Bu$h OKs selling Global Crossing stake

[cosmicdot]

Bush OKs Selling Global Crossing Stake

September 19, 2003 05:46 PM EDT


WASHINGTON - President Bush on Friday allowed the sale of a majority stake in bankrupt Global Crossing Ltd. to a company owned by the Singapore government, a deal that had come under scrutiny for possible national security implications.

~snip~

In trying to win government support for the sale, Global Crossing hired Richard Perle, who at the time led an influential civilian advisory group in the Pentagon. Perle resigned as chairman a short time later but remains on the board.

Global Crossing, which is based in Bermuda but has corporate offices in Florham Park, N.J., built a 100,000 mile, high-speed fiber optic network - the world's most extensive - before it collapsed under $12.4 billion in debt in January 2002. Its plan to emerge from bankruptcy would leave its investors with nothing, while debtholders would receive pennies on the dollar and a minority stake in the re-emerging firm.

The company's accounting also fell under federal scrutiny and is the subject of shareholder lawsuits.

http://start.earthlink.net/newsarticle?cat=1&aid=D7TLNIEO2_story

[cosmicdot]

1. anyone know what the repercussions of this are?

wonder if Poppy unloaded the stock given him in lieu of speaker's fee ahwile back

"Poppy Bush got $13 MILLION in stock from Global Crossing"
http://www.gregpalast.com/detail.cfm?artid=15&row=1
http://www.democraticunderground.com/forum_archive_html/DCForumID38/1502.html


The number of large US corporations currently under investigation by the US authorities reads like a roll-call of what used to be thought of as the great and the good. It includes Global Crossing (global fibre optic telecommunications networks), WorldCom (self-styled "pre-eminent global communications company for the digital generation"), Tyco, the conglomerate, AOL Time Warner, the entertainment giant, Halliburton, Qwest, Adelphia, the cable operator, and Enron, the energy trader that has filed for bankruptcy. Xerox, the copying company, has also restated $6.4bn of revenues dating back to 1997.

http://www.guardian.co.uk/bush/story/0,7369,772959,00.html