Lampert Accused of Strong-Arm Buyout After Stripping Sears (1)

Ex-Sears CEO Eddie Lampert and his hedge fund were hit with a Delaware lawsuit claiming they’re trying to force a self-dealing $121 million buyout of the bankrupt retail giant’s remaining assets after decades of stripping it for parts.

Lampert and ESL Investments Inc. used their majority control of Sears Hometown and Outlet Stores Inc. to run an unfair sale process designed to root out dissident board members, according to the Chancery Court complaint. The heavily redacted suit was made public Oct. 10 after being filed under seal Oct. 4 by two investors, including one who owns nine Sears Hometown showrooms ...