Mitt Romney and the Hypocrisy of Bain Capital

American Thinker ^ | January 11, 2012 | Aaron Goldenberg

[GBA]

Vultures have their place and perform a necessary function, but that doesn't mean if you don't care for them or what they do that you hate birds or the rest of the animal kingdom.

While corporate raiders are one form of capitalists, I've yet to meet a small to mid sized business owner, the majority of capitalists, who see themselves in the same light as a corporate raider.

Hookers, pimps and drug dealers, along with the rest of the black marketeers, are all capitalists too. If you don't care for what they do, are you anti-capitalist?

Romney = Write in

[Eagle of Liberty]

This in no way is a defense of Romney, but give me a break. Perhaps we should have the GM govt bailout model, where taxpayers prop up failing businesses to keep people working and making products nobody wants (see the Volt)....?

Only having read a handful of articles on this, were ALL of these businesses failing? The reason I ask is because I have been the victim at two different companies that WERE succeeding until they were bought out by "investment firms". Both times, within two years, layoffs began, one company was completely restructured and to this day is not to profit levels of 10 years ago and the other was shut down all together.

What did the employees do to deserve this crap? There were no unions hence no contract negotiations. Instead, many longtime employees who worked hard to build up a strong running company were back out looking for work and the "investors" are the ones who ran off with the millions.

I would say that much of what was done was unintentional by the new "owners", as the reasons for the downfalls were very poor business decisions. And it happens time and time again. Business A is a successful business. Business B is a successful business. Investment Firm comes along and buys Business A. Then, Investment Firm buys Business B. Investment Firm then combines the product lines of Business A and Business B to form Business C. Soon after, Business C fails, Investment Firm sells to another Investment Firm and the hundreds or thousands who were at Business A and Business B are left without jobs.

[Clyde5445]

It seems some around here have a blind spot to the “Gordan Gekko” problem Romney is having.

The other thing is how anybody can vote for a man who steals your right to choose is beyond me. He is no different than O.

Romney is a modern day Robber Baron.

[DJ MacWoW]

Watch the video in post 19.

Are you actually telling me that it's ethical to get a $180 million loan on a $30 million company's assets and then strip the company? *sigh*

Romney needs to answer some questions.

[11th Commandment]

I think the argument against Romney should be as follows: Businessmen know can create jobs and necessarily remove jobs in a micro economic sense, but that does not translate into an understanding of how macro economics work.

Case in point: Warren Buffet of Berkshire Hathaway. Smart investor and businessman. Has created and necessarily removed jobs. However, his economics are horrendous. His advise to Gov. Arnold was suicide.

Another example, I am sure a Big Sugar Executive will tell you he knows how to save jobs. By lobbying congress for sugar tariffs and quotas, he will tell you he has saved 500 jobs for several decades! But at what cost? Higher market prices for consumers. Lost jobs in the American Candy industry. This week Hostess filing bankruptcy again due to increasing sugar prices!!

What about all those businessmen corn/ethanol producers. They claimed subsidies increased American jobs! But again at what cost. Higher gas prices, higher food prices, lost jobs for people who produce chicken, meat and swine..

I think you hit Romney here. You point out that creating jobs is not the promotion of crony capitalism, but by opening up markets. Then show that in Massucuettes Romney practice crony capitalism with his health care, tax code and regulation.

[11th Commandment]

I think the argument against Romney should be as follows: Businessmen know can create jobs and necessarily remove jobs in a micro economic sense, but that does not translate into an understanding of how macro economics work.

Case in point: Warren Buffet of Berkshire Hathaway. Smart investor and businessman. Has created and necessarily removed jobs. However, his economics are horrendous. His advise to Gov. Arnold was suicide.

Another example, I am sure a Big Sugar Executive will tell you he knows how to save jobs. By lobbying congress for sugar tariffs and quotas, he will tell you he has saved 500 jobs for several decades! But at what cost? Higher market prices for consumers. Lost jobs in the American Candy industry. This week Hostess filing bankruptcy again due to increasing sugar prices!!

What about all those businessmen corn/ethanol producers. They claimed subsidies increased American jobs! But again at what cost. Higher gas prices, higher food prices, lost jobs for people who produce chicken, meat and swine..

I think you hit Romney here. You point out that creating jobs is not the promotion of crony capitalism, but by opening up markets. Then show that in Massucuettes Romney practice crony capitalism with his health care, tax code and regulation.

[11th Commandment]

I think the argument against Romney should be as follows: Businessmen know can create jobs and necessarily remove jobs in a micro economic sense, but that does not translate into an understanding of how macro economics work.

Case in point: Warren Buffet of Berkshire Hathaway. Smart investor and businessman. Has created and necessarily removed jobs. However, his economics are horrendous. His advise to Gov. Arnold was suicide.

Another example, I am sure a Big Sugar Executive will tell you he knows how to save jobs. By lobbying congress for sugar tariffs and quotas, he will tell you he has saved 500 jobs for several decades! But at what cost? Higher market prices for consumers. Lost jobs in the American Candy industry. This week Hostess filing bankruptcy again due to increasing sugar prices!!

What about all those businessmen corn/ethanol producers. They claimed subsidies increased American jobs! But again at what cost. Higher gas prices, higher food prices, lost jobs for people who produce chicken, meat and swine..

I think you hit Romney here. You point out that creating jobs is not the promotion of crony capitalism, but by opening up markets. Then show that in Massucuettes Romney practice crony capitalism with his health care, tax code and regulation.

[DJ MacWoW]

They keep buying the MSM’s misdirection that it’s about capitalism when it is clearly about Romney lying and his business ethics. In one article, CNN said what he did was leveraged buyouts, the cousin of hostile takeovers. I found that interesting considering it came from CNN!

[Fawn]

What really bothers me about Romney is that he is part Mexican and most of his relatives are....what makes anyone think he’s going to do anything about the borders??

[McGavin999]

Actually I’m a little stunned at Rush. Romney was the original taxpayer bailout guy. Stealing from the rich and giving to the poor is socilism, so is taking from the middle class and giving it to “investers”. Bain took taxpayer money to save a company, laid off everyone, gave the money to his “investors” and never paid back the taxpayers. As far as I’m concerned that’s socialism, not capitalism. Redistribution of wealth is redistribution of wealth.

[edpc]

Are you actually telling me your're going to keep asking me the same question when it's neither accurate or applicable?

Sigh.

Gingrich isn't giving the whole story on what happened with the finances and investments made over the 8 years they dealt with the company they purchased. He's either uninfomed or being purposefully deceitful. I tend to think he's uniformed, since he goes on to say Romney's "firing people" line was clumsy, but not as malicious as the MSM would have us believe.

[DJ MacWoW]

Getting a $180 million loan against a $30 million company's assets then raiding it is NOT honest.

The man lies as a politician but you think he's honest in business?!

I have no words for the total disconnect. You have a wonderful day.

[meadsjn]

No one is suggesting that Mitt Romney was evil or immoral or corrupt or criminal.

Like He** They Aren't !!!

He'll suck the lifeblood out of the USA just like Obama is doing, just with a different group of recipients.

[DManA]

Why is he using the word Vulture do disparage Romney? Vultures are magnificient animals. They perform a crucial role in the environment. We are all better off because vultures exist.

[Clyde5445]

They keep buying the MSM’s misdirection that it’s about capitalism when it is clearly about Romney lying and his business ethics. Oh, I know I have to laugh at the some who defend Romney in the name of capitalism. What Romney was involved in was the worst form of capitalism. They are walking head long into a media buzz saw and don't even know it.

[LibertyJihad]

You prefer the federal government method of management? Government jobs are NEVER eliminated. Federal employees continue to get paid regardless of whether they are worth keeping because the federal government borrows and prints money at will. If the federal government were a private business, it would have gone out of business long ago BECAUSE it never fires anyone. Ah yes, if only Bain Capital had been smart enough to take its management cues from you and the Ruling Elite, it too could have lost money without any cares or worries. Bain could have, by force, extracted money from private citizens just like the feds.

You are a buffoon.

[edpc]

If you really bother to look at the details, the actions of Bain under Romney speak more into his ability (or lack thereof) to actually manage departments and companies, rather than his ethics.

My disconnect? That's hilarious.

You heard $180 million for $30 million and bought it as the whole story when it's not even close. You know who does that? People who think Palin said she could see Russia from her house.

The details are vast and kind of boring. The work to find it would require some thought and effort to wade through it. You can take the time to know it, or choose to be spoon-fed, as you obviously have.

A good portion of the money Bain made in that deal was from consulting fees. Newt is hardly the person to criticize another for making money on a failed institution with consulting fees.

[DJ MacWoW]

This is classic misdirection. It works even on FR.

[LibertyJihad]

Sigh..... Okay, pretend it was your $30 million. You are putting it at great risk by putting into a single company. You want to make a profit. What product did this company make? What were its fixed costs? Was it subject to the regulatory whims of Congress? What were its labor costs? Were its employees unionized? Did it have any flexibility with regard to its operating cost?

Simply saying “They paid $30 million and took out $180 million” only tells me that Bain was very good. Every transaction they entered was a voluntary transaction between two or more parties. Why do you object to that? Besides, Newt didn’t say they “borrowed” $180 million, he said they “took out” $180 million. If they borrowed that much, did they lie to obtain the loan? If not, did you want the government to stop the lender from voluntarily loaning money?

Risking $30 million comes with much risk and much reward. Stop envying, Comrade.

[John Valentine]

I read what you say and it is impossible not to see that you have entirely missed the point.

And it wasn’t a point hard to get; the author made it repeatedly so that he would not be misunderstood. Yet, here you are.

Here’s the point again. It is not whether or not Mitt Romney and Bain Capital did anything wrong or immoral. It is whether or not he is electable.

And the answer is that he is not.