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Frank Stronach

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Frank Stronach
CM
Leader of Team Stronach
In office
25 September 2012 – 31 December 2017
Preceded byParty established
Succeeded byParty dissolved
Personal details
Born
Franz Strohsack

(1932-09-06) 6 September 1932 (age 92)
Kleinsemmering, Styria, Austria
NationalityAustrian and Canadian
Spouse
Elfriede Sallmutter
​
​
(m. 1964; died 2024)​
[1]
ChildrenBelinda, Andrew
OccupationBusinessman
Racehorse owner/breeder
AwardsOrder of Canada
(1999)
Thoroughbred horse racing awards:

Frank Stronach CM (born 6 September 1932) is an Austro-Canadian billionaire businessman and politician.

Frank Stronach (2013)

He is the founder of Magna International, an international automotive parts company based in Aurora, Ontario, Canada, Granite Real Estate, and the Stronach Group. With an estimated net worth of $C3.06 billion (as of December 2017), Stronach was ranked by Canadian Business as the 31st richest Canadian.[2]

In 2011, he entered Austrian politics: founding the Stronach Institute to campaign for a flat tax[3] and lowering national debt.[3] In 2012, he founded the political party Team Stronach for Austria.

In 2024 he was arrested by Peel Regional Police and charged with 13 offenses, including rape, indecent assault on a female, eight counts of sexual assault and one of forcible confinement, involving 10 alleged victims.[4][5][6][7] Police allege that the sexual assaults spanned from the 1980s to 2023.[8][9] In October 2024, Magna International conducted its own records review responding to Peel Regional Police. His counsel, Brian Greenspan, however, stated that Stronach denied all the accusations in at least 18 pending sexual assault complaints.[10]

Early life and family

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Of Croatian heritage he was born as Franz Strohsack in Kleinsemmering, Styria, Austria, to working-class parents.[11][12]

He married Elfriede Sallmutter, a fellow Austrian. She died in Canada on March 25, 2024 at the age of 80.[13] They have two children: Belinda Stronach, a former Liberal (and previously Conservative) MP and former CEO of Magna, and Andrew Stronach, who is involved in Thoroughbred horse racing, via the Adena Springs Farms breeding operations. His grandchildren include electronic musician Frank Walker.

Business career

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In 1956, Stronach started his first business, Multimatic Investments Ltd., in the old manufacturing district of Toronto. In 1969, his firm acquired its first automotive parts contract and merged with Magna Electronics. In 1973, the name was converted from Multimatic Investments Ltd to Magna International Ltd.

Stronach, who is currently[when?] the non-executive chairman of Magna International, holds multiple-voting shares of the company, which gives him majority voting power over issues brought to shareholder vote. Although he controls the voting power among Magna's shareholders, Stronach owns only 4% of Magna's equity. His pay packages over the past few years have been between $30 and 50 million CAD. [citation needed] In October 2018, he sued the Stronach Group.[14]

On 1 October 2018, he and his wife filed a lawsuit against their daughter Belinda, their grandchildren Nicole and Frank Walker, and Alon Ossip for failure to honour commitments regarding the management of The Stronach Group (TSG), from which Frank Stronach resigned as trustee in 2013 when he ran for office in Austria.[4] The settlement to the lawsuit was announced on 13 August 2020. As part of the settlement, Frank and Elfriede will assume full control and ownership of a stallion and breeding business, all farm operations in North America, and all European assets. Belinda Stronach retains full control of The Stronach Group's horse racing, gaming, real estate and related assets.[15]

Other ventures by Stronach over the years include the "As Prime Minister, I Would…" symposium, the Fair Enterprise Institute think tank, the business magazine Vista, Frank's Energy Drink, and the beef ranch operations of Adena Farms.[16][17]

Thoroughbred horse racing

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In 2011, Stronach along with his daughter Belinda Stronach, founded The Stronach Group, a horse racing, entertainment and pari-mutuel wagering technology company. The Stronach Group horse racing industry brands include; Santa Anita Park, "The Great Race Place"; Pimlico Race Course, home of the Preakness Stakes; Gulfstream Park, one of Florida's entertainment destination centers, and home to the $16-million Pegasus World Cup Invitational, the world's richest Thoroughbred horse race; Laurel Park; Golden Gate Fields; Portland Meadows; and Rosecroft Raceway. The Stronach Group is in pari-mutuel technology through its subsidiaries AmTote and Xpressbet and is a distributor of horse racing content to audiences through Monarch Content Management. A settlement to the lawsuit launched by Stronach on 1 October 2018, was announced on 13 August 2020. As part of the settlement, Stronach assumes full control and ownership of a stallion and breeding business, all farm operations in North America, and all European assets while Belinda Stronach retains full control of The Stronach Group's horse racing, gaming, real estate and related assets. Stronach no longer plays a role in The Stronach Group.[15]

Among his early successes was his partnership with Nelson Bunker Hunt in the filly Glorious Song who was voted the 1980 Sovereign Award for Canadian Horse of the Year.

His horses have won the Queen's Plate in 1994 and 1997, the Belmont Stakes in 1997, and the Preakness Stakes in 2000. His horse Ghostzapper won several major races including the 2004 Breeders' Cup Classic, was voted the Eclipse Award for Horse of the Year, and named the World's Top Ranked Horse for 2004. In Canada, Stronach and/or his Stronach Stables has won the Sovereign Award for Outstanding Owner nine times. In the United States, he earned the Eclipse Award for Outstanding Owner in 1998, 1999, and 2000. In 2000, he won the Eclipse Award for Outstanding Breeder. He subsequently established Adena Springs Farms which owns horse breeding farms in Kentucky, Florida and Canada and won the Eclipse Award for Outstanding Breeder in 2004, 2005 and 2006. [citation needed]

Politics

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In the 1988 Canadian federal election, Stronach was the Liberal candidate in York—Simcoe, receiving 35% of the vote to place second to Progressive Conservative winner John E. Cole.

In 2011, Stronach entered Austrian politics, proposing the establishment of a new political party: a "Citizens' Alliance" advocating tax, health, and education reform.[18] In November 2011, he called for an 'intellectual revolution' in Austria, suggesting that he would be willing to fund a student-led political party.[19]

Stronach's plans to form a new party gained prominence in 2012. He called for a flat tax of 20%, a reduction in bureaucracy by 10% over five years, and a balanced budget.[20] Stronach argued that Austria should stay in the EU, but that the euro was a 'monstrosity'.[21]

His programme was compared to the Alliance for the Future of Austria (BZÖ); Stronach had admired the BZÖ's leader Josef Bucher as the only politician in Austria that represented economic liberalism.[22] This led to suggestions that Stronach would take over the BZÖ ahead of the 2013 elections so as to give his movement seats in Parliament.[23]

The new party, called Team Stronach, was launched in September 2012.[24][25] Four MPs – Gerhard Köfer of the Social Democratic Party, Elisabeth Kaufmann-Bruckberger of the BZÖ and independents Robert Lugar and Erich Tadler agreed to join the party.[26] The endorsement of at least three members of the National Council was required for a party to compete in general elections (alternatively, a quorum of 2,600 signatures in support of the party's candidacy have to be collected).[27][28]

Hurricane Katrina

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On 6 September 2005, Stronach announced that he and Magna International were committing $2 million to start a model community[29] for people displaced by Hurricane Katrina.[30] The Toronto Star reported that "Magna Entertainment Corp.[31] (a gambling and racing business[32] once the world’s largest owner of race tracks[33]) is [currently] providing housing for about 260 evacuees from the New Orleans area at a racetrack training facility in Palm Beach County, Florida and will move them to a new community in November. Auto-parts giant Magna International Inc. and MEC are scouting for about 500 to 1,000 acres (2 to 4 km2) in an area of Baton Rouge in Louisiana to set up trailers and infrastructure. "[W]e would like to build a small community where we would try to be sponsors for the next five to seven years", Stronach said in an interview with The Star.[34]

Honours

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In 1999, Stronach was made a Member of the Order of Canada.[35]

References

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  1. ^ "Elfriede Stronach, wife of Frank Stronach, dies at 80". Daily Racing Form. 31 March 2024. Retrieved 31 October 2024.
  2. ^ "Canada's Richest People: Frank Stronach". Canadian Business. Retrieved 18 February 2021.
  3. ^ a b "Dafür stehen wir | Frank Stronach Institut". 15 August 2012. Archived from the original on 15 August 2012. Retrieved 6 July 2024.
  4. ^ Gillis, Wendy (28 June 2024). "Frank Stronach charged in sex assaults involving seven new victims, court documents indicate". Toronto Star. Retrieved 28 June 2024.
  5. ^ "Canadian businessman Frank Stronach charged in sex assault probe". CBC News. 7 June 2024. Retrieved 8 June 2024.
  6. ^ "Arrest made in Sexual Assault Investigation". Peel Regional Police. Retrieved 8 June 2024.
  7. ^ "Billionaire Frank Stronach charged with 8 more criminal counts including sexual assault, police say". CBC News. 26 June 2024. Retrieved 27 June 2024.
  8. ^ "Canadian billionaire Frank Stronach charged with for sexual assault". AP News. 7 June 2024. Retrieved 8 June 2024.
  9. ^ "Everybody's afraid of Frank'". CBC News.
  10. ^ "Magna International conducting 'targeted review' of records as more charges laid against founder Frank Stronach". CTV News. 30 October 2024. Retrieved 31 October 2024.
  11. ^ http://webarchive.nationalarchives.gov.uk/20130502205454/http://toronto.jnf.ca/images/FrankStronach_invite%2Dweb.pdf
  12. ^ "Magna Force - DBusiness - January / February 2011 - Detroit, MI". DBusiness.com. June 2009. Retrieved 7 March 2017.
  13. ^ "Frieda Stronach Matriarch of Adena Springs". canadianthoroughbred.com. 28 March 2024. Retrieved 30 October 2024.
  14. ^ Hegarty, Matt (11 October 2018), Stronach files $400M lawsuit against daughter, former CEO, DRF, retrieved 14 October 2018
  15. ^ a b "Stronach family settles lawsuits, splits fortune between Belinda, Frank - National | Globalnews.ca". Global News. Retrieved 13 September 2021.
  16. ^ Wells, Jennifer (30 September 1996). "Frank Stronach (Profile)". Maclean's. Retrieved 9 June 2024.
  17. ^ Willis, Andrew (2 November 2018). "Frank versus Belinda. It's a battle for the Stronach family fortune". The Globe and Mail. Retrieved 9 June 2024.
  18. ^ "Frank Stronach überlegt Partei-Gründung". Die Presse (in German). 30 June 2011. Retrieved 12 May 2012.
  19. ^ "Frank Stronach krempelt die Ärmel wieder auf". Die Presse (in German). 18 November 2011. Retrieved 12 May 2012.
  20. ^ "Stronach will Flat Tax für Österreich". Die Presse (in German). 21 March 2011. Retrieved 12 May 2012.
  21. ^ "Stronach: Finanzielle Hilfe für etwaige Studentenpartei". Die Presse (in German). 17 November 2011. Retrieved 12 May 2012.
  22. ^ "Die Stronach-BZÖ-Connection". Die Presse (in German). 30 March 2012. Retrieved 12 May 2012.
  23. ^ "Frank Stronach, BZÖ-Mandatar in spe". Die Presse (in German). 5 May 2012. Retrieved 12 May 2012.
  24. ^ Cremer, Andreas (11 August 2012). "Magna founder to launch Austrian party". Reuters. Archived from the original on 6 March 2016. Retrieved 26 August 2012.
  25. ^ "Frank Stronach launches campaign to lead Austria". cbc.ca. Retrieved 25 October 2012.
  26. ^ "Stronach-Partei: Gerüchte um vierten Mandatar "falsch"". Die Presse (in German). 26 August 2012. Retrieved 12 May 2012.
  27. ^ "Antritt gesichert: Stronach holt dritten Mandatar an Bord". Die Presse (in German). 23 August 2012. Retrieved 12 May 2012.
  28. ^ "Wahlen – Wie kann man bei einer Nationalratswahl kandidieren?" (in German). Austrian Interior Ministry. Retrieved 2 October 2013.
  29. ^ Whitehall, Geoffrey; Johnson, Cedric (27 September 2011). "Making Citizens in Magnaville". The Neoliberal Deluge: 60–84. doi:10.5749/minnesota/9780816673247.003.0003. Retrieved 27 October 2024.
  30. ^ "Magna houses 275 storm victims in Fla". www.drf.com. Retrieved 27 October 2024.
  31. ^ "Magna Entertainment Corporation". Magna Entertainment Corporation. Archived from the original on 8 April 2000. Retrieved 27 October 2024.
  32. ^ "Magna Entertainment seeks bankruptcy protection". CBC News. 5 March 2009. Retrieved 27 October 2024.
  33. ^ "Full Text of All Articles". www.berkeleydailyplanet.com The Berkeley Daily Planet. Retrieved 27 October 2024. Golden Gate Fields Auction April 3 By Richard Brenneman Wednesday March 18, 2009 - 07:09:00 PM
  34. ^ "Redirect". Thestar.com Toronto Star. 3 March 2017. Retrieved 7 March 2017.[dead link]
  35. ^ "Mr. Frank Stronach | Aurora, Ontario, Canada | Member of the Order of Canada". Governor General of Canada. 15 April 1999. Retrieved 7 May 2024.
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