Investors Sue Sirius Directors Over XM Merger

Law360, New York (March 9, 2011, 9:19 PM EST) -- Shareholders launched a derivative suit in New York against Sirius XM Radio Inc. brass Wednesday, complaining that executives mismanaged the 2008 merger that created the company and cost shareholders billions of dollars.

Sirius CEO Mel Karmazin concealed $600 million in debt the company would be forced to shoulder when it merged with XM in 2008, then made $100 million in post-merger stock options while average shareholders lost nearly everything, according to a complaint in the Supreme Court of the State of New York, County of New...
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