Thayer To Pay Anheuser-Busch Nearly $600,000
DALLAS (AP) _ Paul Thayer, a former Dallas industrialist, has agreed to pay Anheuser- Busch Cos. Inc. nearly $600,000 as part of a settlement of a 2-year-old, $250 million damage suit against him and eight other defendants, an attorney for the beer company said.
The lawsuit against Thayer, former chairman of LTV Corp. and a former deputy defense secretary, stems from a federal investigation of illegal insider stock-trading tips when he was a director of Anheuser-Busch and two other corporations involved in takeover attempts.
The settlement gives the brewer $550,000 plus $61,000 in interest from restitution that U.S. District Judge Jerry Buchmeyer ordered Thayer to pay in 1985. The court has been holding the money for 18 months, officials said.
″The payment has the approval of the court, but other terms of the settlement are confidential and do not require court approval,″ said Paul Martin Wolff, the company’s attorney in Washington.
Thayer’s attorney declined comment on the case.
Anheuser-Busch also is seeking $451,383 plus interest from court-ordered restitution accounts established by former Dallas stockbroker Billy Bob Harris and former Houston banker Gayle L. Schroder, both of whom are defendants in the lawsuit and who also were targeted in a U.S. Securities and Exchange Commission probe, pretrial motions indicate.
Thayer and Harris served 19 months of four-year sentences after they pleaded guilty to obstruction of justice during the SEC’s investigation, which began in 1983.
Anheuser-Busch filed its civil lawsuit in April 1985 after Thayer acknowledged that he passed insider information to Harris and others in a scheme that authorities said netted them more than $3 million in stock profits.
The lawsuit seeks damages for $80 million in losses that Anheuser-Busch says it sustained after Thayer improperly disclosed that the company was planning to acquire Campbell-Taggart Inc. of Dallas in 1982. The tips caused Campbell-Taggart stock-trading activity to increase, inflating the value of the stock during the buyout, the lawsuit said.