Intel Hit With $1 Billion Lawsuit for Dodging Mobileye Losses

Intel Corp. exploited its majority Mobileye Global Inc. stake to dodge nearly $1 billion in losses through opportunistic stock sales based on inside information about inventory problems, according to an unsealed lawsuit.

Mobileye investors are suing Intel—its controlling stockholder—along with current and former board members including ex-Sen. Claire McCaskill (D-Mo.) and GOP diplomat Jon Huntsman Jr., who previously served as governor of Utah. Not named as a defendant is two-time Republican cabinet secretary Elaine Chao, a Mobileye director married to Sen. Mitch McConnell (R-Ky.), the former longtime majority leader.

Intel and Mobileye didn’t immediately respond to requests for ...