2 GE shares plunge as much as 15% after Madoff whistleblower claimed the company is a 'bigger fraud than Enron' and a bankruptcy waiting to happen

Source: https://www.dailymail.co.uk/news/article-7361157/GE-shares-plunge-15-Madoff-whistleblower-claims-company-fraud.html
Published: Aug 15, 2019
Author: staff
Post Date: 2019-08-15 20:36:04 by Horse
Views: 598

General Electric shares fell as much as 15% on Thursday after fraud investigator Harry Markopolos, who blew the whistle on Bernard Madoff's Ponzi scheme, said GE was concealing deep financial problems.

In a 175-page report, Markopolos accused GE of hiding $38.1 billion in potential losses and asserted that the company's cash situation was far worse than it had disclosed.

'GE's true debt to equity ratio is 17:1, not 3:1, which will undermine its credit status,' Markopolos said in the report, which was commissioned by an undisclosed hedge fund that has taken short positions on GE stock.

The report says GE is insolvent and asserts that its industrial businesses have a working capital deficit of $20 billion.

The plunge in share prices wiped more than $10 billion off of GE's market capitalization in a matter of hours.

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#1: NeoconsNailed    To: Horse (#0)

Good for him. Hope he lives to tell the tale.

NeoconsNailed posted on 2019-08-16 00:37:51   Reply   Private Reply

#2: Horse    To: NeoconsNailed (#1)

Markopolos survived the Bernie Madoff scandal and that money wound up in Israel.

Horse posted on 2019-08-16 01:14:30   Reply   Private Reply

#3: NeoconsNailed    To: Horse (#2)

Madoff's? How slick -- that must be what's still keeping his wife in clover. She was supposedly reduced to nothing with all the rest, but then she goes and buys a house in an exclusive New England naberhood to be near her daughter.

This would be too horrible to contemplate, Izrul getting all those ill-gotten gains -- even tho all those investors were rather dumb to just believe everything he said.

Here's a doc that makes the Madoff affair almost fun tho

www.youtube.com/watch?v=- M3sHrVOddw

NeoconsNailed posted on 2019-08-16 12:07:00   Reply   Private Reply