Well, “true” value is a weird one
Ya, thats fair. I was more meaning things like, they own the land and building on it, but even that is somewhat subjective. But it's better than, this stock has a PE ratio of 100x because of some perceived future value.
And absolutely there should be a way to get a tax credit if they repay it, which would likely mean some form of realizing gains, or using already taxed assets.
They may still whine
I would also expect whining about oh how complicated this makes things, and it's going to cost so much money to properly record it all, but bitch, you got the money. Sell some assets to pay for it. 🤣