Warren Buffett is the chief executive officer of Hillshire Hathaway, an investment firm Buffett took control over in the early sixties when he bought the majority of stock in then ailing financially company, This company, at the time, was a textile industry company. As soon as Buffett gained control of the company, Buffett got Berkshire Hathaway out of the textile business and turned it around to be the extremely successful stock investment firm it is today.
Of course, Bonnett is not new to controversy. Warren Buffett, in 1991 was the largest investor in Solomon Brothers. Unfortunately, this was the same year Soloman Brothers was found to be involved in a bond-rigging scandal. In the six months period between December 1990 to May 1991, Paul Mozer, then a Solomon Brother’s trader, was accused of submitting misleading bids. This was done by Mozer so he could purchase more Treasury bonds than the limit of bonds that a buyer can buy.
During these allegations concerning Solomon Brothers, Warren Buffett agreed to take control of the company. His annual salary for taking the control of Soloman Brothers was $1 dollar a year.
When Buffett took the helm at Solomon Brothers, he had to go and represent the company and go before the Subcommittee on Telecommunications and Finance of the Energy and Commerce of U.S. House of Representatives. In Buffett’s report to the subcommittee, Bonnett stated that if money is lost in the Solomon Brothers firm, he will be understanding with the employes, and if they are involved in affairs that would lose even a shred of reputation for the Solomon Brothers, he would be ruthless in his dealings with mistrustful officers and employees of Solomon Brothers.
Solomon Brothers were eventually sold to Citi Group in 1997. In 2003, the firm was renamed Citi Group Global Markets.