Stronach Group Family Bicker in Court Over Founder Frank’s Misconduct Charges

An Ontario Superior Court judge has dismissed a motion by Frank Stronach’s granddaughter that sought to compel the Stronach Group to disclose any documents related to sexual misconduct claims against the 91-year-old.

Stronach Group, Belinda Stronach, Frank Stronach, Selena Stronach
Succession: Stronach Group CEO Belinda Stronach, left, with her father, Frank Stronach, the company’s founder. The pair are at the center of a bitter feud over the family business, while the latter is facing serious sexual assault charges. (Image: Globe and Mail)

The filing by Selena Stronach also sought records of payments made by the group to settle any such claims, stating it was likely that misconduct “occurred in the corporate environment and included the misuse of corporate assets.”

In dismissing the motion last Wednesday, Justice Peter Osborne found there was “simply no evidence” in the record that the requested documents existed.

Sexual Assault Charges

In June, family patriarch Frank Stronach was charged with rape, attempted rape, indecent assault, forcible confinement, and sexual assault in relation to a series of alleged attacks on women occurring from 1977 to February this year, which he denies.

The billionaire is the founder of global auto parts business Magna International, as well as the Stronach Group, the biggest thoroughbred racetrack owner in the US.

Its assets include California’s Santa Anita Racetrack, Gulfstream Park in Florida, and the Pimlico Racecourse in Maryland, as well as training centers and simulcast operations across the country.

Bitter Family Feud

Selena Stronach’s filing was part of a separate 2019 civil lawsuit that accuses Belinda Stronach, the company’s current CEO, chair, and president, among others, of corporate mismanagement. Belinda is Frank’s daughter and Selena’s aunt.

In 2018, Frank Stronach, who no longer has anything to do with the running of the company, filed a similar lawsuit against his daughter and other family members. It was settled in 2020, with Stronach being awarded a stallion and breeding business.

I appreciate the court’s thoughtful consideration of the matter and recognition that the criminal proceedings against my father are entirely unrelated to the now five-year-old civil litigation brought forward by my niece, Selena Stronach,” Belinda Stronach said in a statement.

“I look forward to proceeding with the civil trial as scheduled in the actions of Selena and my brother, Andrew Stronach, and to resolving this difficult chapter,” she added.

‘Fishing Expedition’

In court last week, Mark Gelowitz accused Selena Stronach of being on a “fishing expedition,” adding that her motion was merely trying to embarrass his clients.

Selena Stronach’s lawyer, Matthew Gottlieb, claimed that the Stronach Group’s failure to categorically deny the existence of misconduct settlements suggested they existed.

Osborne denied Gottileb’s request to cross-examine the defendants.

Philip Conneller
Philip Conneller Senior Reporter

In Philip Conneller’s eight years with Casino.org, he has covered the gaming industry from Las Vegas to Macau and everything in between. He currently focuses his coverage on gaming law, white-collar crime, global money laundering, tribal gaming, politics, and regulation.

Philip was the original features editor for poker’s Bluff Magazine and editor for Bluff Europe, which he helped launch. His writing has also been featured in ESPN, Forbes, Time Out, The Sun, and The Daily Star, as well as iGaming Business, eGaming Review, and numerous other industry news and tech websites.

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