Once again former Household International CEO and head of Capmark Financial Group – the famous William F. Aldinger – escapes just in time. A few months ago William F. Aldinger retired as the head of Capmark. Now banks are again finding themselves vulnerable.
JPMorgan Chase & Co and Deutsche Bank AG, which hold $1.2 billion of Capmark Financial Group Inc loans, are among banks demanding collateral in exchange for loosening terms that put it at risk of default, Bloomberg said, citing people familiar with the matter.
Let’s re-visit Aldinger after he sold predatory lender Household International to HSBC, and worked for HSBC for two years before such lending resulted in a worldwide financial crisis:
By Michael Skapinker
Published: March 23 2009 19:28 | Last updated: March 23 2009 19:28
In 2003, I wrote about HSBC’s policy on corporate jets. I could more or less understand why William Aldinger, then the bank’s newly appointed US director, was allowed to use the aircraft for company business, but why to go on holiday?
Also, if Mr Aldinger needed help dealing with his $37.5m remuneration, surely he could pay for it himself. Why was the bank giving him $500,000 worth of financial advice? The answer appeared to be that this was normal US practice.
See Michael Skapinker’s full article here
See the article ‘Banks press Capmark on loans’ here
If nothing else, William F. Aldinger has a good sense of timing. Unlike Bernard Madoff, Aldinger does not stick around too long. I’m sure Aldinger also has a directors insurance policy, and his retirements exclude him from any liability, or, as a minimum, his former employers must pick up the tab.
Aldinger is like a thief in the night. If HSBC or Capmark think Aldinger would not tell everything he knows in exchange for full immunity they are totally wrong. Aldinger holds no loyalty to anyone other than William F. Aldinger.
Related posts:
[...] Here (2) Capmark under pressure after William F. Aldinger departure, Household – HSBC Watch, Here (3) Subprime and college educations – an analogy worthy of investigation, Mortgage Blues, Here Ads [...]