Allen Weintraub is a convicted felon who's racked up his share of securities violations and, in 2007, filed for bankruptcy. He's also a man with a dream- several in fact- that last March, he went after. In short, Weintraub wanted to buy AMR Corp- all of it. Eastman Kodak Company, too. And unlike some people, who are all talk and not a lot of action, Weintraub set out to make his dreams a reality.
In the AMR case, Weintraub sent a letter March 29 to “Gerald Arpey” offering $9.75 per share of AMR stock, an offer worth about $3.25 billion. Gerard Arpey is chairman, president and chief executive of AMR. That followed Weintraub’s March 19 offer for all shares of Kodak for about $1.3 billion.
Apparently Weintraub initiative wasn't cool with the SEC, which filed a suit against him today, that Weintraub would characterize as bull shit typical of people trying to hold him down.
In the suit filed Tuesday in a federal district court in Florida, the SEC alleges that Allen Weintraub and his Sterling Global Holdings “have substantially no assets” and “lack the means to complete the tender offers.”
In its complaint, the SEC said Weintraub tried to obtain bank financing for his tender offers for Kodak and AMR, but banks turned him down...On April 26, Weintraub sent a follow-up letter to Arpey urging him to negotiate with him. “I won’t even address the personal comments, because in my opinion they are without merit,” Weintraub wrote.
Why can't people step back and give him room to work? If he says he'll pay, he'll pay. Fascists.