TOPEKA, Kan. – While Greg Orman touts his small business "plan" during today's debate in Johnson County, Mr. Orman is apparently incapable or unwilling to practice what he preaches.
“Greg Orman’s own business career has been built on tax havens and convicted Wall Street felons, and it is riddled with bankruptcies, lawsuits and layoffs. While Mr. Orman attempts to hide from his past, the truth is a vote for Greg Orman is a vote to hand over the future of Kansas and the country to Harry Reid and Barack Obama.”
The plan outlined below is the business plan Greg Orman would release if he were being honest with Kansas voters about his shady background and his record as a liberal Democrat.
Step One: Hide Your Money in Tax Havens
Orman has more business experience in tax havens than Kansas. Just 21% of the businesses [9 of 42] Orman reported in personal financial disclosure are actually incorporated in Kansas. Instead, over 40% are incorporated in states that are considered tax havens [17 in Nevada, 2 in Delaware], and one is incorporated in an offshore tax haven [Cayman Islands]. (U.S. Senate, Personal Financial Disclosure - Greg Orman, Filed September 22, 2014; Multi-State Business Databases, Accessed September 22-23, 2014)
Step Two: Layoff Hardworking Middle-Class Families to Make a Profit
Orman’s business experience has been tough on hard-working families. In 2001, contractors filed $1.3 million in mechanic’s liens against Orman’s biggest business [FRM Associates LLC] for failure to pay them for their services. In 2002, Orman announced a telecom business had laid off 45% of its work force less than one year after he stated there were no plans for such layoffs. (Mechanics Liens - Hennepin County, Lien Records, Accessed 2014; Layoffs - Kansas City Star, January 1, 2002; St. Louis Post-Dispatch, February 1, 2001)
Step Three: Refuse to Pay Your Bills – Wait for Million Dollar Lawsuits
Orman is not a good person to do business with. Orman is currently being sued for a $30 million breach of contract [Combat Brands LLC], his aggressive 2001 takeover of a telecom business resulted in a $15 million breach of contract lawsuit that reached the Missouri Supreme Court, and he was sued in 2009 for breaching the contract of a $1.9 million loan. (Combat Brands - The Associated Press, September 8, 2014; Missouri Lawsuit - Lloyd’s Corporate Litigation Reporter, October 21, 2008; 2009 Lawsuit - Kansas City Star, June 24, 2009)
Step Four: When In Doubt, Run to Wall Street Criminal Friends
Orman’s two most prominent business partners have a history of run-ins with the SEC. Despite Orman’s best efforts [hundreds of hours crafting legal defense, leaking documents, and playing a part in a last-ditch legal strategy] to keep his business partner Rajat Gupta out of prison, he is serving time for insider trading. And when the Minneapolis Star Tribune reported on Arthur Petrie’s failures - including run-ins with the SEC - Orman touted his business partner’s savvy. (http://therealorman.com/#court; Star Tribune, January 7, 2000 )
Orman is still in business with an imprisoned Wall Street criminal. After Rajat Gupta was convicted, he hand-picked Orman - his personal financial advisor - to serve as 1 of 2 board members of his Cayman Islands-based $1.2 billion private equity fund. According to an SEC report from 2013, Orman served as a director and also as an indirect owner of the fund alongside the convicted Gupta. Moreover, Orman signed a business filing this year that showed him and Gupta as co-owners of a wealth management firm in Kansas [Exemplar Wealth Management LLC] – the same firm that keeps the books for Gupta’s foundation. (http://therealorman.com/#court; Star Tribune, January 7, 2000 )
Step Five: Invest Profits with National Democrat Leaders
Orman has given thousands of dollars to Barack Obama, Harry Reid, Hillary Clinton and the Kansas Democratic Party. Recently, The Associated Press reported that Orman has made campaign donations to President Obama and Hillary Clinton. FEC records also indicate that he has donated to Senate Majority Leader Harry Reid. (The Associated Press, August 7, 2014; FEC, Donor Database, Accessed September 7, 2014)