Report: Bain Told Investors Romney Was Inactive In 2000

[ProSense]

Report: Bain Told Investors Romney Was Inactive In 2000

Benjy Sarlin

Mitt Romney may have been listed in SEC filings as sole shareholder, CEO and president of Bain Capital and its affiliated funds from 1999 to 2001, but a new report suggests that the company did not consider him active in the firm at the time.

According to Fortune, confidential documents distributed by Bain in 2000 to prospective investors in a new private-equity fund did not list Romney as a part of the management committee that would handle day-to-day operations.

Romney and a Bain spokesman both denied on Thursday that the presidential candidate had any managerial role with the firm after leaving to work on the Olympics in February 1999. The Obama campaign has argued that Romney should be held accountable for Bain’s actions from 1999-2001, since he was still listed as the company’s “sole stockholder, chairman of the board, chief executive officer, and president” and a 2001 SEC filing listed his primary occupation as a “managing director.” Obama deputy campaign manager Stephanie Cutter even suggested Romney may have criminally misled the SEC and pushed him to release minutes from meetings clarify his position.

- more -

http://2012.talkingpointsmemo.com/2012/07/romney-bain-capital-sankaty-fortune-inactive.php

Fortune:

<...>

Now Fortune has obtained new evidence that supports Romney's version of events.

Bain Capital began circulating offering documents for its seventh private equity fund in June 2000. Those documents include several pages specifying fund management. The section begins:

Set forth below is information regarding the background of the senior private equity investment professionals of Bain Capital. Also listed are certain investment professionals responsible for the day-to-day affairs of the Brookside and Sankaty funds, which are affiliated funds of Fund VII.

It then goes on to list 18 managers of the private equity fund. Mitt Romney is not among them. Same goes for an affiliated co-investment fund, whose private placement memorandum is dated September 2000.

Then there is Bain Capital Venture Fund -- the firm's first dedicated venture capital effort -- whose private placement memorandum is dated January 2001. Romney also isn't listed among its "key investment professionals," or as part of its day-to-day operations or investment committee.

<...>

http://finance.fortune.cnn.com/2012/07/12/mitt-romney-bain-exit/

Come on Fortune, release the documents. I mean, that snip is absolutely useless. Also, where are Mitt's tax returns? And please explain this:


http://www.democraticunderground.com/1002935125

[GarroHorus]

1. This could end up bringing down Bain, they lied to their investors or they lied to the SEC

Both cannot be true.

[JoePhilly]

2. I have a simple question ... was Romney PAID CEO bucks?

Was Romney getting paid by Bain after 1999? Yes or no.

[kestrel91316]

5. Hmmm, maybe THAT'S why he refuses to release old tax returns.......

[uponit7771]

8. Better yet did he take any tax deductions from them, he can list payments as "gifts" or some other

...shit but there's no way he's going to claim mileage or ....business use of home or car as "gifts".

The tax thing is a big issue

[C_U_L8R]

3. Tell it to the SEC... and

show your damn tax returns. Willard.

[democrat_patriot]

4. Fortune: "Bain BROCHURE trumps SEC filings".

Some investment pamphlet not listing Romney somehow is more credible than SEC filings? Sure it wasn't a typo by an intern?

[uponit7771]

7. EXCELLENT catch...either one is a litigation nightmare

[JoePhilly]

9. +1

[uponit7771]

6. *****SHOW THE TAXES, THAT WOULD TELL EVERYTHING!!***** If he wasn't in control then he doesn't

...get any tax benefits from working at the firm.

If he got tax benefits then he lied to the IRS and the SEC.

Show the taxes rMoney

[ProgressiveEconomist]

10. What would the IRS do to someone who had a 'no-show job'

designed to take advantage of "carried interest" tax rates of 15 percent?

IMO getting Romney to disclose his "retirement agreement" with Bain is just as important as getting him to release his federal and state tax returns back to at least 1998.

It could be that Romney filed at "carried interest" rates for compensation--not investment--all the way to 2009. That would explain why he won't release any returns earlier than those for 2010.

[chelsea0011]

11. Is the RW calling Fortune magazine a liberal rag yet?

[Coexist]

12. so because he isn't listed as managing funds.. he didn't work there?

really? didn't have input into the decision making process? really???