Bain Capital being investigated for tax evasion

[Chris]

ALBANY, N.Y. — New York’s attorney general is investigating tax strategies of some of the nation’s largest private equity firms, including Bain Capital, founded by Republican presidential nominee Mitt Romney, an official familiar with the probe said Sunday.

Attorney General Eric Schneiderman is examining whether the firms have abused a tax strategy to avoid paying hundreds of millions of dollars in taxes, said the official, who spoke on the condition of anonymity because of the sensitivity of the probe. The practice involves converting some fees collected for managing accounts into fund investments, resulting in a lower tax rate.

Source: NY attorney general investigating private equity firms, including Romney-founded Bain - The Washington Post

 

[Katzndogz]

Is this like Scott Walker's imminent arrest?

 

[Chris]

Romney's Son of Boss fraud

In his key role as chairman of the Marriott board's audit committee, Romney approved the firm's reporting of fictional tax losses exceeding $70 million generated by its Son of Boss transaction.

 

[GuyPinestra]

Is this like Scott Walker's imminent arrest?

Yup!

 

[Chris]

Romney's AMPAD fraud

American Pad and Paper. Romney and Bain Capital bought it from Mead Company, when it had total debts of $11 million. By the time they sold it, the company had $400 million in debt -- and Bain had earned $100 million off the deals, between fees it charged the company for managing it and for buying other companies, and profits from selling the company's stock after they took it public (for yet another fee). Bain was later sued by stockholders for fraud in overstating the value of the company.

Mitt Romney's Skeleton Closet -- political scandals, quotes and character

 

[Chris]

Romney's KB Toys fraud

Bain Capital 'purchased' KB for the respectable price of $ 305 million dollars on December 8, 2000.

Bain Capital only offered $ 18 million in cash, the rest was leaveraged debt put on the company.

Sixteen months after the buyout, Bain Capital paid itself $85 million in dividends in early 2002.

January 14, 2004, K·B Toys filed for Chapter 11 bankruptcy protection and closed 365 stores.

Three years later the rest of the 156 stores were closed down.

KB Toys - Wikipedia, the free encyclopedia

 

[Papageorgio]

Obama on a witch hunt.

So blatant.

 

[Immanuel]

That is what happens when you cross the man in the empty chair.

Immie

 

[whitehall]

You bet your ass..ets the almost bankrupt democrats in NY and Holder's "justice" dept is investigating Bain Capital. That's what crooked regimes do when they are behind in the polls.

 

[Chris]

Obama on a witch hunt.

So blatant.

Except that it's not the Justice Department.

And Romney has been involved in fraud before.

 

[blackhawk]

Here is part of the article the OP didn't bother to cut and paste for us.

Though Romney collects benefits as a Bain retired partner, the inquiry isn’t focused on the time he ran Bain.

 

[Papageorgio]

Obama on a witch hunt.

So blatant.

Except that it's not the Justice Department.

And Romney has been involved in fraud before.

It is the Democratic Attorney General. You saying Obama isn't pulling the strings and calling in favors?

 

[Chris]

Romney's Medicare fraud

In 1989, Romney led Bain Capital's purchase of Damon Corp., a medical testing company, and took a seat on the Board of Directors to better manage it. During Romney's four years, Bain tripled its investment, and Romney personally made $473,000 -- while Damon plumped its profits with Medicare fraud (running thousands of medical tests doctors didn't want, and billing Medicare for them). The company pled guilty to crimes committed during his tenure and paid a record fine of $119 million. Company President Joseph Isola pleaded no contest to fraud, and a vice president was also convicted.

Romney claims he "uncovered" the fraudulent claims and "took corrective action," but court records show that he did not notify prosecutors or stop the fraudulent billing. He just asked company lawyers what changes they could make to avoid prosecution, after the feds' LABSCAM prosecution targeted a different medical testing firm. The cheating continued, prosecutors say, until the day Bain sold the company to Corning. Furthermore, Damon Corp. was required to list in various SEC filings any significant legal risks it faced. Romney made no mention of the fraud he "uncovered," even though it led to a $119 million fine, the largest in history. Damon Corp. is another Bain acquisition that later went bankrupt, killing over a thousand jobs -- but not before Bain made $7.4 million in profit.

Mitt Romney's Skeleton Closet -- political scandals, quotes and character

 

[Immanuel]

Obama on a witch hunt.

So blatant.

Except that it's not the Justice Department.

And Romney has been involved in fraud before.

It is the Democratic Attorney General. You saying Obama isn't pulling the strings and calling in favors?

Of course that is what he is trying to get you to believe.

Immie

 

[Darkwind]

Fast & Furious...

But Bain Capital killed people!

No it didn't....


investigate them for tax evasion!

Obama's M.O.

I can't prove it, so I'll destroy them with an investigation. Even if it is found to be innocent, the smear of "They were investigated for tax evasion" is the new talking point for the left.

Six months before Romney is re-elected, they will trot this out as proof of his corrupt ties.

 

[Harry Dresden]

Obama on a witch hunt.

So blatant.

Except that it's not the Justice Department.

And Romney has been involved in fraud before.

and your involved with a Sex Doll.....

 

[Papageorgio]

Romney's Medicare fraud

In 1989, Romney led Bain Capital's purchase of Damon Corp., a medical testing company, and took a seat on the Board of Directors to better manage it. During Romney's four years, Bain tripled its investment, and Romney personally made $473,000 -- while Damon plumped its profits with Medicare fraud (running thousands of medical tests doctors didn't want, and billing Medicare for them). The company pled guilty to crimes committed during his tenure and paid a record fine of $119 million. Company President Joseph Isola pleaded no contest to fraud, and a vice president was also convicted.

Romney claims he "uncovered" the fraudulent claims and "took corrective action," but court records show that he did not notify prosecutors or stop the fraudulent billing. He just asked company lawyers what changes they could make to avoid prosecution, after the feds' LABSCAM prosecution targeted a different medical testing firm. The cheating continued, prosecutors say, until the day Bain sold the company to Corning. Furthermore, Damon Corp. was required to list in various SEC filings any significant legal risks it faced. Romney made no mention of the fraud he "uncovered," even though it led to a $119 million fine, the largest in history. Damon Corp. is another Bain acquisition that later went bankrupt, killing over a thousand jobs -- but not before Bain made $7.4 million in profit.

Mitt Romney's Skeleton Closet -- political scandals, quotes and character

Well if it's on the Internet, it must be true.

When is Walker going to be arrested? Is it still any day now?

 

[bripat9643]

Let me guess: He's a Democrat!

ALBANY, N.Y. — New York’s attorney general is investigating tax strategies of some of the nation’s largest private equity firms, including Bain Capital, founded by Republican presidential nominee Mitt Romney, an official familiar with the probe said Sunday.

Attorney General Eric Schneiderman is examining whether the firms have abused a tax strategy to avoid paying hundreds of millions of dollars in taxes, said the official, who spoke on the condition of anonymity because of the sensitivity of the probe. The practice involves converting some fees collected for managing accounts into fund investments, resulting in a lower tax rate.

 

[CrusaderFrank]

"You need $1Billion? Guess how much I stole from my customers at MF Global?"

 

[Chris]

Eric Schneiderman is the only one with the balls to go after Wall Street.

Neither the Republicans nor the Democrats would do it.