Berkshire Hathaway will not be allowed to use allegations of bribery against Jimmy Haslam, owner of the Pilot truck stop chain, in a dispute over accounting practices, according to a Delaware judge. The lawsuit claims that Berkshire used accounting changes to artificially depress the price it would have to pay for the Haslam family's remaining 20% stake in Pilot. The judge ruled that the bribery allegations do not have a direct connection to Pilot's claims and restricted Berkshire's defenses. Meanwhile, federal prosecutors have reportedly launched an investigation based on Berkshire's bribery allegations.
The Haslam family, including Cleveland Browns owner Jimmy Haslam and former Tennessee governor Bill Haslam, has refuted bribery allegations made by Warren Buffett's company, Berkshire Hathaway. Both parties are accusing each other of manipulating Pilot truck stop chain's earnings to affect the price Berkshire would have to pay for the Haslams' remaining 20% stake in the company. The judge will decide whether Berkshire's lawsuit can be heard alongside a trial scheduled for January. Berkshire wants to prevent the Haslams from selling the rest of the company to Berkshire next year due to doubts about the accuracy of Pilot's 2023 earnings.
Berkshire Hathaway, led by Warren Buffett, has accused the Haslam family, owners of the Pilot truck stop chain, of attempting to bribe at least 15 executives to inflate the company's profits. The alleged bribery was an attempt to force Berkshire to pay more for the Haslams' remaining 20% stake in the company. The Haslams had previously accused Berkshire of understating Pilot's earnings. A hearing on Berkshire's counter lawsuit is scheduled for Thursday.
