Big Business Style Legitimate And Bona Fide Transactions
September 30, 2013 Leave a comment
Licences and large sunk costs are entry barriers.And its small wonder that big money always want to grab licences.Even if businesses are not built round licences,licences are tradeable and so there is always a scope to grow one’s money by doing so.Also owning companies allows people to be part of interesting deals.
After studying the Radia tapes and investigating the matter, the Serious Frauds Investigating Office has uncovered the above money trail.The accused parties maintain that these are legitimate and bona fide real estate transactions.Watching how the case proceeds through the courts and how the political class deals with it,is going to be very educational.
Yesterday,ie on 28th of December 2012, on his birthday,when he turned 75, Ratan Tata retired,succeeding on his third try.In 2002, when Tata was to retire at 65, the Tata Sons board promptly re-designated him non-executive chairman, which meant he could continue for another five years.Three years later, the board upped the retirement age of non-executive directors to 75. The message was clear: Ratan Tata was indispensable.And it was not just the board that felt that way. There were loud cries of support from shareholders. As one shareholder put it”We can’t lose our ratan (jewel).”Others asked him to stay on as chairman emeritus. 
wealthymatters 