Steal 3 Billion Dollars, Leave Of Absence A 700 Chiliad Dollar Fine: The Scammers Accept A Ameliorate Trouble Concern Model - Sino Wood Edition

Sino Forest - familiar to many of my readers - was a large forestry fellowship listed inward Canada amongst operations inward China.

It claimed well-nigh 1 i G 1000 hectares of wood generating xx cubic metres of chips per hectare per year.

Market cap was inward the billions.

The alone occupation was that the wood did non exist.

Today the Chief Financial Officer admitted wrongdoing, paid a fine together with agreed to disgorge around coin for the create goodness of victims of the scam.

The (Canadian) Financial Post notes:

Mr. Horsley agreed to pay $700,000 inward the settlement, together with is barred permanently from beingness a managing director or officeholder of a world company. Mr. Turner noted that Mr. Horsley likewise agreed to pay $5.6-million to settle shareholder lawsuits related to Sino-Forest’s collapse. He [the OSC chair] viewed that every bit an appropriate penalty, which is why he endorsed the relatively pocket-size OSC settlement.

Later the newspaper deadpans:

At its peak, Sino-Forest was the biggest forestry theatre on the Toronto Stock Exchange, amongst a marketplace position value of to a greater extent than than $6-billion. It likewise raised a staggering $3-billion from investors betwixt 2003 together with 2010 earlier falling into creditor protection inward 2012.

Simple question: Where did that $3 billion that was raised go?

Answer: Into someone's pocket.

Have you lot made a few billion dollars lately?

Repeat later me: the fraudsters bring a ameliorate concern model.



John


PS: There is out at that topographic point a multi-billionaire fraudster who is completely absent from the Forbes listing of global billionaires. Whatever: at a minimum the Forbes listing is similar Sino Forest: lacking credibility.