Magna Founder Stronach Claims Family Mismanaged Assets
Frank Stronach, who founded Canadian supplier Magna International Inc. in 1957, reportedly has filed a lawsuit in Ontario claiming his daughter and other family members are mismanaging the family’s assets and trust funds.
#legal
Frank Stronach, who founded Canadian supplier Magna International Inc. in 1957, reportedly has filed a lawsuit in Ontario claiming his daughter and other family members are mismanaging the family’s assets and trust funds.
The 86-year-old billionaire describes the suit as a last-resort effort to resolve his concerns. His daughter Belinda, who chairs The Stronach Group, says her father’s allegations are false, adding that “family relationships within a business can be challenging.”
Frank Stronach, a colorful character in Canadian business and politics, launched unsuccessful campaigns in 1988 to win a seat in the country’s Parliament and in 2012 to become president of Austria. He also backed Belinda’s career in Canadian politics, which made her an influential cabinet minister and MP.
Stronach retired as Magna’s chairman in 2011 after winning court approval for a controversial plan to end the company’s dual-class stock structure. The scheme paid him and his family nearly US$1 billion. Stronach continued as honorary chair, but sold off almost all but 1 million shares in Magna.
RELATED CONTENT
-
Tesla Sued Over Fatal Crash of Car in Autopilot Mode
Tesla Inc. has been sued by the family of a California man whose Tesla Model X crossover vehicle crashed into a highway barrier last year while the car was operating in semi-autonomous Autopilot mode.
-
Tesla’s Autopilot Feature Deemed Partly to Blame in Fatal Crash
The U.S. National Transportation Safety Board has concluded that Tesla Inc.’s semi-autonomous Autopilot feature was partly to blame for a crash 15 months ago that killed one of the carmaker’s customers.
-
U.S. Probes Possible Bosch Role in VW Diesel Scandal
The U.S. Dept. of Justice is investigating whether Robert Bosch GmbH aided Volkswagen AG in cheating on diesel emission tests, sources tell Reuters.