GE Escapes Merger Suit, but Baker Hughes Ex-CEO Must Face It

General Electric Co. didn’t help Baker Hughes Inc.'s board dupe shareholders into agreeing to its merger with GE’s oil and gas division in a deal worth $23 billion, but the oilfield giant’s former CEO must face claims that he concealed GE’s financials from investors, a Delaware Chancery Court judge ruled Tuesday.

Although “GE was motivated to strike the best deal it could,” the lawsuit “does not allege facts suggesting that GE was privy to the internal process of the Baker Hughes board or conspired with anyone who was,” Chancellor Andre G. Bouchard wrote. “Thus, GE was not in a position ...