Thursday, June 21, 2007
As the Blackstone Group's IPO approaches, Congress has been debating the tax treatment of private equity firms. Yesterday Senator Jim Webb (D. Va) raised another concern and asked the SEC to delay the IPO. citing national security concerns stemming from China's $3 billion investment. In a letter, he asked how the US "would prevent the transfer of sensitive national security information associated with the transaction." See WPost, Efforts Grow To Waylay Blackstone Stock Sale; WSJ, Proposed Higher Tax Rate Aimed At Buyout Shops May Get Sterner. The WSJ website has the letter.