Who is Elliott Singer seeking to block Samsung C&T-Cheil Industry merger

“He does not make money through economic calculations. He earns by exploiting natural disasters, political assassinations, and economic chaos.”

Greg Palast, an investigative reporter in the U.S., made an assessment of investment methods used by Chairman Paul Elliott Singer of Elliott Management in an exclusive interview with The Dong-A Ilbo in Manhattan, New York on Thursday last week. He said it was his conclusion after tracing Elliott’s behaviors for 10 years. Palast said Elliott does not care whether a certain country or its industry goes belly up or not.

Palast said Chairman Singer pocketed 1 billion dollars by taking advantage of the crisis faced by the U.S. automobile industry, the bread and butter of the American manufacturing industry. He said Singer pocketed a huge sum of money in the course of buying and selling Delphi as subsidiary of General Motors, which was on the brink of collapse in 2008, and as a result 35,000 jobs disappeared.

On Elliott Singer’s opposition to merger between Samsung C&T and Cheil Industries, Palast said, “He would not mean to make money based on economic principles. He believes that if Korean style management practice (emphasizing corporate social responsibility such as employment) is destroyed, new value is created for shareholders,” adding, “I guess that they will seek to force Samsung to suggest ‘special compensation’ whatever it takes by interfering in the deal.” He went on to warn that “Chances are high that his opposition to the merger through acquisition of Samsung C&T shares will become a prolonged bid.”

Elliott is reportedly mobilizing voting rights among other hedge funds in an aggressive fashion recently. Mason Capital Management, another overseas hedge fund, has also reportedly secured 2.2 percent stake in Samsung C&T.