George W. Bush: How George Jr. put the W in Wealthy

How George Jr. put the W in Wealthy

There has been much in the press about George W. Bush and his business dealings with Harken Energy due to the scandals involving Enron, Tyco, WorldCom, etc.
George W. likes to say "It has been looked at by the SEC" and "there is no case there".
In fact, the SEC said that its investigation into Bush Jr. "must in no way be construed as indicating that the party has been exonerated or that no action may ultimately result". A far murkier outcome than "no case".
There is no big surprise in this. The Bush family has a long history of questionable business dealings starting with Prescott, and continuing through George Sr.and his sons George W., Neil, and Jeb.
This is a quick review of G. W. Bush's financial history. It is largely a history of failure in business with great rewards nonetheless.
Remember that George Sr., ex CIA Director and head of CREEP under Nixon was seen as presidential material in the 70's, and in fact, was V.P. in 1980-88 and then President.
It may also be stimulating to remember that Corporate America spent an unprecedented couple of hundred million dollars trying to beat Al Gore and failed. He was appointed President by a Reagan/Bush appointed Supreme Court majority.
Finally, there is little doubt that more scandal will come from the energy sector and its Republican allies including Halliburton, Cheney's albotross.
Watch for many new distracting stories, court actions, threats, and the like as the powers that be try to change the nation's focus. Keep an eye out for more entertaining Bushisms on the topic too... like on on July 8 when he said that "in the corporate world, sometimes things aren't exactly black and white when it comes to accounting".
Simply mindboggling.

George Jr.'s Financial History

1978 Founded Arbusto Energy with $17,500 from his education trust fund and $3 million in funds from family friends and backers of Bush Sr's political aspirations. They made no money but got tax writeoffs so they were quite happy.

1979 James Bath, a close family friend, pays $50,000 for 5% of Arbusto. Bath was U.S. representative for Salem bin Laden, Osama's wealthy Saudi father.

1982 George W renames bankrupt company Bush Exploration, sells 10% to Philip Uzielli for $1,000,000, and takes company public to raise $1,400,00.

1984 Bush Exploration (broke again) merges with Spectrum 7 Energy Corporation, owned by William DeWitt and Mercer Reynolds. Bush becomes CEO, gets 16.3%, and a salary of $75K. Reynolds is now ambassador to Switzerland.

1986 Spectrum 7, nearly bankrupt, is acquired by Harken Energy Corp. Bush receives 227,000 shares of Harken stock and is made director and consultant to the company at up tp $120K salary, $600k in stock options and a couple of hundred thousand in free or forgiven loans.

1987 Union Bank of Switzerland (UBS) provides $25 million cash infusion. Saudi Sheik Abdullah Bakhsh joins the board with 17.6% ownership.

1989 Harken hides losses by selling Aloha Petroleum, a susidiary to insiders for 12 million, $12 million of which a loan held by Harken. The $8 million (supposed) profit on the sale is counted as Harken income by Arthur Andersen, the accountant.

1989 DeWitt and Reynolds help Bush buy the Texas Rangers for $86 million. Bush invests $500K (borrowed on his Harken stock), gets 10% and becomes the public half of a general management duo with Rusty Rose. A new $135M stadium is built with taxpayer money for the team which it eventually owns.

1989 At a December meeting of the Board of Directors of Harken, George W signs off on use of a recently created Cayman Island subsidiary to pursue company's $25 million contract to drill for oil off the coast of Bahrain.

1990 In January, Bahrain signs a exclusive oil drilling with Harken to the surprise of analysts. Harken stock shoot up in value.

1990 An March 14 Harken Board of Director's meeting, Bush is appointed as the chairman of a board committee to investigate the restructuring of $12 million in secured notes held by the group of Harken insiders who, in 1989, purchased the Aloha Petroleum subsidiary from Harken. Board also approves sale of Aloha.

1990 June 22: W. sells his Harken stock for $848,560 - two weeks before $23 million in losses revealed. He pays the Rangers loan out of the proceeds.

1990 In July, Aloha Petroleum sold to Advance Petroleum Marketing which relieves the associated debt. Advance Petroleum was owned by David Halbert who had invited GWB to invest $10k or so in Allied Home Pharmacy several years earlier which yielded GWB up to a million in 96.

1990 Iraq invades Kuwait

1991 April: SEC investigates GWB for failing to report Insider Trading of Harken Energy stock. The investigation was led by James Doty, a friend and businees lawyer for Bush in the past.

1993 October: GWB asks for letter from the SEC regarding the investigation. The letter, signed by SEC Associate Director Bruce A. Hiler, specifically refuses to exonerate him or to preclude further SEC actions.

1994 GWB Elected Governor of Texas

1998 GWB sells his Advance stock and his Rangers stock for 16 million.

2000 In an unprecedented extra-constitutional action, GWB was appointed President of the United Staes of America by justices appointed during his father's executive tenure despite the fact that his opponent had clearly won the election.

By Gary Starkweather

Copyleft 2002, Gary Starkweather.
This document may be shared in its entirety including this line.

For What It's Worth Home

There has been much in the press about George W. Bush and his business dealings with Harken Energy due to the scandals involving Enron, Tyco, WorldCom, etc. George W. likes to say "It has been looked at by the SEC" and "there is no case there". In fact, the SEC said that its investigation into Bush Jr. "must in no way be construed as indicating that the party has been exonerated or that no action may ultimately result". A far murkier outcome than "no case". There is no big surprise in this. The Bush family has a long history of questionable business dealings starting with Prescott, and continuing through George Sr.and his sons George W., Neil, and Jeb. This is a quick review of G. W. Bush's financial history. It is largely a history of failure in business with great rewards nonetheless. Remember that George Sr., ex CIA Director and head of CREEP under Nixon was seen as presidential material in the 70's, and in fact, was V.P. in 1980-88 and then President. It may also be stimulating to remember that Corporate America spent an unprecedented couple of hundred million dollars trying to beat Al Gore and failed. He was appointed President by a Reagan/Bush appointed Supreme Court majority. Finally, there is little doubt that more scandal will come from the energy sector and its Republican allies including Halliburton, Cheney's albotross. Watch for many new distracting stories, court actions, threats, and the like as the powers that be try to change the nation's focus. Keep an eye out for more entertaining Bushisms on the topic too... like on on July 8 when he said that "in the corporate world, sometimes things aren't exactly black and white when it comes to accounting". Simply mindboggling. George Jr.'s Financial History
1978	Founded Arbusto Energy with $17,500 from his education trust fund and $3 million in funds from family friends and backers of Bush Sr's political aspirations. They made no money but got tax writeoffs so they were quite happy.
1979	James Bath, a close family friend, pays $50,000 for 5% of Arbusto. Bath was U.S. representative for Salem bin Laden, Osama's wealthy Saudi father.
1982	George W renames bankrupt company Bush Exploration, sells 10% to Philip Uzielli for $1,000,000, and takes company public to raise $1,400,00.
1984	Bush Exploration (broke again) merges with Spectrum 7 Energy Corporation, owned by William DeWitt and Mercer Reynolds. Bush becomes CEO, gets 16.3%, and a salary of $75K. Reynolds is now ambassador to Switzerland.
1986	Spectrum 7, nearly bankrupt, is acquired by Harken Energy Corp. Bush receives 227,000 shares of Harken stock and is made director and consultant to the company at up tp $120K salary, $600k in stock options and a couple of hundred thousand in free or forgiven loans.
1987	Union Bank of Switzerland (UBS) provides $25 million cash infusion. Saudi Sheik Abdullah Bakhsh joins the board with 17.6% ownership.
1989	Harken hides losses by selling Aloha Petroleum, a susidiary to insiders for 12 million, $12 million of which a loan held by Harken. The $8 million (supposed) profit on the sale is counted as Harken income by Arthur Andersen, the accountant.
1989	DeWitt and Reynolds help Bush buy the Texas Rangers for $86 million. Bush invests $500K (borrowed on his Harken stock), gets 10% and becomes the public half of a general management duo with Rusty Rose. A new $135M stadium is built with taxpayer money for the team which it eventually owns.
1989	At a December meeting of the Board of Directors of Harken, George W signs off on use of a recently created Cayman Island subsidiary to pursue company's $25 million contract to drill for oil off the coast of Bahrain.
1990	In January, Bahrain signs a exclusive oil drilling with Harken to the surprise of analysts. Harken stock shoot up in value.
1990	An March 14 Harken Board of Director's meeting, Bush is appointed as the chairman of a board committee to investigate the restructuring of $12 million in secured notes held by the group of Harken insiders who, in 1989, purchased the Aloha Petroleum subsidiary from Harken. Board also approves sale of Aloha.
1990	June 22: W. sells his Harken stock for $848,560 - two weeks before $23 million in losses revealed. He pays the Rangers loan out of the proceeds.
1990	In July, Aloha Petroleum sold to Advance Petroleum Marketing which relieves the associated debt. Advance Petroleum was owned by David Halbert who had invited GWB to invest $10k or so in Allied Home Pharmacy several years earlier which yielded GWB up to a million in 96.
1990	Iraq invades Kuwait
1991	April: SEC investigates GWB for failing to report Insider Trading of Harken Energy stock. The investigation was led by James Doty, a friend and businees lawyer for Bush in the past.
1993	October: GWB asks for letter from the SEC regarding the investigation. The letter, signed by SEC Associate Director Bruce A. Hiler, specifically refuses to exonerate him or to preclude further SEC actions.
1994	GWB Elected Governor of Texas
1998	GWB sells his Advance stock and his Rangers stock for 16 million.
2000	In an unprecedented extra-constitutional action, GWB was appointed President of the United Staes of America by justices appointed during his father's executive tenure despite the fact that his opponent had clearly won the election.