If you thought David Sokol, Warren Buffett's former top candidate to succeed him as CEO of Berkshire Hathaway (BRK.A), was wrongly forced out, think again. On Wednesday, Sokol resigned from Berkshire under a cloud of possible insider trading charges. But these recent ethical lapses are hardly the worst of Sokol's business transgressions.
Almost exactly a year ago, an Omaha, Neb., court forced Sokol's MidAmerican Energy to pay $32 million to a group of shareholders for cooking a project's books. The judge ruled that Sokol had "willfully and intentionally" falsified profit calculations to eliminate a group of minority shareholders -- including the San Lorenzo Ruiz Builders & Developers Group -- in a project in the Philippines, according to the Omaha World-Herald.
And back in 2003, Sokol settled a lawsuit alleging he cheated shareholders when he sold his company to Buffett. Sokol joined the Berkshire family in 1999 when Buffett paid $2.1 billion to buy his MidAmerican Holdings.
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