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Fri Aug 28, 2015, 03:58 PM

Well well well... Look what the head honchos of Dole did to rip off shareholders

Judge Says Top Dole Execs Owe Shareholders $148M For Driving Down Company’s Stock Price Before Buyout


CEO and chairman of the board David H. Murdock, and the company’s former chief operating officer, C. Michael Carter fraudulently drove down their company’s stock price so they could shortchange shareholders and buy the business on the cheap.

Vice Chancellor J. Travis Laster of Delaware’s Court of Chancery ordered Murdock and Carter to reimburse shareholders $148 million, reports the New York Times. His decision [PDF] comes after a February trial prompted by shareholders in the company, who didn’t think Murdock’s deal to buy the 60% of the company he didn’t own in 2013 was entirely on the up-and-up.

Before coming to the table with a deal for shareholders, Vice Chancellor Laster said Carter had misstated how much Dole could earn if it were to sell of some of its businesses, and canceled a stock buyback program.

That drove down the valuation of the stock, the judge said in his decision. Murdock at first offered $12 per share, which was negotiated up to $13.50 per share after an independent board committee checked out the deal.

Carter then gave the committee a set of artificially low management projects, while at the same time delivering a much more accurate picture to potential lenders involved in the takeover bid.
http://consumerist.com/2015/08/27/judge-says-top-dole-execs-owe-shareholders-148m-for-driving-down-companys-stock-price-before-buyout/


Man, it seems no one is honest anymore.

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Reply Well well well... Look what the head honchos of Dole did to rip off shareholders (Original post)
dixiegrrrrl Aug 2015 OP
arcane1 Aug 2015 #1
Octafish Aug 2015 #2
nichomachus Aug 2015 #3
cleanhippie Aug 2015 #4
hifiguy Aug 2015 #5
dixiegrrrrl Aug 2015 #7
lpbk2713 Aug 2015 #6
Angry Dragon Aug 2015 #8
KamaAina Aug 2015 #10
Sam_Fields Aug 2015 #9
Cleita Aug 2015 #11
Ilsa Aug 2015 #12

Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:08 PM

1. But we need super-high executive salaries in order to attract the best people!

 

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:12 PM

2. ENRON Business Model Rules

So the schmucks at Dole got caught?

Next!

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:13 PM

3. So we can add defrauding stockholders

to their long history of torture, murder, overthrowing governments, owning politicians, etc. They make the Mafia look like the Red Cross.

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:16 PM

4. The naked greed so many have today is stupefying.

I mean, whats the difference if you make 20 million on the deal or 30 million if you lie about it?

To someone like that 10 million isn't a lot of money. Is it a pathological need?

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:25 PM

5. The essence of Pirate Capitalism in five brief paragraphs.

 

Well, come to think of it, that's unfair.

To pirates.

Pirates made no bones about the fact that they were going to rob their victims blind and bragged about the fact beforehand. There was never any doubt about a pirate's intentions.

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Response to hifiguy (Reply #5)

Fri Aug 28, 2015, 04:39 PM

7. Indeed. n/t

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:33 PM

6. So that should prove their only concern is a few good ole boys in the Board Room.




Themselves.

Everyone else is just there for them to make money off of.

That is today's business ethic.

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 04:41 PM

8. sounds like fraud to me ............ how come they are not in jail??

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Response to Angry Dragon (Reply #8)

Fri Aug 28, 2015, 07:06 PM

10. 'Cause they're rich and white?

 

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 05:50 PM

9. But, But the private sector is much more honest then the government guys.

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Response to Sam_Fields (Reply #9)

Fri Aug 28, 2015, 07:09 PM

11. And government should be run like a business, so they say.

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Response to dixiegrrrrl (Original post)

Fri Aug 28, 2015, 07:17 PM

12. And these are the "best talent" out there? Top Sociopaths,

I'd say, who know how to swindle!

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