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'Skunk Bond warning from the leading financial columnist

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[QUOTE=coalition;1128719]Anthony Hilton is scared at the amount and risky quality of the 'skunk' bonds issued by less than financially secure corporations, and so he should be.
[URL]http://www.standard.co.uk/business/markets/anthony-hilton-law-is-turning-holidays-into-a-battlefield-9808044.html[/URL]


All this is good news, but it can also be a bit scary. Last week, for example, the organisation behind the Eden Project — the Cornwall ecology attraction — used the Crowdcube platform to market a mini-bond. It reached its initial target of £1 million in just five hours, and the full £1.5 million issue was forthcoming in less than 24 hours from 355 subscribers.

[B]All this is good news, but it can also be a bit scary. Last week, for example, the organisation behind the Eden Project — the Cornwall ecology attraction — used the Crowdcube platform to market a mini-bond. It reached its initial target of £1 million in just five hours, and the full £1.5 million issue was forthcoming in less than 24 hours from 355 subscribers.
[/B]In the past three and a half years Cornwall Council has put £1.3million into the tourist attraction, £345,000 in direct funding and £194,833 for “everyday business” as well as contributing £815,108 via “third parties”.
Now the authority admits payments of around £205,000 were left off its transparency report “in error”.
Despite the financial aid, the Eden Project, which gathers together plants from all round the world, has had to make about 60 workers redundant this year. Falling attendances and financial losses have been blamed.
According to an Eden Project spokesman, the attraction has generated more than £1billion for the wider Cornish economy and has been credited with creating 2,000 jobs elsewhere.

He claimed it would be fundamentally wrong to suggest Eden is dependent on local authority funding.
[URL]http://www.express.co.uk/news/nature/450880/Money-trouble-in-paradise-for-the-Eden-Project[/URL]

Watch this space.....[/QUOTE]
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