than productive work.
         | 
         | The result is a break down of trust, community and decent
         | behaviour.
        
         | A4ET8a8uTh0 wrote:
         | << has a code of ethics that wouldn't approve of this article
         | 
         | I can understand why. There is a lot of innocence that has been
         | largely taken away from Americans. I want to say that prior to
         | 1950 -- maybe even prior to 90s if you want to feel
         | particularly charitable, there is a reasonable argument to be
         | made, that an average American simply had no way of knowing a
         | lot of the machinations behind the scenes. Things were largely
         | under wraps, but between internet, 9/11 and resulting massive
         | expansion of information sharing, IC size alone in terms of
         | absolute numbers increased drastically.
         | 
         | It is like being a teen and experiencing with your own eyes
         | what 'adulting' is all about. Your perspective changes.
         | 
         | << We really must do better, but we are now so far removed from
         | the collective consequences of our individual misbehavior, the
         | road to ruin might be unavoidable.
         | 
         | I agree. I am becoming increasingly concerned we don't really
         | talk to one another. You can't solve anything if you don't talk
         | to one another; not for long anyway.
         | 
         | I like US. I want it to stay semi-nice place to live for my
         | kids.
        
         | godelski wrote:
         | Most people put their grocery carts back, stop at stop signs
         | and lights at the middle of night on a lone road, and there's
         | plenty of examples where people go out of their way to do the
         | right thing. There's this common misconception that most people
         | are act immorally but in reality the law is only written for
         | the few. For a very clear example, I doubt murder rates would
         | change were it not illegal. Most people don't want to kill and
         | recognize it as intrinsically immoral. The problem is that we
         | ignore normal behavior and this makes us overestimate abnormal
         | behavior.
        
           | magnuspaaske wrote:
           | The problem is that in this case there's an extraordinarily
           | lucrative opportunity for anyone willing to take it, meaning
           | even if most people would see this and think "I don't want to
           | be that person" there'll still be people who will do this
           | line of work, regardless how immoral it might be
        
           | corbulo wrote:
           | Your point is parallel to the ideas surrounding the realism
           | of altruism.
           | 
           | People return their shopping carts because its the right
           | thing to do, but also there is minimal cost. As the cost
           | ramps up the calculation for a 'selfless' act is effectively
           | inverted to bias self interest instead.
           | 
           | This is how you get the current state of the financial
           | sector. Ironically altruism is so cynically dismissed that
           | its actually used as a marketing strategy to pursue self
           | interest, with no one bothering to disassemble it because no
           | one believes thats the motivation anyway (see: subsidizing
           | homeowners with bad credit using homeowners with good
           | credit). Leaving the only people who do believe it
           | functioning out of partisanship and lack of curiosity.
           | 
           | 'Abnormal' behavior is exponential in its effects. Much like
           | a fire, it only stops if contained. Thats why total laissez
           | faire deregulation is naive. Even if most people do the right
           | thing, society is not silo'd from the minority who does the
           | bad things.
        
             | stametseater wrote:
             | > _People return their shopping carts because its the right
             | thing to do, but also there is minimal cost._
             | 
             | Apparently in some communities (such as Germany) it is
             | believed that people cannot be counted on to return the
             | shopping cart properly unless the cart holds a small value
             | coin hostage. So the tolerated cost of selfless acts isn't
             | some human constant, even in developed societies like
             | Germany where people have their basic needs met.
             | 
             | In fact it's even more complicated than that, because
             | specific kinds of selfless acts have different degrees of
             | perceived importance in different cultures. In some
             | cultures, it's considered _very_ important to feed your
             | guests, even if that means the host has to go hungry. In
             | other cultures, feeding your guests isn 't important or
             | expected, even from hosts with comfortable abundance.
        
           | QuadmasterXLII wrote:
           | If murdering was legal, most people still wouldn't murder. If
           | murdering reliably earned 1 million dollars, then most
           | _people_ still wouldn't murder but most _money_ would be in
           | the hands of killers
        
             | smcin wrote:
             | You're making me think what the price-demand elasticity
             | curve for murder might look like _( "Would you off someone
             | for $100K? What if we told you they were a bad person")_.
             | Kind of like Bridget cold-calling in "The Last Seduction",
             | making outrageous propositions in calm language.
        
             | atoav wrote:
             | btw you can do italics on HN using asterisks like _this_.
        
           | elcritch wrote:
           | Jumping from returning shopping carts to murder is a bit of a
           | leap though. Sure most people wouldn't commit murder.
           | 
           | However, its much much easier for things like returning
           | shopping carts become less common. How many stores have left
           | San Francisco and Portland downtowns due to unabashed theft?
           | 
           | I agree that much of it also starts with leaders. If the top
           | eschelon is busy with NIMBYism and gaming share prices to get
           | theirs, it won't be long before normal folk start questioning
           | doing the moral thing in order to get ahead.
        
         | joe_the_user wrote:
         | _...a Moloch trap - a game theoretic perspective on the common
         | good eroded as competing individual actors seek to survive and
         | /or flourish_
         | 
         | It's either amusing or annoying that scenes like Effective
         | Altruism may rediscover Karl Marx' analysis of capitalism in a
         | partial, broken form but will never investigate progressive
         | ideas as they stand.
        
           | elcritch wrote:
           | Will they also redo the massive horrors relewsed on the world
           | that Marxists did? Wait, FTX seems like a prime example.
           | 
           | Capitalism in itself is incomplete, I believe it requires a
           | strong moral principle in a populous to work well. Trying to
           | shoehorn that moral basis into capitalism as Marx did just
           | results in a very destructive system.
        
             | elzbardico wrote:
             | Capitalism also kills a lot of people, but it has a better
             | UX, as it mostly kills people that are invisible to us.
        
               | elcritch wrote:
               | Sure capitalism kills people, but not nearly the same
               | order of magnitude. The worse cases of unbridled
               | capitlaism killed far less than any one of worse cases of
               | communism where we're talking to the tune of hundreds of
               | millions. Then capitalism helped spawned things like the
               | "green revolution" that prevented mass starvation across
               | the globe since then.
        
           | dymk wrote:
           | You really think they're not aware of Marx?
        
       | [deleted]
        
       | rcurry wrote:
       | Maybe this guy did some social engineering at one time or another
       | but the idea that he could get any employee at a Wall Street firm
       | to spend an hour reciting the cell phone numbers of all their
       | executives is a load of bullshit.
        
       | easyTree wrote:
       | -- More times than I can remember they'd say, "I can't believe
       | I'm actually talking to you." And I wanted to respond: "You're
       | not." -- lool :-)
        
       | compsciphd wrote:
       | reminds of the husband on The Americans.
       | 
       | These days, it would seem that simple training of employees that
       | requests such as these (if they are ever legitimate requests),
       | should only come in over internal communication systems that
       | effort is presumably put into keep only employees access to and
       | would identify the employee using it.
       | 
       | Wouldn't be full proof, but would raise the bar significantly and
       | increase the crime committed thereby reducing those who are
       | willing to do it.
        
         | magnuspaaske wrote:
         | This is part of the training where I work. Some places even let
         | people know to be careful when updating Linkedin, exactly
         | because people are stalking it to find new people to lure into
         | some ruse
        
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