June 30, 1989 |
Paul A. Bilzerian resigned Thursday as chairman and chief executive of Singer Co., hours after the Securities and Exchange Commission filed civil securities fraud charges against him and shopping center magnate Edward J. DeBartolo Sr. The resignation came amid mounting legal troubles for Singer and for Bilzerian, who was convicted June 9 on criminal securities and tax fraud charges. The SEC charges filed Thursday included the first public accusation that Bilzerian committed fraud in his $1.06-billion takeover of Singer in February, 1988.
June 29, 1989 |
The Securities and Exchange Commission today filed a civil suit charging corporate raider Paul A. Bilzerian and shopping center developer Edward J. DeBartolo Sr. with fraud in the takeover of Singer Co. and seeking $31.3 million in alleged illegal profits. Bilzerian, DeBartolo and three others were charged in the lawsuit filed in U.S. District Court in Washington. DeBartolo and two associates agreed to pay a total of more than $3 million to settle the charges, which included insider trading and aiding Bilzerian in concealing the true source of funding in two transactions.
April 12, 1989
Bilzerian Charge Dropped: A federal judge dismissed one of 12 felony counts against Singer Co. Chairman Paul A. Bilzerian but refused to shift the securities fraud trial to Tampa, Fla., where the corporate takeover specialist lives. Bilzerian, 38, is accused of violating securities and tax laws, conspiracy and making false statements in connection with four failed takeover transactions in 1985 and 1986. U.S. District Judge Robert J. Ward dismissed one count of making false disclosure statements in a transaction with Armco Inc. The defense had asked Ward to dismiss all the charges.
June 9, 1989 |
Singer Co. Chairman Paul A. Bilzerian was convicted today of all nine counts of securities fraud and tax violation in federal court in Manhattan. The panel of six men and six women returned its verdict on the second day of deliberations. The conviction was the first jury verdict in the government's more-than-three-year crackdown on Wall Street crime. The Bilzerian case was indirectly spun off from the Ivan Boesky insider trading scandal. It was the first prosecution of a corporate raider using information derived from the Boesky investigation.
June 10, 1989 |
Paul A. Bilzerian, who rose from humble origins to become a corporate raider and chairman of Singer Co., was convicted Friday on nine counts of securities fraud and tax fraud. The case, which charged that Bilzerian's takeover attempts relied in part on fraud, gave federal prosecutors their first guilty verdict in the chain of big Wall Street securities fraud and insider trading cases sparked by information from former stock speculator Ivan F. Boesky. The others have resulted in guilty pleas or mistrials or are pending.
June 21, 1989
Milken Highest-Paid Wall Streeter: Indicted financier Michael Milken was the highest-paid Wall Street professional in 1988, earning more than $180 million as "junk bond" chieftain for Drexel Burnham Lambert, according to estimates compiled by Financial World magazine. Milken was one of two executives in the top 10--along with Singer Co. Chairman Paul A. Bilzerian--indicted or convicted this year for securities laws violations. Gordon Cain, chairman of the petrochemical concern Sterling Group, was second with $120 million.