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A Los Angeles nutrition company is locked in a legal battle with billionaire hedge fund manager Bill Ackman, who has accused the company of perpetuating a pyramid scheme. Herbalife officials said the company will up their legal defense costs from $25 million to $40 million in the wake of Ackman’s accusations, according to a Los Angeles Times article.
Ackman, who reportedly bet $1 billion the company is a sham, has said most of the company’s sales people lose money and expects the company’s shares to fall to zero.
Read the full article from the Los Angeles Times here.
Last modified on Wednesday, 29 May 2013
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