It isn't their race that is in power and feared, it is Jabba and his extended family that is feared isn't it? I mean when they say the Hutts are Gangsters, they don't actually mean every single member of that race. I'm pretty sure the only fat pieces of shit that are feared are in Jabba's bloodline. You can't single out one family blood line, and use them as a representative of the entire race.
Jabba is feared, but his race is just fat and ugly.