Laser Eyes
Posts: 15 +0
"Capitalism": You have two cows. You sell one and buy a bull. Your herd multiplies and the economy grows. You sell them and retire on the income.
"Communism": You have two cows. Your neighbours help take care of them and you all share the milk."
"Enronism": You have two cows. You sell three of them to your publicly listed company, using letters of credit opened by your brother-in-law at the bank, then execute a debt/equity swap with an associated general offer so you get all four cows back, with a tax exemption for five cows. The milk rights of the six cows are transferred via an intermediary to a Cayman Island company secretly owned by the majority shareholder, who sells the rights to all seven cows back to your listed company. You hire Arthur Andersen to revise your books. The annual report says the company owns eight cows, with an option on one more.
Laser Eyes
"Communism": You have two cows. Your neighbours help take care of them and you all share the milk."
"Enronism": You have two cows. You sell three of them to your publicly listed company, using letters of credit opened by your brother-in-law at the bank, then execute a debt/equity swap with an associated general offer so you get all four cows back, with a tax exemption for five cows. The milk rights of the six cows are transferred via an intermediary to a Cayman Island company secretly owned by the majority shareholder, who sells the rights to all seven cows back to your listed company. You hire Arthur Andersen to revise your books. The annual report says the company owns eight cows, with an option on one more.
Laser Eyes