The opportunity for Equity Specialty Holdings was simple. Its management could invest in insurers that badly needed to cover losses due to 9/11, and reap enormous benefit from the increased fees that the surviving insurance companies could then charge. The results were astounding: “Over the next nine months, the company generated a net income of $63.5 million. By the end of 2003, the company was reporting net income of $263.4 million.”The Romney family disavows any knowledge or responsibility for this investment, saying that their money is in a blind trust. Famously, Romney dismissed Ted Kennedy’s identical response in 1994, ridiculing blind trusts as an “age-old ruse.”

via The National Memo » How Bain Capital And Mitt Romney Profited From The 9/11 Tragedy