Judge stops Black's deal to sell Hollinger International

[Judi Lynn]

Posted on Fri, Feb. 27, 2004

Judge stops Black's deal to sell Hollinger International

SETH SUTEL

Associated Press


NEW YORK - Newspaper tycoon Conrad Black lost a court battle with his own board of directors, forcing him to abandon a deal he had cut to sell control of Hollinger International Inc. to a pair of British businessmen.

Judge Leo Strine of Delaware's Chancery Court was harshly critical of Black in his 130-page opinion handed down Thursday, saying he didn't believe Black's testimony on key points and found that he "persistently and seriously" breached his obligations to his own company.

Black, while saying he disagreed with the ruling, indicated that he would accept its findings and agree to help sell the company's assets - principally The Daily Telegraph of London, the Chicago Sun-Times and The Jerusalem Post - through a process already under way with the Lazard LLC investment bank.
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He packed his board with hand-picked allies, including prominent political figures such as Henry Kissinger, former Illinois Gov. James Thompson and former defense adviser Richard Perle.
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http://www.bradenton.com/mld/bradenton/business/8050454.htm