Dummy corporation
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A dummy corporation or dummy company is an entity created to serve as a front or cover for one or more legitimate companies. It can have the appearance of being real (logo, website, public relations) but lacks the capacity to function independently. The goal of dummy corporation can be to conceal true ownership and/or avoid taxes. A dummy corporation is one way to cook the books in a dishonest attempt to hide the true financial status of a company.
An example of a dummy company is the now-defunct Japan Asia Airways (JAA). JAA was a fully-owned subsidiary company owned by Japan Airlines (JAL) designed to fly Japan-Taiwan route, which was a politically sensitive issue due to Japan's normalization of relations with the People's Republic of China.
[edit] Dummy corporations in popular culture
•A 1993 episode of Batman: The Animated Series was focused entirely on the Batmobile and how Batman bankrolls an unemployed African-American car mechanic to keep the Batmobile in good working order in a secret garage. The Penguin learns that special car parts have all been going to Gotham City and are all paid for by one man; with all signs pointing to Batman as the customer and wanting the parts to fix and upgrade the Batmobile. The Penguin uses this information to find the car mechanic and kidnap his daughter; threatening harm if he does not engage in sabotage against the Batmobile. (This plotline was also used as part of the film Batman Returns, although the Penguin himself sabotaged the Batmobile). Batman rescues the mechanic's daughter and says he is to blame for their danger as he was too careless with the Batmobile's records. Batman then tells the mechanic and his daughter they will be protected by new layers of paperwork he has created for the Batmobile's upkeep, back ordered from dummy corporations to stop any more traces to its repair.
•A sketch on In Living Color was titled "One Night Stand", about Jim Carrey working as an employee of a men's club called the "One Night Stand", where men come to cover themselves when they engage in adultery and unfaithful behavior. Tommy Davidson and a friend are helped out by Jim Carrey, who is easily able to replace his lost wedding ring since it came from the Home Shopping Network, and the club has a doctor who checks the men for sexually transmitted disease. One man suddenly runs in the club in a panic, claiming a private investigator had been stalking him on his infidelity and now him and the entire club are in danger. Jim Carrey then orders lawyers and yells "Get this man help! Get this man lawyers! We are setting up a dummy corporation!"
