MP Evans, REA and foolish lawyers

MP Evans (MPE) reported a couple of days ago. It was a strong statement. And it finished off with the directors’ advice that in their view the shares are worth £11 in contrast with their current £7.50. The directors are sensible people and their view should be taken seriously.

Indeed, day after day, MPE keeps buying in its own capital and, seemingly, it is only a matter of time before KLK bids again. So what do KLK bid at? It is hard to see £11 being their first choice. KLK might think they’ll get away with it at, say, £10.25. Obviously, KLK are conscious that when KLK last bid MPE’s board immediately rolled out 55% of its shares who wholly supported the board. It’s difficult to tell but it is surely fair to reckon that MPE is still a buy at current levels.

But not as much a buy as is REA (RE.). This still stands at 325p as against its eventual take out price of £7. The directors of RE. know those of MPE intimately – after all they are often one and the same. So, rather than buy MPE I’d take RE..

*****

Another two LIBOR defendants were yesterday acquitted after God alone knows how many false starts by the SFO. The SFO’s David Green would blame the lawyers from whom the SFO took advice prior to prosecuting. And the lawyers would say that they were merely processing evidence etc. etc..

My view is more radical: the majority of lawyers do not understand the nature of money and how it is made. Society has therefore appointed a group that is conspicuously incompetent to judge.

Again, I would not mind personally since I am nothing to do with LIBOR. But Tom Hayes is sat in a jail while the Criminal Cases Review Commission wends its weary way. This costs the taxpayer £50,000 p.a. and renders the average citizen increasingly sceptical about lawyers: it should be remembered that a lawyer should be regarded as a fool until events prove otherwise.

*****

Gove wants Vat on school fees. Surely Vat should be levied on air fares, overseas holidays and expensively packaged food long before the state seeks to deter the efforts of parents doing the best they can for their children (and therefore the state). If of course Gove simply wants to close down private education he should say so.

*****

Finally, I lunched with the chairman and a few others on Wednesday one of whom was Kwasi Kwarteng, Tory MP for Spelthorne. He was in Libya a few days ago and it is clear to him that we have achieved nothing there other than to contribute to the undiluted chaos. I trust his judgement.