Quote from: seafoid on September 11, 2023, 08:39:01 AM
I didn't know this :
"To stop him selling, flooding the market and destabilising the bank, Anglo lent him the money to pay the margin calls"
I think thats been the argument, that Anglo took actions to prop up the price and that without this when the share price went against him initially he would have closed out the CFDs, taken the hit of a few hundred million and moved on. The issue was that transactions involving this volume of shares would have negatively impacted the share price further which is why Anglo bosses took steps to avoid this happening. By staying in longer the scale of his losses grew exponetially as the share price fell further.
Above all caveated by its my hazy memory of the news reports, could be completely wrong. In any case, I assume that if Quinn Group had decided to take the hit, either before Anglo got involved or by telling them that it was not interested in the plan they pulled together they could have done so. It would have been catastrophic for Anglo and a massive financial hit for QG to close out the CFDs but the Group would have survived. They chose to go along with the Anglo plan and the most likely assumption is that this was to try to reduce Group losses. The legality actions of Anglo/Receivers etc after this I think is a separate conversation.