Chapter 14 - RAYMOND’S BUSINESS PROBLEM
Raymond’s governance plan created a separate issue.
He had represented to two joint-venture boards that:
“Next-generation family alignment has been agreed in principle.”
Had it?
No.
Travis agreed.
Raymond agreed.
I did not.
Did that amount to fraud?
Not necessarily.
“Agreed in principle” can be vague.
Still, board minutes recorded the statement as if both families supported future consolidation.
Our counsel formally corrected the record.
That damaged Raymond’s credibility.
Then one financing discussion.
A bank considering refinancing a joint resort project had been told that future governance risk would decrease because:
“The Kane and Fiorentino successor interests are being unified.”
The bank had not relied on that statement to advance money.
No loss.
No bank-fraud fantasy.
But the representation became part of the internal governance review.
Raymond had been selling a future before I signed it.
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That was the pattern.
The gala was only the most visible version.
