No evidence of docs related to misconduct allegations against Frank Stronach: court

FILE - Magna International Inc. Chairman Frank Stronach speaks at the company's annual general meeting in Markham, Ont. on Wednesday May 4, 2011.THE CANADIAN PRESS/Frank Gunn

An Ontario court has rejected a bid by Frank Stronach’s granddaughter to compel the family business to disclose any documents that might exist related to complaints of sexual misconduct against him and settlements involving complainants.

Selena Stronach filed a motion on the issue last month as part of an ongoing lawsuit over the management of The Stronach Group's and the family's wealth.

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The motion argued media coverage of the sexual assault allegations against her grandfather suggest it is likely the alleged misconduct "occurred in the corporate environment and included the misuse of corporate assets."

The court has dismissed her motion, finding there is “simply no evidence in the record that the requested documents exist.”

In particular, it said, there is no evidence that documents exist regarding any alleged knowledge by Belinda Stronach — Selena's aunt and the company's chairwoman, chief executive and president — or Alon Ossip, another defendant, of the allegations underlying the criminal case against Frank Stronach.

"Nor is there any evidence in the record that (The Stronach Group) or any corporate entity within (The Stronach Group) entered into any settlement agreements, let alone any evidence that such agreements, if they exist, were entered into at the direction of or with the knowledge of either Belinda or Ossip," the document said.

Even if there was evidence of such documents, the court said it is not convinced they would be relevant to the lawsuit, which centres on allegations of breach of fiduciary duty and oppression.

The court also dismissed another motion by Selena Stronach seeking to amend her statement of claim to add allegations related to possible settlements involving allegations of sexual misconduct against Frank Stronach.

In a written statement Wednesday, Belinda Stronach said she appreciated the court's 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."

"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."

Frank Stronach, a 91-year-old billionaire businessman, has been charged with sexually assaulting 10 complainants over a period of time starting in 1977 to earlier this year.

The alleged offences include rape, attempted rape, indecent assault, forcible confinement and sexual assault. None of the allegations have been tested in court.

In an interview with the CBC, parts of which were aired this month, Frank Stronach claimed his accusers are pursuing the cases against him to take his money.

Stronach became one of Canada's wealthiest people as the founder of auto parts giant Magna. He resigned as the company's chairman in 2011.

He also founded The Stronach Group, a company that specializes in horse racing, and Stronach International, a company focusing on organic foods and "micro-electric mobility."

His criminal case is due to return before a Brampton, Ont., court in early October, while the civil case launched by his granddaughter has a hearing scheduled early next month.

This report by The Canadian Press was first published Aug. 21, 2024.