- Category:
- Richest Business › Executives
- Net Worth:
- $5 Million
- Birthdate:
- Feb 6, 1936 (88 years old)
- Birthplace:
- San Francisco, California, U.S.
- Gender:
- Male
- Profession:
- Electronics company executive
- Nationality:
- United States of America
What is J. Howard Marshall III's net worth?
J. Howard Marshall III is an American businessman who has a net worth of $5 million. J. Howard Marshall, also known as James Howard Marshall III is the eldest of two sons born to oil billionaire (and Anna Nicole Smith husband) J. Howard Marshall II. Thanks to a 16% stake in Koch Industries, J. Howard II was worth $1.6 billion at the time of his death in 1995. Today that stake would be worth $16-20 billion. As we detail in a moment, in the early 1980s J. Howard III sold a 4% stake in Koch back to his father under duress after a failed corporate coup for $8 million. That 4% stake today would be worth $4-5 billion. Additional legal dramas ensued and J. Howard III was forced to pay his brother Pierce $11 million in legal damages which led him to declare bankruptcy in 2002. J. Howard Marshall is currently the President and Owner of MDH Industries.
Koch Industries
In 1974, J. Howard II gave his two sons, J. Howard III and E. Pierce, roughly 4% stakes in Koch Industries. Upon giving them the shares, Howard II told his sons:
"These are the crown jewels. Take care of them."
Koch Industries was founded by Fred C. Koch. Through a series of mergers and acquisitions, J. Howard III accumulated a 16% stake in the Koch business.
Fred C. Koch had four sons, Fred Jr., William Koch, Charles Koch and David Koch. In 1980, the four brothers began fighting over control of Koch Industries. J.Howard Marshall III sided with Fred and William. J. Howard II sided with Fred and Bill Koch. E. Pierce sided with Charles and David. In 1983, Charles and David proved victorious in the battle.
In the aftermath, Howard II demanded his son return the 4% stake in Koch that he had given to him as a gift in 1974. For his part, Howard III demanded his father pay him $8 million for the 4% stake. His father was so incensed that his son would dare to sell him the shares back that he cut him out of his will, reportedly saying that $8 million was "all he'd get." Today that 4% stake which J. Howard III sold for $8 million would be worth several billion dollars.
After his father passed away, J. Howard Marshall III went after his brother, E. Pierce Marshall in court, claiming that his brother had stolen from him. A jury later ruled in favor of E. Pierce Marshall, and subsequently found J. Howard Marshall guilty of fraud. In 2002 a judge ordered J. Howard III to pay his brother $35 million in damages. At the time, J. Howard III claimed to have a net worth of $26 million. Even though the judgment was soon reduced to $11 million plus legal fees, he was still forced to declare bankruptcy in July 2002.
E. Pierce Marshall died in 1995. When all the legal drama was over, his widow Elaine Marshall inherited the family's 16% stake in Koch Industries. That stake gives Elaine a net worth of $20 billion today, and makes her one of the richest women in the world.
Anna Nicole Smith
James Howard Marshall II was infamously married to model Anna Nicole Smith for 14 months between 1994 and 1995. Upon Marshall II's death, both J. Howard Marshall III and Anna Nicole Smith were denied access to his $1.6 billion fortune. J. Howard III supported Anna in her legal battle which ultimately was not successful and was even heard by the United States Supreme Court! In the 2007 TV movie documentary "The Life and Death of Anna Nicole," Howard played himself. He was also interviewed in a 2001 episode of "E! True Hollywood Story."
