The press is abuzz again this week with a new tale of woe - R. Allen Stanford's investors. Yes, get your crying towel out for those who allegedly 'suffered' about $8B in losses as a result of fraud by Stanford and his investment companies. Never mind that these same 'investors' were happily giving money to this man in return for clearly excessive returns, such as twice the going rate on bank CD's. But apparently a few prospects were bright enough to ask 'how' before forking over their money. Getting only evasion and no answers to the question of how their money was being invested, they ran.
But will the press focus on this aspect? Not likely. The press loves a good tear jerker about people losing their life savings because of the duplicity of a few shady characters. Just so long as those characters aren't a company such as BS, LEH, AIG, C, WFC, BAC (to name but a few) and their directors, officers and managers. In the eyes of the press those investors were hopelessly naive to have expected audited financial statements to accurately reflect corporate health. Naive to expect in the age of Sarbanes-Oxley that directors and officers would not tell blatant lies. Naive to think that a 1 to 4% dividend and the hope of long term capital gains of 7-12% were adequate compensation for the risks of owning a piece of some of the largest financial businesses in the world. Naive to think certain government officials who once worked in the financial industry would be competent and honest.
Undoubtedly, prosecutors will now swarm over Stanford and his cadre, hoping to make a name for themself while doing little to return money to any 'investor' other than the state. Going after those responsible for the downfall of our financial institutions - including any number of past and present government officials - would be far to difficult and fraught with political peril. And apparently it doesn't sell papers either.
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The successful theft
of what was once the worlds largest insurance company.
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This blog exists for one simple reason: AIG was stolen from its shareholders and nobody seems to give a damn. While the press sheds many a tear over Citibank, Bank of America, Merril Lynch, Morgan Stanley, WaMu, Wachovia to name but a few, there has been virtually no ink spilled concerning the plight of the shareholders of this once great corporation. And most recently we have had endure B. Madoff being vilified not just by the press, but by prosecutors. And yet, the $50B that Madoff is accused of losing on behalf of his investors is far less than what has been lost by AIG shareholders.
Where is the prosecutor seeking justice for AIG shareholders? Where is the SEC? Where is the WSJ, FT, NYT?
This blog will tell the story of the demise and theft of AIG through the eyes of its shareholders. We encourage you as shareholders to send us your story. We encourage AIG employees and government regulators to spill the beans and fill in the blanks.
Let our voice finally be heard.
Where is the prosecutor seeking justice for AIG shareholders? Where is the SEC? Where is the WSJ, FT, NYT?
This blog will tell the story of the demise and theft of AIG through the eyes of its shareholders. We encourage you as shareholders to send us your story. We encourage AIG employees and government regulators to spill the beans and fill in the blanks.
Let our voice finally be heard.
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