Re: SEC charges Rio Tinto, two former top execs with fraud
With a market cap in the $85 billion range ... how material is a difference of opinion on valuation of one comparatively small asset?
I smell shake-down by the SEC - fine and forgive? The Brits squeezed close to $50 million US out of this in fines. They raised some debt money but there is no suggestion of any losses on the offering, just material misstatement that they ought to have revealed a substantial impairment of their Mozambique coal investment.
Doubt the SEC can make much stick to the top guys who will plead honest belief, although, at the same time they were trying anything to make the Alcan writedowns look less disasterous. Really makes you wonder about the vetting process at that time on transactions.
Great lawyer’s retainer, though!
Hotel America, not quite. Hotel Give Us Fifty Million or more ... yup.
cg