Inquiry involves alleged trade-secrets theft
A federal grand jury is investigating whether Hilton Worldwide and several of its former executives should face criminal charges for allegedly stealing tens of thousands of pages of confidential documents from Starwood Hotels & Resorts, The Wall Street Journal reports.
The grand jury is part of a six-month-old Justice Department probe into allegations that Hilton, which is owned by private-equity firm Blackstone Group, used trade secrets taken by former Starwood executives who defected to Hilton last year to develop its own luxury brand to compete with Starwood's W chain. The Justice Department's inquiry grew out of a civil lawsuit Starwood filed in April alleging that ex-Starwood executives Ross Klein and Amar Lalvani took more than 100,000 Starwood documents with them when they joined Hilton in 2008.
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