A state-subsidized investment program yielded huge returns for three out-of-state financial firms and their partners while netting just 202 new jobs for Wisconsin, at a cost of more than $247,000 per job, a Journal Sentinel analysis has found.
The investment firms, called CAPCOs, were far more successful at making money for their owners and partners than they were at launching start-ups and creating jobs. They paid millions to cover their owners’ taxes on profits. They didn’t share any of those investment profits with the state. And they didn’t have to, because the program was poorly drafted and had minimal state oversight, the Journal Sentinel found.