Big Pharma corporations like Pfizer, Novartis, Glaxosmithkline, - as well as over 60% of Fortune 500 multinationals, all maintain entities in Delaware, taking full advantage of ring-fenced legal and financial opacity tools. In addition to banking secrecy and zero disclosure of beneficial owners, Delaware allows for parent companies to establish holding companies within two days, producing nothing, conducting no economic activity in the state, and generally hosting just one shareholder (the parent company). Such entities, allowing the parent company to pay the newly created entity a 'fee' for use of IP, serves as a passive conduit converting taxable income to passive non-taxable profit. The entity's sole purpose is to own and 'manage' laundered income generated from IP.
Alex Parker on 04 Feb 15With many UK rail fares rising well beyond inflation since privatisation in 1993, high customer costs risk damaging rail travel's value proposition as an alternative to the road. Why hasn't private sector competition brought lower fares as some might have expected, and does nationalisation offer the prospect of a clearer and more reasonable fare system?
