July 28th, 2010Andrew Hall And Phibro Lose Money
Andrew Hall is back in the news lately, this time fo his role in contributing to a $104 million pretax loss to Phibro, the commodity gambling trading spinoff from Citibank. Back in 2008, Andrew Hall made an enormous energy gamble using the capital of Citibank, based on explicit United States government guarantees. There were essentially two possible outcomes of that gamble. If it paid off, then Hall would “earn” an enormous bonus. If the gamble failed, it would have failed on the backs of every American taxpayer, and Hall would have still received his outrageous paycheck.
Way to go, Hall. You successfully extracted $100 million from the taxpayer via a coin toss lucky gamble, but at least you are now exposed as the fraud you are.