Harken Energy
From Wikipedia, the free encyclopedia
| Harken Energy Corporation | |
|---|---|
| Type | Public company (AMEX: HKN) |
| Founded | Southlake, Texas, USA (1973) |
| Headquarters | Southlake, Texas |
| Industry | Oil and gas |
| Services | Oil and gas exploration and production |
| Website | www.harkenenergy.com |
Harken Energy Corporation is an American oil and gas company, headquartered in Southlake, Texas. Its shares trade publicly on the American Stock Exchange.
Contents |
[edit] History
The company began as an unprofitable collection of Texas oil wells for investors seeking tax write-offs. [1]
George Soros was a part owner of Harken in 1986 when the company bought Spectrum 7 even though it had reported a net loss of $1.5 million the previous year.[citation needed] This transaction is considered to be a white knight deal, with Soros subsequently claiming the purchase was more about acquiring political influence.
In 1986 Arbusto Energy was bought by Harken for $2.2 million. As part of the deal George W. Bush served on Harken's board of directors through to 1993. He was also paid fees as a consultant for the company.[2]
In 1987 Talat M. Othman joined the board of the company and served as the chair of the Audit Committee.
Aloha Petroleum was sold in a controversial deal in which Harken's equity stake in Aloha was turned into a loan, thereby disguising financial loses.[citation needed] This questionable accounting technique of inflated profits was also used by Enron, resulting in the Enron scandal.
[edit] Insider trading allegations
Harken has attracted attention because of the role played in its affairs in the 1980s by George W. Bush, later the President of the United States. On the 22 June 1990, Bush while a director of the company, sold stock in Harken shortly before the company announced substantial losses.[3] This transaction resulted in a U.S. Securities and Exchange Commission investigation of probable insider trading.
- See also: George W. Bush, business and early political career and George W. Bush insider trading allegations
A Harken transaction associated with the endowment fund of Harvard University has also been questioned; see Harken Energy Scandal and Harken board member from Harvard, Michael R. Eisenson.
[edit] Further reading
- Harken Energy - George W.'s perfect storm
- Mike Allen and George Lardner Jr., "Papers Offer Details on Bush Knowledge Motive for Stock Sale In '90 Remains Unclear", Washington Post Sunday, July 14, 2002; Page A01
[edit] References
- ^ Harken Energy Chronology. Scoop. Retrieved on 2008-01-08.
- ^ The Truth About Bush and Harken Energy Corp.. Retrieved on 2008-01-13.
- ^ Bush and Harken Energy. Guardian Unlimited. Retrieved on 2008-01-08.
