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For BBB the fraud is that the execs knew it was failing, used the debt to cash out. Maybe they lied to retail-investors but typically one has to tell the financ

For BBB the fraud is that the execs knew it was failing, used the debt to cash out. Maybe they lied to retail-investors but typically one has to tell the financier what the debt is for and then not doing that is a contract breach which could be labeled fraud.

JackFr 3y ago
They lied to no one. I don't believe anyone has questioned the financials. I find it amusing that everyone has sympathy for the the shareholders (who were given an opportunity to get out), while no one seems to feel a bit of sympathy for the bond holders. If anyone was defrauded (and personally I don't believe anyone was) it was them.