Suit filed in MGM merger

The $573 million MGM/Metromedia merger, whose idea was it?

Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million.

Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO Leonard White last March, in exchange for getting an “expression of interest” from MGM for a deal. White also assured Sapsowitz that Metromedia tycoon John Kluge was in favor of seeking a deal with MGM, the suit alleges.

Sapsowitz, 71, was a finance exec at MGM from 1957 until 1985.

MGM officials were unavailable for comment Tuesday night. But sources close to MGM say that, in fact, the first contact on the potential merger came in early April 1997, when MGM chairman Frank Mancuso was in New York to participate in Variety’s Big Picture Conference. While in Gotham, Mancuso met secretly with Metromedia CEO Stuart Subotnick.

Defendants include Kluge, White, Subotnick, Metromedia and Orion. The suit seeks unspecified punitive damages.

More Biz

  • Loveless Movie Wild Bunch

    Once-Powerful Indie Player Wild Bunch Seeks a White Knight

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

  • (L-R) Jodi Kantor and Megan Twohey

    How New York Times Reporters Broke Hollywood's Biggest Sexual Harassment Story

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

  • Roman Polanski

    LAPD Investigating Allegations Against Roman Polanski, Case Cannot Be Prosecuted

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

  • Democratic candidate for U.S. Senate Doug

    Celebrities Celebrate Doug Jones' Senate Win: 'This Is A Pretty Good Night'

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

  • Rescue dogs

    Film Publicists Organize New York City Fundraiser for Rescue Dogs

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

  • pandora

    Pandora Names Aimée Lapic Chief Marketing Officer

    The $573 million MGM/Metromedia merger, whose idea was it? Sidney Sapsowitz says it was his, and in a complaint filed in Los Angeles Superior Court the former MGM finance exec VP is suing to get his 5% finder’s fee of $28.65 million. Sapsowitz said he was promised the finder’s fee by Metromedia Entertainment Group CEO […]

More From Our Brands

Access exclusive content