Kerkorian loses again
Corporate blackmailer Kirk Kerkorian has lost again. The United States Court of Appeals has upheld a lower court ruling denying Kerkorian any damages from Chrysler. Kerkorian, who had at one time been Chrysler’s biggest shareholder, had claimed that Daimler-Benz and Chrysler had fraudulently characterized the merger of the companies as a merger of equals to avoid paying what Chrysler would have been worth in a simple buy-out. He claimed that the executives at Chrysler fooled him.
Kerkorian is the same man who also bought a large stake in General Motors, only to sell it after GM’s management successfully blocked Kerkorian’s efforts to put his automotive lackey, Jerry York, on the GM board. Kerkorian had done much the same thing with Chrysler, but the merger had denied him the financial killing he apparently had expected.
Daimler Chrysler announced the decision with some glee, pointing out that the decision would have no impact on the company’s financial statement because the company had been so confident of the outcome that it had not set aside any reserve against a loss.