Barons of bankruptcy
The Financial Times (subscription required) has posted an index of recent corporate theft — the amount of money that top executives and directors took from the 25 largest companies to go bankrupt during the past 18 months. "In just three years, they grossed about $3.3 billion before their companies went bust, having wiped out hundreds of billions of dollars of shareholder value and nearly 100,000 jobs," writes the FT's Ien Cheng.
In a brilliant move, the FT gives subscribers not just the aggregate figure but rankings of who grabbed the most cash. Mr Big? Why, it's Gary Winnick, founder and chairman of Global Crossing. He grossed $512 million since 1999, a period in which Global Crossing has lost $9.2 billion and cut 5,020 jobs. Next in line is Lou Pai, chairman of Enron's Energy Services subsidiary, who's made $270 million while his company has lost $18.8 billion and eliminated 5,500 jobs. Number three is former Enron CEO Ken Lay, with $247 million.
