Privatizing

Abstract

When politicians redistribute public wealth by privatizing State-Owned Enterprises ( SOE ), they divest themselves of public accountability, and profoundly affect laws, economics, and social behavior. Data gathered from respondents in twenty-eight countries including lawyers, investment bankers, bureaucrats, and educators, identify beneficiaries and victims of privatizing processes. Results are then explained by statistical analysis, concluding with compensatory arrangements that can humanize privatizing.

About the Author

HERBERT B. SIEGEL 854 E. Broadway Long Beach, NY 11561 e-mail: Herb515@rcn.com Executive Summary Certified Professional Management Consultant. Expert Witness in Business, Bankruptcy and International Disputes. Chief Executive Officer of Major Public Companies. Business Appraiser. More than 25 years Experience in Domestic and Multinational Industries. Ph.D. in International Business Law. Academy Certified Diplomate. Author of over 25 Professional Publications and Presentations on Management, Administration, Corporate Finance, Turnarounds, and Privatization. INDUSTRIAL EXPERIENCE 1989 - Present Founder, and Principal Officer, of The Whitestone Consulting Group, Ltd., of New York, California, and Arizona, (www.whitestoneltd.com) a firm of professional management and turnaround consultants providing business services across a wide spectrum of industries. A partial list of our expertise includes electronics, telecommunications, video conferencing, jewelry fabrications, commercial lenders, manufacturers of precision components, electronic assemblies, furniture, and apparel products, retail specialty chains and department stores, multinational corporations, exothermic chemical fractionators, Calcining aggregates, oil refineries, restaurant installations, Multi-national Corporations, and other service providers (Partial list of clients available on request). Professional assignments include expert witness reports and testimony, preparing comprehensive business plans for impending IPOs and investment banking opportunities, strategic marketing studies, merger and acquisition studies, forensic audits and business appraisals, corporate rehabilitation plans, ISO qualifying methodologies, implementing corporate governance policies, intellectual property protection, supply chain and materials handling systems, business valuations, litigation counseling, Privatizing State-Owned enterprises, Comparative legal Systems, Legal systems in radically different cultures, and multi-national reorganization programs. 1983 - 1989 President, and Chief Operating Officer of Deerhill Development Corporation and Subsidiaries (Sales:$250 million): - Seal-Kap Packaging Company, a manufacturer of food and drink containers. - Quaker City Steel Corporation, a quasi-public steel mill and metal products fabricator. - J. Ramsey Reese, Inc., a multiple-facility fabricator of high precision electronic, metal and plastic components. - JRR-BC Buying Consortium, Inc., an outsourced buying agency for Fortune 500 manufacturers. - Columbia Professional Baseball Team, Inc. (NY Mets farm team 1979 - 1982 President and Chief Operating Officer of National Silver Industries, Inc., and Subsidiaries (Sales: $200 million; AMEX symbol: NSI), a multinational import/exporter of precious metals and giftware items, and fabricator of House wares and silver-plated Hollowware. - F.B. Rogers Silver Company - National Silver Company, Inc. - NSI International (Italy, Japan, Taiwan, China, and Columbia) 1971 - 1978 President, Chief Executive Officer, and Trustee in bankruptcy reorganization of Interstate Stores, Inc., name changed to Toys R Us. (Sales: $10.5 billion; NYSE symbol: TRU), a retail chain of 800 specialty stores, 50 major department stores, 125 Topps discount stores, and 125 White-Front discount appliance stores. FORMER OUTSIDE DIRECTORSHIPS - Neisner Bros. Department Stores Court-Appointed Bankruptcy Trustee - National Coin Entertainment, Inc. - Interim President, Amusement Ride Manufacturer - CorpFinance International, Inc. Investment Banker - Fin-Tec Service Corporation Interim Chairman, Manufacturer of Video Phones -The Dime Savings Bank of Williamsburg Chairman: Mortgage, Real Estate Valuation, Auditing, and Executive committees of a $1 billion Savings Bank. - Silver-Gull Realty Corporation Major shareholder in Pacific Rim land developer. - Havemeyer Equities, Inc. Director- Bank holding company for foreclosed real estate -Interstate Department Stores Chairman: Public Holding Company for 950 Retail Stores -United Cerebral Palsy Association of Nassau, Inc. Non-paid Director, Executive vice-president and budget committee Chair for major rehabilitation and residential care organization in New York State. -Lionville Packing Company, Inc. Interim President of manufacturer of collectible cold drink lids for fast food franchisers -Motorcycle Malls of America, Inc. Consultant to Chairman of National chain of rest stops for cyclists. -Coast-To-Coast Marketing Company of America, Inc. Director- International marketing strategists and distributors of tools, hardwares, electronics, and Video-Phones. - NY-Pacific Exchange, Inc. Director- Real Estate investment corporation on Guam. - Advanced Rehabilitation Centers Director- State-of-the-art physical therapy clinics. - Pain Control Centers of Brandon, Inc. Director- Chain of kinetic rehabilitation facilities. - Emle Industries, Inc. Interim President of Hosiery Manufacturer - Swissco Industries, Inc. Interim President of manufacturer of automotive components PROFESSIONAL AFFILIATIONS American Bar Association (Associate) International Bar Association American Academy of Professional Consultants and Experts American Bankruptcy Institute American Consultants League American Lawyer Expert Witness & Consultants Network American Management Association American MENSA, Ltd. Institute of Business Appraisers International Association of Jewish Lawyers and Jurists International Studies Association National Poet s Society New York Academy of Sciences New York University Alumni Club Prime Raters Financial Club Society of Professionals in Dispute Resolution (SPIDR) TASA Turnaround Management Association United Cerebral Palsy Who s Who in America ACCREDITATIONS Arbitrator/ Mediator Certified Professional Consultant Chartered Consultant (U.K.) Expert Witness Thesis Examiner - Rutgers University, Graduate School of Banking Guest Lecturer: Yale University, Graduate School of Management and Organization. : New York Board of Realtors. : Prime Raters Financial Club Security Clearance: Top Secret Codeword (inactive) PUBLICATIONS AND PRESENTATIONS Chapter Ten from a Trustee s View, The Financial Executive, July 1983. The Entropy of the Deficit, San Francisco Times, February 1995. Corporate Rehabilitation s After Bankruptcy, A Thesis, September 1995 The Masquerade of Cost-Cutting, The Financial Times, March 1996. Market Economics For Multinational Corporations, The Harvard Business Review, January 1997 International Trade and The Competitive Environment: (How Trade- related Disputes Affect Labor, Business, Government, and Laws), The Financial Times, July 1997 Statistics That Measure The Wealth of Multinational Companies, The International Executive, June 1998 Privatizing: A Social Milestone or Millstone? A Published Doctoral Dissertation, June 1999 Lecture Series: -Leadership Techniques. -Strategic Marketing Processes. -Statistics: How They Work, and Their Usage. -Operating Projections: Methodologies and Usage. -Accounting Strategies For Multinational Corporations. -Developments in Organizational Behavior in International Business Environments. Other Articles & Presentations: -Avoiding Escalation in Business Conflicts. -Detecting Bias, Finagling, and Fraud in Publicly Owned Companies. -Fraudulent Research. -The Scientific Revolution. -The Clash Between Eastern Culture and Western Law. -Organized Business Writings. -Aristocracizing America. -Humanizing Privatization. -Restructuring Corporate America. -Using Cultural Persuasions in Multinational Business Environments. -The Changing American Business Culture. -Re-educating the Socially Handicapped. -Calculating Business Risks. -The Trend to Disenfranchise Corporate Chiefs. -Industrial Transformation or Progress by Accident? LANGUAGES: Comprehensible Russian; Conversational proficiency in German. EDUCATION: Columbia Pacific University, BA, Management & Administration NYU, Graduate School of Business, MBA program (Corporate Finance) Harvard University, Graduate School of Business, Executive Training Program Columbia Pacific University, Ph.D.- International Business Law Post Doctoral: - American Academy of Certified Consultants and Experts, Diplomate, ACD - The College of Law of England and Wales, International Practice Diploma Programme on International Mergers and Acquisitions