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“There was a very bright, young associate in our law firm who had a relationship with one of the officers at Madison, a young man whom he had known. They began talking. Those two young men thought that it would be legal under Arkansas law for a savings and loan to issue preferred stock, but there was absolutely no law on that. “Public firms started with $3.3trillion in cash in 2007 and accumulated 50 percent more cash over the next…