The Limits of Transparency

I am quoted in a new L.A. Times story by James Rainey about reporter transparency: If you lay bare exactly where you are coming from, does that allow almost any ethical conundrum? Here's an excerpt. -- Greg Mitchell

Lobdell and Minkow formed the new website to bring more attention to those kinds of investigations and to lend the credibility the journalist built working for years in the mainstream.

But the newfangled business model flies in the face of traditional journalism's conflict-of-interest codes. At most major news outlets, including this one, reporters can't own stock in industries they cover. Rules often forbid speculation and short-selling stocks under the theory that those practices would give journalists incentive to accentuate a company's negatives.

But Lobdell said that readers will know, from the get-go, if his outlet has a business interest in a stock crashing. And they will be able to judge his work with Minkow accordingly.

My former colleague argues that investigative journalism has withered so badly as mainstream news outlets contract that it's worth trying unorthodox business models.