:: meanders ::

:: Half Truths are Whole Lies
or, A Case of [Ir]Rational Accounting, from the NY Post.

Rational's chairman, Paul Levy, and the company's chief executive officer, Michael Devlin - apparently figured that their base annual salaries of $1 million each weren't enough to get by on. So in late 1999, while tech fever was at 110 degrees and climbing, they created a company called Catapulse Co. and issued themselves roughly half its stock, then capitalized the business with $50 million from Rational Software. Then, after about a year Paul and Mikey had Rational buy back Catapulse for $445.2 million in Rational stock, of which $200 million tumbled into the gaping pockets of our two heroes. And through it all, no one except Willard [reporting for thestreet.com] seems to have batted an eye.

Capitalism at its finest? Or behavior that make Capitalism a dirty word? Whoever believes what went on at Enron is "an isolated incident" has their head in the sand.