Tyco international is a conglomerate that deals with electrical and electronics componenents, it also deals with electronic security systems, fire detection systems, and suppression systems, as well as fire extinguishers and related products. Tyco is a $53 billion company that made profits of $8.23 Billion EBITDA.
The Tyco executive Dennis Kozlowski, 58, former chief executive officer, of Tyco and Mark Swartz, 48, the former chief financial officer, both got sentenced for stealing from Tyco, the company they managed and where told by the judge told to pay back $134 million and Kozlowski was fined an additional $70 million. They both where led out of court in handcuffs and where sentenced to minimum of 8 years at a New York maximum security prison.
The court heard how they stole $170m from Tyco by lending themselves company money and then cancelling their debt. The pair also made $430m by selling shares at prices which were artificially inflated because they had lied about the state of the company's finances.
Kozlowski became famous as the "ultimate corporate raider" as details emerged about how he had charged his $31m Manhattan apartment to the company, replete with a $6,000 shower curtain, a $15,000 umbrella stand and $2,900 of coat hangers. His wife was treated to a $2.2m birthday party in Sardinia.
Now reflect on the millionaire and billionaires we have in the third world, not the honest hardworking ones, but the ones that use their position and power to enrich themselves.
How many got 1 day jail time for taking what does not belong to them ?
Read more about Tyco from Forbes and the Telegraph.
Ouch! Hot stuff. What was the color of money again?
ReplyDeleteyou do the crime, you do the time. or something along those terms.
ReplyDeleteyou do the crime, you do the time. or something along those terms.
ReplyDelete