What, exactly, is the difference between what David Sokol did at Berkshire Hathaway:
Sokol, 54, bought about 96,000 Lubrizol Corp. (L) shares in January, less than two weeks before recommending the company as a target, Buffett said yesterday in a statement. Sokol had started confidential talks with Lubrizol the month before.
And what George Washington Plunkitt called, "honest graft"?
EVERYBODY is talkin' these days about Tammany men growin' rich on graft, but nobody thinks of drawin' the distinction between honest graft and dishonest graft. There's all the difference in the world between the two. Yes, many of our men have grown rich in politics. I have myself. I've made a big fortune out of the game, and I'm gettin' richer every day, but I've not gone in for dishonest graft--blackmailin' gamblers, saloonkeepers, disorderly people, etc.--and neither has any of the men who have made big fortunes in politics.
There's an honest graft, and I'm an example of how it works. I might sum up the whole thing by sayin': "I seen my opportunities and I took 'em."
Just let me explain by examples. My party's in power in the city, and it's goin' to undertake a lot of public improvements. Well, I'm tipped off, say, that they're going to lay out a new park at a certain place.
I see my opportunity and I take it. I go to that place and I buy up all the land I can in the neighborhood. Then the board of this or that makes its plan public, and there is a rush to get my land, which nobody cared particular for before.
Ain't it perfectly honest to charge a good price and make a profit on my investment and foresight? Of course, it is. Well, that's honest graft.