paul keating..., page-7

I also remember the pig farmer.

Summary:

* The partners borrowed $17,860,000 plus $2,074,392 on equity of $ 860,000 = ratio 23:1
* Business turns sour bank writes off $4,500,000 now business worth $5,900,000 will bank write off extra $4,400,000? Making a total write-off of $8,900,000 + default
* Interest without liquidation??? Yes.
* Now the Prime Ministerial pig farmer wants piggery extensions (we know he loves extensions; remember the $250,000 car port ??)
* Projected extension costs $44,000,000 which bank could lend him $44 million on such a proven track record you guessed it!
* Muirhead finds fraud. Muirhead asks the question about the bank's dealings with the piggery! Muirhead's head rolls! As do others.
* Why not his (Paul Keating's)?
* Which bank ???! You guessed it - Commonwealth Bank of Australia.
* White knight Danpork bails out partners and acquires a foothold in the Australian pig industry.
* Today foreign owned Danpork is squeezing out Australian pig farmers in Queensland.

THE "PIG FARMER'' STORY

and The Recession We Had To Have.