Black launches £480m case against Hollinger

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The Times
From Abigail Rayner in New York



LORD Black of Crossharbour is to launch a C$1.1 billion (£480 million) lawsuit against the special committee of Hollinger International, the media group, accusing its members of libel and slander.

The special committee was set up in response to a demand by Tweedy, Browne, Hollinger International’s most vocal shareholder, which wanted an inquiry into large payments routinely received by senior executives.

The committee members include Gordon Paris, interim chief executive of the company, having replaced Lord Black; Raymond Seitz, a former US Ambassador to the UK; and Graham Savage a corporate director.

Last month the special committee published its full findings, which included e-mail conversations between Lord Black and other executives. The report accuses Lord Black, his ally David Radler and other executives of accepting unjustified large payments, selling newspapers to themselves for less than $1 and taking cash amounting to 95.2 per cent of Hollinger's earnings from 1997 to 2003.
More:
http://www.timesonline.co.uk/newspaper/0,,175-1290409,00.html