Sh*t Storm hits the fan as Frank files bombshell lawsuit against Daughter and others. [Archive] - Horse Racing Forum - PaceAdvantage.Com

Andy Asaro

10-10-2018, 12:09 PM

https://twitter.com/racetrackandy/status/1050055328178483200

Excerpt:

Among Belinda Stronach’s alleged malfeasances, the suit contends, are demands for distributions from the family trusts, the hiring of unqualified friends to fill TSG positions “at exorbitant salaries,” and the submission of bogus TSG reimbursement requests for “hundreds of thousands of dollars in personal expenses…associated with parties, vacations for Belinda and her children, limousine rides and expensive meals, none of which related to legitimate business expenses.”

The defendants have 20 days from the date the suit was initiated to file a response with the court.

Tom

10-10-2018, 12:15 PM

Suing your own daughter.
Mr. Class himself.

Andy Asaro

10-10-2018, 12:19 PM

https://twitter.com/racetrackandy/status/1050057836934324225

dilanesp

10-10-2018, 12:42 PM

My grandfather was very litigious and sued my father once.

the little guy

10-10-2018, 12:45 PM

My grandfather was very litigious and sued my father once.

I don't think this surprises anyone on this board.

sammy the sage

10-10-2018, 01:11 PM

Suing your own daughter.
Mr. Class himself.

I think it was THE daughter who has been classless...perhaps you should get ALL the facts before ASSuming things...Mr.:rolleyes:

PaceAdvantage

10-10-2018, 01:19 PM

Oh look, something else we can call each other names over on this board.

Are some of you for real? Or is it just one giant troll fest?

Don't answer that. I already know, and have known.

PaceAdvantage

10-10-2018, 01:21 PM

I think it was THE daughter who has been classless...perhaps you should get ALL the facts before ASSuming things...Mr.:rolleyes:Sir, I believe you mistakenly capitalized the first three letters of one of your words in your sentence.

Oh wait...ah...that was you trying to be cleverly insulting. Got it.

Never knew you were a FS cheerleader...good to know...lulz

AlsoEligible

10-10-2018, 01:53 PM

Don't know why we have to take a side here - you can find fault with both parties.

Neither seem to be great business people. Frank had a bankruptcy (Magna Entertainment) under his watch, which prompted the creation of TSG in the first place. Belinda doesn't seem to be faring much better, if you believe the allegations that she's been trying to cover up cash flow issues:

"Frank later learned that during this period Belinda and Alon seriously neglected the business of TSG and [had] abused their positions of authority,” the suit states. “They did so in order to conceal significant cash flow issues, and to favour their own personal interests at the direct expense of rights and interests of other members of the Stronach family.”

In fact, the suit contends, it wasn’t until November 2016 that, “Belinda and Alon informed Frank for the first time that TSG was facing significant liquidity issues. This came as a surprise to Frank and raised red flags about their management of TSG.”

Also, I can say on good authority that the "hiring of unqualified friends at exorbitant salaries" and "bogus reimbursements" have been going on long before Belinda took control. That's always been the Stronach culture, kind of funny to see Frank throwing stones about it now.

Look forward to seeing both sides get their dirty laundry aired out for everyone to see. :popcorn:

Saratoga_Mike

10-10-2018, 02:27 PM

I don't think this surprises anyone on this board.

Totally uncalled for, but it did make me laugh.

PaceAdvantage

10-10-2018, 02:29 PM

Totally uncalled forInteresting take

Saratoga_Mike

10-10-2018, 03:01 PM

Interesting take

It was a funny post

FakeNameChanged

10-10-2018, 03:10 PM

It was a funny post
Agreed. After playing the first couple races at Del and GPW, it did lighten my mood somewhat.

PaceAdvantage

10-10-2018, 03:14 PM

It was a funny postSee, what I was referring to was the "totally uncalled for" part. This coming from the person who follows me around this board repeatedly referring to my opinion of Rick Dutrow as a means of bashing me.

"Big, the balls on this one are," said Yoda.

Saratoga_Mike

10-10-2018, 03:22 PM

See, what I was referring to was the "totally uncalled for" part. This coming from the person who follows me around this board repeatedly referring to my opinion of Rick Dutrow as a means of bashing me.

"Big, the balls on this one are," said Yoda.

Context my friend - "totally uncalled for," but "it made me laugh." By reading the second phrase, I assume Mr. Serling knew I appreciated the post. I believe Mr. Serling prides himself on his acerbic wit, which was on sharp display here. See, you can't always be a literalist - context counts.

the little guy

10-10-2018, 03:44 PM

I made a joke that even Dilanesp, who is also a lawyer, would likely have laughed at as well. I'm not sure why it would be considered a big deal.

dilanesp

10-10-2018, 04:04 PM

I made a joke that even Dilanesp, who is also a lawyer, would likely have laughed at as well. I'm not sure why it would be considered a big deal.

I laughed, Andy.

Andy Asaro

10-10-2018, 04:40 PM

http://www.thoroughbreddailynews.com/stronach-family-rift-revealed-in-bombshell-lawsuit/

Updated excerpt:

In a statement Wednesday, Paul Deegan, a spokesman for Ossip, The Stronach Group's CEO, said, “These allegations are baseless and are not grounded in fact or reality."

"Alon has always honored his obligations and acted in good faith to preserve and grow the Stronach family’s assets and to protect the interests of all members of the family," Deegan added.

"Alon created huge wealth for the family, and he has always operated in a prudent and commercially-sensible manner. Frank Stronach was a great auto parts entrepreneur, but his recent excessive spending and numerous failed ventures put his family’s wealth at risk.

"This is a dispute between Stronach family members that should be resolved between family members.”

Andy Asaro

10-10-2018, 04:45 PM

Spending on Pegasus statue will be near the top of the list. Heard that was Franks idea.

JustRalph

10-10-2018, 07:19 PM

Is it a public company?

Andy Asaro

10-10-2018, 07:20 PM

Is it a public company?

No

ultracapper

10-10-2018, 10:07 PM

I don't think this surprises anyone on this board.

LOLOLOL!!!!! Serling, you get as much bang for your buck with some of your posts as anybody on this board. And frankly, the poster on the receiving end of this particular one ain't no slouch either.

That was just a good post Andy.

proximity

10-10-2018, 10:48 PM

frank shoulda been shut down when he trotted out the horse wizard machines and that was over a dozen years ago. it is sad.

sammy the sage

10-11-2018, 07:35 AM

Never knew you were a FS cheerleader...good to know...lulz

Your mind reading skills are either half empty or half full:coffee:

or perhaps you were just trolling....my mind reading skills AREN'T the best either

Don't care about FS either way...what IRKS me is the hypocrisy of some posters...so I'll call them out on it...

Unlike the other forum...were we ALL want facts before bashing a person whether we care for them or not....seems like that's NOT THE case here.

Children rip-off/scamming their own parents happens way more frequently than one would think...My Aunt did to my grandmother/her mother...my sister-in-laws sister did to her Father...

Here tho...going to be a court of law GETTING FACTS to make the call....yet some here have already made up their mind BEFORE....sad

The rush TOO judgement...all too frequent....

and that's all I'm gonna say about that...

Andy Asaro

10-11-2018, 10:22 AM

For several years now I’ve (and others) been pushing for a takeout adjustment on exactas and lowering breakage on WPS to start. If there was ever a time for the Stronach Group to go for it and really make an effort to attract more Gamblers the time is now.

Maybe the internal drama will help the guys running the tracks to make more aggressive decisions that could make significant changes to the way we sell the game to the public. I know they are considering the “gambling game of skill” strategy and I hope they come out in a press release with their vision for the future despite the pending lawsuit.

I may learn more when I go up to Santa Anita. If I do I'll post it here.

castaway01

10-11-2018, 10:36 AM

10-11-2018, 11:10 AM

Sounds like the younger family members are probably not the racing fans that Frank is. I doubt this is going to be a good thing for horse racing.

dilanesp

10-11-2018, 11:32 AM

Sounds like the younger family members are probably not the racing fans that Frank is. I doubt this is going to be a good thing for horse racing.

Santa Anita is not long for this world.....

linrom1

10-11-2018, 12:02 PM

Santa Anita is not long for this world.....

It looks like they're trying to loot as much as possible while they can!

GP is the more attractive property in TSG portfolio because of its casino operation and location.

They can easily find cash rich Chinese syndicate willing to take over its operations if the price makes sense.

I have no idea about Santa Anita and whether it has any future value as real estate development(I know that RE in Cal can only go up?) before the state goes bankrupt.

Regardless this is a horrible development for racing, but, it is definitely positive for KY and NYRA circuit. It's time for horsemen to quietly begin to relocate operations to those regions.

Andy Asaro

10-11-2018, 01:26 PM

https://twitter.com/racetrackandy/status/1050437389263355905

stlseeeek

10-11-2018, 01:38 PM

Suing your own daughter.
Mr. Class himself.

:sleeping:

proximity

10-11-2018, 02:44 PM

My grandfather was very litigious and sued my father once.

did your grandfather sue you too, because frank is also suing his grandchildren Nicole and frank walker according to the article.

it'll be good for you because he'll end up making a lot of lawyers a lot of money.

it's almost like the guy has no self awareness whatsoever. :faint:

linrom1

10-11-2018, 03:16 PM

did your grandfather sue you too, because frank is also suing his grandchildren Nicole and frank walker according to the article.

it'll be good for you because he'll end up making a lot of lawyers a lot of money.

it's almost like the guy has no self awareness whatsoever. :faint:

TSG is made up of hundreds of trusts. Since his daughter is somehow a beneficiary, it follows that he must also sue her children since they will also become trust beneficiaries if they aren't already.

proximity

10-11-2018, 03:54 PM

In fact, the suit contends, it wasn’t until November 2016 that, “Belinda and Alon informed Frank for the first time that TSG was facing significant liquidity issues. This came as a surprise to Frank and raised red flags about their management of TSG.”

why would this be a surprise to frank? weren't liquidity issues (which he called "circumstances" ) responsible for his biggest blunder of all; failing to submit the casino application fee in Maryland? surely THAT raised red flags about HIS management of whatever the empire was called at that point?

dilanesp

10-11-2018, 03:55 PM

did your grandfather sue you too, because frank is also suing his grandchildren Nicole and frank walker according to the article.

it'll be good for you because he'll end up making a lot of lawyers a lot of money.

it's almost like the guy has no self awareness whatsoever. :faint:

My grandfather put my father's name on a deed to avoid real estate taxes, without telling my father he did it.

He then sued my father to get his name taken off the deed when my father found out and wouldn't sign a quitclaim.

I was about 8 years old and was at home when the papers were served. It was quite amusing.

Fager Fan

10-11-2018, 11:26 PM

Suing your own daughter.
Mr. Class himself.

Weird. I thought the opposite. I've always respected that what my parents built was theirs, not mine. Without knowing more than what is in the article, the classless one looks to be Belinda. That's no way to treat your parents.

ReplayRandall

10-11-2018, 11:43 PM

Weird. I thought the opposite. I've always respected that what my parents built was theirs, not mine. Without knowing more than what is in the article, the classless one looks to be Belinda. That's no way to treat your parents.

Belinda took over The Stronach Group 2 years ago, and do you know why? Frank Stronach had served as chairman of Magna Entertainment Corp., which included many of the same assets. That company filed for Chapter 11 bankruptcy in March 2009 after mounting debt reached hundreds of millions of dollars. So dear old dad has been basically wrecking the company that all the family members help build. Now at 86 years of age, he is no longer capable of producing the profitability that the company once had. On the other hand, his daughter Belinda is one of the most powerful women in all of Canada, with the World Economic Forum naming her a "Global Leader of Tomorrow".

Bottom-line, Frank has lost his business acumen, his family's respect and his mind......The filing of this lawsuit proves this.

thaskalos

10-12-2018, 12:27 AM

My grandfather put my father's name on a deed to avoid real estate taxes, without telling my father he did it.

He then sued my father to get his name taken off the deed when my father found out and wouldn't sign a quitclaim.

I was about 8 years old and was at home when the papers were served. It was quite amusing.

Do you suppose that this family squabble may have had something to do with your eventual career choice? My 9 year-old sister was the only person at home when my father succumbed to a heart attack back in 1986, and she eventually became a doctor...the only doctor in our entire family tree. Our early years may be more impressionable than we realize.

Andy Asaro

10-12-2018, 10:43 AM

https://twitter.com/racetrackandy/status/1050758463964364800

Fager Fan

10-12-2018, 10:57 AM

Belinda took over The Stronach Group 2 years ago, and do you know why? Frank Stronach had served as chairman of Magna Entertainment Corp., which included many of the same assets. That company filed for Chapter 11 bankruptcy in March 2009 after mounting debt reached hundreds of millions of dollars. So dear old dad has been basically wrecking the company that all the family members help build. Now at 86 years of age, he is no longer capable of producing the profitability that the company once had. On the other hand, his daughter Belinda is one of the most powerful women in all of Canada, with the World Economic Forum naming her a "Global Leader of Tomorrow".

Bottom-line, Frank has lost his business acumen, his family's respect and his mind......The filing of this lawsuit proves this.

I’m laughing. Dad built the company. Belinda reaped the rewards of the empire her dad built. It’s dad’s empire (and mom’s) and if they want to take it all and shoot it in a big bag to outer space, that’s their right and their choice. Belinda should feel only gratefulness for what she’s been given. You don’t ever dishonor your parents over their money, you don’t ever steal your parents’ money.

Again, I’m going with what’s been reported so far. If Belinda can show it’s all untrue then I may change my opinion.

dilanesp

10-12-2018, 12:51 PM

Do you suppose that this family squabble may have had something to do with your eventual career choice? My 9 year-old sister was the only person at home when my father succumbed to a heart attack back in 1986, and she eventually became a doctor...the only doctor in our entire family tree. Our early years may be more impressionable than we realize.

Unlikely. I was going to be a scientist. My math scores were huge. I didn't think about being a lawyer until college.

Redbullsnation

10-18-2018, 09:04 PM

Hilarious, IMO. Maybe some TV network will give this crazy family a reality show?

AltonKelsey

10-18-2018, 11:17 PM

Bottom-line, Frank has lost his business acumen, his family's respect and his mind......The filing of this lawsuit proves this.

Didn't he already prove that when he got involved with horse racing?

Andy Asaro

11-05-2018, 09:31 PM

https://www.thoroughbreddailynews.com/new-lawsuit-alleges-liquidity-crisis-at-the-stronach-group/

Excerpt"

By Bill Finley & T. D. Thornton
Exactly one month after Frank Stronach sued his daughter in a $520-million (CDN) civil suit claiming she is mismanaging the family’s financial empire while forcing her father out of control of the fortune he built, the son of the 86-year-old Thoroughbred magnate has now launched his own lawsuit against his sister alleging malfeasances that mirror many of his father’s claims.

A chief allegation made by Andrew Stronach, 50, against Belinda Stronach, 52, claims that he is suffering because of a “complete breakdown in trust and confidence” between family members over control of trust finds and business operations.

The point where this power struggle crosses the line from private family spat to a public item of importance within the horse racing community centers on The Stronach Group (TSG), a complex tangle of 253 family-owned businesses and trusts whose portfolio includes six United States tracks–Santa Anita Park, Golden Gate Fields, Gulfstream Park, Laurel Park, Pimlico Race Course and Portland Meadows.

Andrew Stronach, in his Nov. 1 lawsuit that TDN obtained from the Ontario Superior Court of Justice, claims that as a result of his sister’s “serious misconduct,” TSG is currently embroiled in a “liquidity crisis and is actively attempting to sell off valuable real estate and other assets in order to meet the obligations of its constituent companies.”

Belinda Stronach, the chairman and president of TSG, said in a Monday statement emailed by her attorney’s office that “The filing on behalf of my brother is an extension of my father’s legal proceedings against me and my children, and the allegations remain just as untrue. We will be responding formally in due course. It saddens me greatly that we have reached this juncture in our family.”