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...never made it illegal for them to do so. Seizing on that loophole, Paribas reduced its stake in its Swiss subsidiary, Paribas Suisse S.A., from 72% to less than 50%, thus allowing other interests to gain control. While this was going on, a little-known Swiss holding company named Pargesa S.A. was receiving what seemed to be a miraculous infusion of capital: its assets ballooned from $25,000 to $140 million in a month's time. The owners of the newly rich Pargesa, it turned out, were the Becker Group Inc., an American subsidiary of Paribas, together with Canadian...

Author: /time Magazine | Title: Capitalist Scam | 11/9/1981 | See Source »

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