Bond King Bill Gross sues Pimco for hundreds of millions over his ouster.

Billionaire Thinks His Old Company Owes Him Another Couple Hundred Million

Billionaire Thinks His Old Company Owes Him Another Couple Hundred Million

Moneybox
A blog about business and economics.
Oct. 8 2015 12:33 PM

Ousted Bond King Bill Gross Is Suing His Old Firm for Hundreds of Millions of Dollars

bill-gross-bond-king
“Bond King” Bill Gross.

Photo by Jim Young/Reuters

Bill Gross, billionaire, “Bond King,” and deposed Pimco executive, is suing his former firm for hundreds of millions over his ouster. Per Bloomberg, Gross claims in a complaint filed Thursday in California state court that Pimco high-ups conspired to push him out and, in doing so, lay claim to his share of the fund’s hefty bonus pool.

“Driven by a lust for power, greed, and a desire to improve their own financial position and reputation at the expense of investors and decency, a cabal of Pimco managing directors plotted to drive founder Bill Gross out of Pimco,” the complaint states. “Their improper, dishonest, and unethical behavior must now be exposed.”

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Other than to dull the pain of the alleged betrayal, why does Gross feel he’s owed so much money? Here, again, from Bloomberg:

Gross was expecting a bonus of about $250 million for 2014, with most of that due in the second half of the year, according to the lawsuit. Because he left the firm days before the third quarter ended, Pimco refused to pay him a proportionate amount, said the complaint, which claims that his termination resulted in damages to Gross of no less than $200 million.

Gross, incidentally, is worth an estimated $2.3 billion and has all the trappings of a wealthy eccentric. He used to be a professional blackjack player. He credits some of his best ideas to balancing upside-down in a yoga position known as the “feathered peacock.” His investment outlooks are almost never dry, and when they are, people start to worry. He once had a stock-picking cat.

But Gross is also generous! At least, generous with whatever money he’s able to extract from those who jilted him. Should Gross prevail in his lawsuit, his lawyer tells Bloomberg, all proceeds will go charity.

Alison Griswold is a Slate staff writer covering business and economics.