Eli Broad is latest character witness for ex-KB Home chief Bruce Karatz
Broad, who co-founded the company that became KB Home in 1957 and later operated SunAmerica insurance company, told jurors that he had known Karatz for 38 years and considered him to be a man of impeccable integrity...
Broad left Kaufman & Broad, as the company was then known, in 1986 and handed control to Karatz. Under Karatz's leadership, profits at the company soared.
Karatz faces 20 felony charges of securities fraud, mail fraud, wire fraud and making false statements in securities filings.
http://www.latimes.com/business/la-fi-karatz3-2010apr03,0,1498024.storyBroad's no stranger to this sort of thing...
Wealthy, Helped by Wall St., New Find Ways to Escape Tax on Profits
Published: December 1, 1996
Last spring, Wall Street bankers made an irresistible sales pitch to Eli Broad, the billionaire home builder and co-founder of the booming SunAmerica insurance empire.
For a fee, they would help him lock in $194 million in profits on some of his SunAmerica stock and free up cash to pay family debts -- best of all, without having to sell the stock and give up all future profits on his shares. He would therefore not owe a penny of the estimated $54 million in taxes he would face if he sold the shares.
Mr. Broad accepted. ''We have our cake,'' he said recently with a chuckle, ''and are eating it too.''
The thousands of less affluent investors who also own SunAmerica stock, either individually or through mutual funds, get no such deals. To cash in on their stock, they almost invariably have to sell it and face a Federal tax of up to 28 percent on their profits
http://www.nytimes.com/1996/12/01/business/wealthy-helped-by-wall-st-new-find-ways-to-escape-tax-on-profits.htmlSure, they only care ABOUT THE CHILDREN.....
KB Home, Countrywide accused of $2.8 bln fraud
LOS ANGELES, May 7 (Reuters) - Homeowners brought a federal racketeering lawsuit on Thursday against KB Home (KBH.N), the former Countrywide Financial Corp and appraiser LandSafe Inc, accusing the companies of operating a scheme to fraudulently inflate sales prices of KB homes in Arizona and Nevada.
The lawsuit, filed in federal court in Phoenix, claims the three companies colluded to overprice as many as 14,000 homes in the two states by an average of $20,000, for an estimated total of $2.8 billion between 2006 and the present. The plaintiffs seek class action status and triple damages.
http://uk.reuters.com/article/idUKN0742190620090507Anonymous said...
Eli Broad who's name was on Kaufman & Broad which later became KB Home, should start educating the employees of KB Home on how to build a home and what customer service actually is. Do they have to pass an examination on how to use a hammer? Can they read a blueprint? Can they communicate? Is KB Home building cheap junk so the stock price is the only issue?
http://www.akbhomesucks.com just Google "KB Home Sucks" Eli.
Bruce Karatz xCEO of KB home goes on trail March 9th 2010 for stock manipulation. I bet his teachers and professors are so proud of Bruce. What id Karatz education teach him Mr. Broad! This is the education we need more of. White collar crime University with ELI Broad & Companies name on it! What a reputation Broad & Karatz & KB Home have.
ttp://dbellel.blogspot.com/2009/06/arne-duncan-great-educator-or-great.html.