Letter: It’s capitalism, not a kickback

Wednesday, June 22, 2005 | 9:46 a.m.

Assemblyman John Oceguera's amendment, which would have made it illegal for strip clubs to award cab drivers for bringing customers if Gov. Kenny Guinn hadn't vetoed it, certainly got a lot of ink. A considerable amount of that ink was directed negatively toward the cabbies.

The practice has been referred to in both positive and negative ink as a kickback. Yet it can't be a kickback because that requires an amount having been paid previously. Some negative ink has called it extortion. Extortion requires a threat and a reward to stymie that threat.

Cabbies have met neither of such criteria. In plain English this is the free enterprise at work. The cab drivers are offering a service that some clubs are willing to pay for. And like any other enterprise the service will be sold to the customer willing to pay the most. This is capitalism at its basic best.

No club is being forced, other than to generate more business, to purchase this service. If they were, then it would be akin to extortion. Instead of trying to make criminals of cabbies, Assemblyman Oceguera should be praising them for their entrepreneurship.

It is quite amazing how Americans will pray at the alter of capitalism, yet want to shut it down in its basic form.

TERRY E PEELE