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[News] Microsoft-SCO Connection Tighter Than Originally Thought

The Goldfarb Declaration - Updated: MS Statement

,----[ Quote ]
| According to the Declaration, Richard Emerson was not the only
| Microsoft employee Goldfarb was dealing with in connection with the
| BayStar investment in SCO. He mentions by name two others, from two
| other departments.
`----

http://www.groklaw.net/article.php?story=20061009152706664

For context:

IBM's Memo in Support of its Motion for SJ on SCO's Interference Claims

,----[ Quote ]
| BayStar, Goldfarb testifies, dumped SCO because its stock price,
| financial performance and the viability of its UNIX products
| all appeared to be in decline, and he "was also very concerned
| about SCO's high cash burn rate." Pure financial animals get
| nervous when that happens. But the kicker was he began to
| realize that Microsoft, whose senior VP of corporate
| development and strategy had promised that Microsoft would in
| some way guarantee the SCO investment, started showing signs
| it might not do that after all:
| 
|     "Mr. Emerson and I discussed a variety of investment
| structures wherein Microsoft would 'backstop,' or guarantee in
| some way, BayStar's investment.... Microsoft assured me that
| it would in some way guarantee BayStar's investment in SCO." 
| 
| Let me interrupt my narrative to quickly ask, Why ever would
| Microsoft guarantee BayStar's investment in SCO? What would be
| the business purpose here? What would Microsoft's benefit or
| payback be? What were they hoping for as the return on the
| investment? And why didn't they wish to invest directly? Pray
| do explain. Joke. Joke. Anyhow, after the investment was
| made, Goldfarb says, "Microsoft stopped returning my phone
| calls and emails, and to the best of my knowledge, Mr.
| Emerson was fired from Microsoft."
| 
| Ah! The well-known Microsoft 180. Kiss kiss, let's do a
| deal. Drop dead. 
`----

http://www.groklaw.net/article.php?story=2006100801442692

Also see:

,----[ Quote ]
| "There you have it. At least a third of SCO's entire market
| capitalization, and their entire current cash reserves, is payoffs
| funnelled from Microsoft. Their 10Qs reveal that every other line of
| cash inflow is statistical noise by comparison. The brave new
| SCO source business model is now clear: sue your customers, shill
| for Microsoft, kite your stock, and pray you stay out of jail."
`----

http://www.catb.org/~esr/halloween/halloween10.html

This also appeared in the Wall Street Journal, CNET, ZDNet, and other
prominent outlets. The public will become aware of Microsoft's fraudulent,
anti-completive and IBM /et al/ could probably sue for damages.

http://finance.yahoo.com/q/bc?s=SCOX&t=1y&l=on&z=m&q=l&c=

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