ABSTRACT
Ivar Kreuger’s plan to dominate the world match market had deteriorated into an enormous “Ponzi” scheme. Dividends had been paid out of capital, and the company relied on subsequent loans and stock issuances to repay initial investors. Kreuger learned how to build with reinforced, or trussed, concrete while constructing the football stadium at Syracuse University. The notable innovation used iron bars inside the concrete forms to strengthen the building’s foundation. Many countries charged high tariffs on imported goods. The excessive duties charged on Swedish matches, Kreuger began buying match factories within his target markets. International Match Company common stock was held by Swedish Match, but its debentures and preferred stock were peddled to US investors by the New York investment banking firm of Lee, Higginson & Company. The agreement stipulated that Swedish government accountants would be permitted to examine Swedish Match’s accounts. The Match King and Savior of Europe was really the greatest swindler of generation.
