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Truth in Business

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Thought it was worth opening this topic in light of the court case in Brisbane investigating the economics behind Adanis quest for a huge new coal mine.

Simple story is that Adanis business case for the coal mine projected $22b income (royalaties and taxes) for Queensland/Commonwealth government and 10,000 jobs. Very remarkable and encouraging..

When Adanai's CFO took the stand it became clear that in fact there might be $7.8b in royalities and taxes and perhaps 1482 jobs...

And then when they examined things like the real price of coal, interest costs on debt, rail costs and so on these figures evaporated.

There was nothing complex in these calculations. Every single person on this Forum would understand the figures.

The question is " What do we do about businesss that make up totally fictitious accounts to justify developments that will have serious consequences for the rest of us "

http://www.canberratimes.com.au/bus...-is-far-from-rolled-gold-20150501-1mxi3c.html
 

tech/a

No Ordinary Duck
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Was this an episode of "Shark Tank" ?
 
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The question is " What do we do about businesss that make up totally fictitious accounts to justify developments that will have serious consequences for the rest of us "
Reach for the sky pardner. You mean the governments that claim the MRRT and the RSPT are going to bring in billions of dollars in revenue and when the Treasury forecasts billions of dollars in revenue from the straight forward Mining Tax and did not factor in that resources have dropped in price? You mean like that?

So far as I understand it that has been the business model from the beginning of time. Sell the sizzle and not the steak. Let the bean counters sort it out when it goes bankrupt. ASIC gets involved and they (proponents of the scheme) get a slap on the wrist with millions of dollars being wasted with a Coronial Inquiry? You mean like that?

Why doesn't the government have a regulator that looks at these things with a cynical eye prior to the bovine excrement hitting the spinning blades which then in turn lands on the great unwashed masses to pick up the pieces yet again. :confused:

As in someone who actually looks at the figures and yells POPPYCOCK !
 

pixel

DIY Trader
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Was this an episode of "Shark Tank" ?
It wasn't, obviously!
Those Sharks operate with a very sharp pencil and BS Detectors set on High.

But thanks, tech/a: It's a brilliant idea to bring them into the debate. Given that Officials in Governments and Public Service at every level lack the basic skills required, why don't we establish a Shark Think Tank of scrutineers that have those proven skills. It would save $Billions :2twocents
 
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Given that Officials in Governments and Public Service at every level lack the basic skills required, why don't we establish a Shark Think Tank of scrutineers that have those proven skills.
A few days ago a former colleague handed me an internal government report asking for my feedback.

In short, it's the old "outsourcing" scam. Private contractor wants to take on the work, and they'll do fully 30% of the work for 80% of the cost of the current in-house operation, with an overall cost increase of around 35% across the whole operation.

No prizes for guessing that the report recommends the outsourcing proceed. :banghead:
 
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