Bain Capital is the gift that just keeps on giving….Mitt Romney is persona non grata in Italy over claims Bain Capital skirted paying taxes.
Bloomberg: That’s because Bain Capital, under Romney as chief executive officer, made about $1 billion in a leveraged buyout 12 years ago that remains controversial in Italy to this day. Bain was part of a group that bought a telephone-directory company from the Italian government and then sold it about two years later, at the peak of the technology bubble, for about 25 times what it paid.
Bain funneled profits through subsidiaries in Luxembourg, a common corporate strategy for avoiding income taxes in other European countries, according to documents reviewed by Bloomberg News. The buyer, Italy’s biggest telephone company, now has a total market value less than what it paid Bain and other investors for the directory business.
In Italy, the deals have spurred at least three books, separate legal and regulatory probes and newspaper columns alleging investors made a fortune at the expense of Italian taxpayers. Boston-based Bain wasn’t a subject of the inquiries, which didn’t result in any charges.
Rick Santorum was right when he said Mitt Romney is the worst presidential candidate to go up against Barack Obama in the general elections. Until a month ago, I hadn’t made a decision on who I was going to support for president, but I have to tell you, Mitt Romney isn’t the candidate for me. The wealthy donors are trying to buy the election by dumping millions in his coffers, but do you really know what Mitt Romney stands for? I suspect many will say no, but the economy is horrible and he will fix it. Um, sorry, his business record is shrouded in so much secrecy that I don’t know if he’s as qualified as he claims to be. One has to wonder what else happened at Bain Capital under Mitt Romney’s watch? Which other country did they stiff for taxes? This may also lend credence to Sen. Harry Reid’s claims about his taxes.