The rich blamed for SCF’s fall

The rich blamed for SCF’s fall, so reads the headline on an article at Stuff. Apparently all those rich investors scrambling to get their deposits below the $250,000 cut-off point for the guarantee

Trustee Executors regional manager Yogesh Mody said “many investors” with deposits above the $250,000 limit that will apply to the revised scheme from October 12 had been “rearranging” their investments to get below that figure ahead of the deadline.

Mr Mody, who appointed receivers to SCF on Tuesday, said the moves were symptomatic of the company’s inability to attract and keep investors amid doubts about its survival.

This is one of  the weirder statements Adam has seen regarding the SCF collapse. Whilst such actions may not have helped, SCF was going to collapse without a major injection of funds. Indeed, it was a collapse in waiting for several months.

So no doubt we will see further comment on threads and talkback and Hubbard supporters Facebook pages that ‘the rich pricks’ connived to bring Hubbard down.

Reading comments by Sandy Maier it is clear that governance was poor, there were hundreds of millions in bad loans, but it is so much easier to blame rich pricks rather than the directors and management.

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