1. Carsten owns 26% of Air Germany GmbH, an Airline for domestic services, connecting the major cities of Germany and Austria. He serves as managing director of Air Germany. Although it has ordered some more aircrafts in 2019, it is suddenly struggling to pay its debts due to the health crisis. From April 14^th Air Germany was bankrupt. Nevertheless, Carsten decided two days before to transfer some outstanding amount of money, especially the board member's salaries and their bonuses for 2019.

Although the directors of a company have the freedom to manage the company largely as they see fit, has Carsten acted correctly or has he violated any of his duties?

If Carsten has violated his duties, which and how?

To recover "his" company, Carsten suggested that the company sells 10 of their 12 aircrafts to Red Stone AG, an investment company with expertise in leasing aircrafts all around the world. The process goes through, but after the sale, shareholders at Air Germany discovered that Vincent owned 50% of Red Stone. They demanded that he gives the Red Stone stock back to Air Germany or to undo the transfer. Look at the following questions below and answer to them in detail.

Can this acquisition be considered as a merger? If this would be the case, explain what type of merger and what will be the requirements for notification to the competition authorities. Which kind of other types of mergers do you know? Please give an example for each of them.