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If feels sinister because the company didn't need to borrow money.

A business that was adequately servicing investors, employees, and customers, has been destroyed because a small group tried to extract more wealth from the company than it could sustain.




It looks almost like fraud, an exploit using an edge condition.

* Buy a working company.

* Borrow a ton of money, siphon it out.

* Bankrupt the company which is liquidated for much less than the amount borrowed.

* The lenders are left holding the bag.




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