Berkshire Hathaway and Pilot Corp. in Dispute Over Accounting Practices

Judge Rules Berkshire Hathaway Cannot Use Bribery Allegations in Defense; Federal Investigation Underway

Berkshire Hathaway, which holds 80% of Pilot Travel Centers, is in a dispute with Pilot Corp. over accounting practices.
Pilot Corp. alleges that Berkshire Hathaway has used accounting changes to artificially lower the price it would have to pay for the remaining 20% stake in the truck-stop chain owned by the Haslam family.
Berkshire Hathaway responded to the lawsuit by claiming that Jimmy Haslam, the owner of the Cleveland Browns, tried to bribe more than two dozen Pilot employees to inflate the company’s profits.
A Delaware judge ruled that Berkshire Hathaway cannot use the bribery allegations as part of its defense in the lawsuit.
Federal prosecutors have begun an investigation based on Berkshire Hathaway’s bribery allegations.