Article: MG sues ex-CEO, CFO over $1.7 billion in oil trading losses. (Metallgesellschaft AG, Heinz Schimmelbusch, Meinhard Forster)

WASHINGTON -- The financially shaken conglomerate Metallgesellschaft AG (MG) sued two former top executives last week because of the corporation's vast losses from oil trading and its relationship with Castle Energy Corp.

MG said it lost more than $1 billion through oil trading, while its contracts to purchase Castle refined products cost it more than $720 million.

MG is initially seeking $38 million in damages from Heinz Schimmelbusch and $3 million from Meinhard Forster.

Schimmelbusch, who directed a rapid expansion of MG during his five years as executive board chairman, was fired in December 1993 when it became public that the corporation was ...

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