Retirees Sue Tribune Shareholders
June 2, 2011 at 4:23 PM (PT)
A group of retired TRIBUNE CO. and TIMES MIRROR CO. executives, editors, and publishers are suing major TRIBUNE shareholders they allege benefited from SAM ZELL's buyout of the company, attempting to recover $109 million in retirement benefits that were eliminated in the company's 2008 bankruptcy, reports BLOOMBERG. The suit targets dozens of defendants, including GOLDMAN SACHS, the BANK OF AMERICA, the MCCORMICK FOUNDATION, SCOTTRADE, and many others.
The case, filed in NEW YORK, alleges that the buyout was a fraud and the company should have honored its retirement fund obligations before any money went to shareholders.