Bab 141: Chapter 141: The B-Twenty-Nine Sky Fortress Brings More Wind
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Twenty thousand dollars—equivalent to ten years of salary for an average worker—was just the consultant fee. Hardy explained to Brigadier General Williams that, besides the fee, the consultant would enjoy several perks: a company-issued car, free refueling, and an annual trip.
In essence, Hardy was investing in relationships. The role involved attending a few meetings each year to advise the security company on its shortcomings and development direction.
Hardy looked at Brigadier General Williams and added, "General, as a friend, I'm offering you a consultant position."
He continued, "After your retirement, you can also serve as a consultant for HD Security, with a minimum six-year contract."
It was a straightforward bribe, but it was a legal and transparent arrangement. Brigadier General Williams was Hardy's first senior U.S. military contact, and Hardy intended to use him as a gateway to other retired generals. Despite their retirement, these generals retained significant influence and connections—valuable assets for any business.
By hiring retired generals as consultants, Hardy could bolster his company's status and gain valuable insights. Even a single call from these respected figures could resolve complex issues.
Hardy's offer to Brigadier General Williams was a strategic move, allowing Williams to use his position to influence others during his promotion assessment.
Over dinner, Hardy and Brigadier General Williams grew more familiar. As Hardy left, Williams waved until his car was out of sight.
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Back in New York, Hardy instructed Henry to intensify surveillance on the Basini family and monitor Brigadier General Bob Ernst's son-in-law's gallery.
The gallery was quiet, and Hardy, who had been collecting art for nearly a year, noted that the paintings on display were neither famous nor from well-known artists. The gallery seemed more like a front for money laundering.
"Richard, do you like any of this?" Hardy asked casually.
Richard, uninterested in art, shook his head. He preferred firearms over paintings and had recently undergone eye surgery, leaving him with a prosthetic eye that was nearly indistinguishable.
Hardy inquired about the prices of several paintings, which ranged from a few thousand to tens of thousands of dollars. He suspected that these paintings were overpriced, possibly to launder money. The gallery's lack of activity reinforced this notion.
A few days later, Brigadier General Williams called Hardy to inform him that the Military Department had approved the aircraft transaction. "They'll be moving soon," Williams said.
"I'll keep an eye on it," Hardy replied.
Henry was instructed to monitor the situation closely. Later that day, the Basini family patriarch and Brigadier General Bob Ernst discussed the aircraft and gallery over the phone. Unknown to them, their conversation was being recorded.
The next day, the Basini family military commander purchased $200,000 worth of paintings from Ernst's son-in-law's gallery. Hardy informed Brigadier General Williams, who smiled, knowing it was time to act.
Back in his study, Williams reviewed his notes and then called a subordinate. They conspired late into the night.
The next day, Williams' subordinate filed a report detailing Bob Ernst's bribery activities, sending it to the supervisory committee. The committee took immediate action, sending a task force to investigate.
Unaware of the impending investigation, Brigadier General Ernst was pleased with his son-in-law's sale. He had initially set up the gallery to launder money, using it as a front for bribes he had received as a logistics supervisor.
Two days later, Brigadier General Ernst was taken in for questioning by the investigation committee. His covert bribery schemes, while carefully hidden, were exposed by Hardy's maneuvering. The Basini family patriarch was also under investigation for bribing an officer.
The Basini family attempted to suppress the matter using connections and resources, but Hardy had dealt a significant blow.
Later, Hardy received a call from Brigadier General Williams inviting him to Virginia for a round of golf. Hardy and Henry flew there by plane.
On the golf course, Williams and Hardy walked side by side, swinging their clubs.
"General Williams, I suppose I should start addressing you as Major General soon," Hardy said with a smile.
Williams smiled back. "The discussions regarding the aircraft are complete. I managed to reserve 50 C-53 and C-47 aircraft for you. Can you handle that many?"
Hardy was delighted. "Yes, I can handle it. Thank you."
Williams added, "I also secured some spare parts for the aircraft. As for the B-29 you mentioned, it's not available on the sales list, but I can arrange for a scrapped one. It's in good condition, though the military doesn't plan to decommission it. If you're interested, I can initiate the process."
Hardy was eager to acquire the B-29, understanding its potential value. "Yes, I still want it."
Williams agreed, "I'll arrange for the scrapped B-29 and you'll need to handle its restoration."
The deal between Hardy and Williams was set. Hardy had successfully leveraged his position to secure 50 aircraft at a bargain and even managed to acquire a B-29.
Hardy reflected on why high-profile individuals enjoyed golf so much. It wasn't just about elegance; golf provided a discreet setting for discussions away from prying eyes.
"General, could I request a small favor?" Hardy asked.
"Sure, what is it?"
"Could the Logistics Support Bureau issue a purchase contract now, with payment to follow in a few months?" Hardy inquired.
Williams considered this and said, "The military requires payment within six months, but I can extend it to three months for you."
"That will work perfectly," Hardy said, pleased.
After bidding farewell to Brigadier General Williams, Hardy returned to his hotel and called Andy in Los Angeles. "Andy, bring the financial team and lawyers to New York. We've finalized the aircraft deal. The next steps are up to you."
"Got it, boss. I'll get the team together," Andy replied.
As Hardy lit a cigar, he contemplated the impact of his new fleet. With these 50 aircraft, he could establish an airline, a venture with significant potential. Southwest Airlines, for instance, began with just three aircraft and grew into one of the largest airlines in the U.S. Hardy's new airline could rank among the top ten.
Running an airline was profitable and crucial to Hardy's expanding empire.
Bab 142: Chapter 142: Empty Glove White Wolf - Airline
Andy arrived in New York with his team and lawyers. Meeting Hardy at the hotel, he was briefed on the aircraft purchase. Hardy explained, "I've finalized the purchase contract with the military. My plan is to establish an airline, use the contract to secure a bank loan, and then use that loan to pay for the aircraft."
Andy nodded appreciatively. "Boss, your strategy is brilliant. Using airplanes as collateral to get a loan effectively means acquiring 51 planes at no immediate cost."
Hardy continued, "The planes are priced lower than their actual value. The C-53s cost $38,000 each, and the C-47s $36,000 each. I hope you can negotiate with the bank for a larger loan, as operating an airline will require substantial funds."
Andy admired Hardy's approach even more. It wasn't enough to get 51 planes for a bargain; Hardy wanted to leverage them further, even for operational expenses. The "empty glove white wolf" tactic was in full force.
"Understood, boss. I'll get right on it," Andy said.
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Andy's efficiency was impressive. Registering the airline was straightforward, and with Brigadier General Williams' oversight, the purchase contract was finalized quickly.
The details were:
- **25 C-53 Personnel Transport Aircraft** at $38,000 each, totaling $950,000.
- **25 C-47 Cargo Transport Aircraft** at $36,000 each, totaling $900,000.
- **1 B-29 Sky Fortress** (labeled as scrapped) at $150,000.
The total price came to $2 million. Despite its status, the B-29 was a valuable asset, more expensive than the C-47s even in its scrapped state.
At the Logistics Support Bureau's massive parking facility, Hardy and Brigadier General Williams inspected the planes. The area was enormous, over ten square kilometers, housing hundreds of aircraft.
Williams introduced the C-47, praising its durability and load capacity. "The C-47 is known as the 'Sky Train,' with a standard load of 2.7 tons and a capacity of up to 3 tons in emergencies."
He also mentioned the C-53's versatility, typically configured with 36 seats instead of the standard 28, and noted its range of 2,600 kilometers, ideal for domestic flights.
Williams assured Hardy, "I've personally selected the best 50 planes from this batch for you. They're in excellent condition and should serve you well for decades. Plus, we've included enough spare parts to last five years."
Andy, observing the exchange, was impressed by Hardy's skill in forging connections. Despite just meeting Brigadier General Williams, Hardy seemed to have formed a strong bond, showcasing his exceptional interpersonal skills.
They moved to the B-29, which was significantly larger than the C-47. With its impressive range of 9,000 kilometers, it was a formidable asset. Hardy admired the B-29, known for its role as a "Super Sky Fortress" in World War II and its status as a leading transport aircraft.
In the plane's cabin, Hardy complimented Williams, "Congratulations on your promotion to deputy director of the Security Bureau. Shouldn't you be changing the star on your shoulder?"
Williams chuckled, "It's been reported, but official approval won't come through until May or June."
Williams also recommended General Knudsen as a consultant for Hardy's security company. "General Knudsen, a former member of the National Defense Advisory Council and Director of Wartime Production Administration, has significant connections. I worked under him, and he's instrumental in my promotion. I'll ask him to connect with his military contacts."
Hardy was excited about the prospect of working with such an influential figure. "Please arrange a meeting with General Knudsen. I'd like to visit him myself."
Williams agreed, "General Knudsen lives in Detroit and enjoys a quieter life on his farm. I'll get in touch with him."
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Upon returning to New York, Hardy instructed Andy to arrange meetings with banks for the loan negotiations. In the Hilton Hotel's conference room, Andy invited six credit managers from major banks: Citibank, First National Bank of New York, Bank of New York Mellon, Bank of America, First National Bank of San Francisco, and Wells Fargo.
These managers were eager to discuss the opportunity, given Hardy's prominent position in the business world. Andy presented the purchase contract for 51 aircraft and outlined the terms.
Andy proposed, "HD Airlines is seeking a $5 million loan over five years, using these aircraft as collateral. We're also hoping for a 1% reduction in the standard interest rate."
The managers were initially skeptical. "A $5 million loan against these aircraft seems high; $3 million might be more reasonable."
"Reducing the interest rate by 1% is quite significant. It could impact the bank's profitability," another remarked.
Andy anticipated their concerns and replied, "Once HD Airlines is operational, it will bring substantial business and liquidity. We plan to deposit significant funds with the bank we partner with."
Banks value liquidity and reliable cash flow, making Hardy's proposal attractive. The managers agreed to consider the offer and promised to follow up with their decisions.
Hardy's strategic approach to securing favorable loan terms highlighted his business acumen. With the aircraft and anticipated bank loans, he was well-positioned to establish a leading airline and further expand his empire.
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