Reply #2: Wait Until You See Halliburton's Specious Legal Arguments

[CorpGovActivist]

An excerpt from today's filing:
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President Bush's Call for Corporate Accountability Not Just an Applause Line, Smith Says

Smith reminds David J. Lesar and the non-management Directors of the words that President Bush spoke before a Joint Session of Congress, during his 2002 State of the Union speechification (the following is taken directly from the White House website): "A good job should lead to security in retirement. I ask Congress to enact new safeguards for 401K and pension plans. (Applause.) Employees who have worked hard and saved all their lives should not have to risk losing everything if their company fails. (Applause.) Through stricter accounting standards and tougher disclosure requirements, corporate America must be made more accountable to employees and shareholders and held to the highest standards of conduct. (Applause.)"

Smith says: "Did the President have his fingers crossed behind his back when he said that? Two people would know: Dick Cheney and Dennis Hastert, the officers who sit behind the President during this annual speechifying event. My reading of the President's speech does not include language that says, 'except for Davey Boy Lesar down there in Houston, who is doing a heckuva job,' or any other escape clause. So, to Mr. Lesar, I would simply say: the President's call for corporate accountability included you, and his call for 'security in retirement' includes honoring the Company's obligations to the Dresser retirees - even if it means you go without a bonus this year."

Smith adds: "And I don't hide behind paid corporate mouthpieces. Maybe Mr. Lesar has a satisfactory explanation for using the Halliburton owners' capital to pay the legal fees to attempt to deny the Dresser retirees' medical coverage. If so, I'm all ears. If so, I look forward to sharing Mr. Lesar's deposition testimony on the subject with other shareholders, so that they can understand the legal 'strategery' that went into pursuing this matter to the Fifth Circuit."
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If/when you actually read the arguments that Halliburton advanced in the actual court filings, your blood will probably boil.

- Dave