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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: Arthur Radley who wrote (260317)	6/1/2002 6:47:15 PM
From: Raymond Duray	Respond to of 769667

SHAREHOLDER LAWSUIT OVER NABORS INDUSTRIES TAX RIP-OFF TexasDude, Re: Arianna's Exposure of GOP hypocrisy about "Who's a Patriot? The CEO who wins by cheating the IRS. Complainers are traitors!" The latest insult to our nation by its so-called "leaders". Hah! They're all a bunch of "leavers". Leaving the real citizens holding an empty bag. nytimes.com Nabors Shareholder Files Suit on Plan to Move to Bermuda By DAVID CAY JOHNSTON Nabors Industries, another big company planning to move to Bermuda in address only so it can sharply reduce its United States taxes, misled shareholders about the costs of the plan while withholding critical information about the dangers, according to a lawsuit filed on Thursday in Federal District Court in Houston. Up to half of shareholders' gains in Nabors stock could be wiped out with no future benefit if the Bermuda transaction is completed and then later disallowed by the Internal Revenue Service or by Congress, the suit says. The suit also accuses Nabors directors of arranging their own pay on terms that benefit them at the expense of the shareholders they represent. It says the directors issued a "false and misleading proxy statement" about the transaction that fails to give shareholders adequate warning of their diminished rights under Bermuda law. Nabors, the nation's largest oil drilling company, which is based in Houston, declined to comment on the suit. It was filed on behalf of Steve Rosenberg and all other shareholders by Kirby McInerney & Squire, a New York law firm that specializes in such suits on behalf of shareholders. The firm asked the court to give the suit class-action status. The suit comes as the A.F.L.-C.I.O. and some shareholder rights groups are organizing opposition to the Nabors plan. They say that shareholders will have reduced rights and that Nabors managers, already highly paid, will be able to increase their pay after the Bermuda move. Ingersoll-Rand, Cooper Industries and two dozen other publicly traded companies have already reincorporated in Bermuda, moving in address only, to reduce their taxes. Stanley Works, the consulting arm of PricewaterhouseCoopers and other companies are doing so. Nabors's annual meeting will be held Tuesday in Houston, and the shareholder vote on the Bermuda move will be held 10 days later. The lawsuit asks that Nabors be required to make further disclosures, especially about shareholder rights and financial benefits, and that the vote be delayed until then.