They are reading their D&O policies and control them twice.
This is the word from within Paramount, whose board and controlling shareholder Shari Redstone is trying to make a decision about resolving a $ 20 billion litigation brought by President Trump for a controversial interview – 60 minutes in Kamala Harris.
They are afraid of so-called directors and responsibility security officers, commonly known as D&O, would not cover bribes-a fee that they could be exposed if they give Trump’s requests, they have learned about money.
As the column has reported, Redstone is ready to pay Trump up to $ 50m to resolve the issue that comes after the Trump Federal Communication Commission is holding its plan to sell Paramount and its CBS News subsidiary to the independent Skydance company.
Her decision may come every day now, and Trump is said to be acceptable for the deal. He recently set a defamation suit with ABC, forcing Bob Iger, who runs the parent company of Disney network, forks over $ 16 million.
But Disney and ABC are not in the middle of the union, and the main payment can be seen as a bribe to save favor with the Trump administration and facilitate Skydance agreement, media leaders tell the money.
Fulfilling the problem for the board and the red stone is that the D&O insurance typically does not cover the bribe. There is a possibility of civil lawsuits brought by shareholders, a possible criminal investigation raised by a prosecutor who hate Trump, and “if the Democrats take the room and/or the Senate between the endless congressional hearings.
“I feel bad for him,” said a high media CEO with direct knowledge of the issue for Redstone. “It is really in a difficult place.â €
“They are really worried that they can face civil or even criminal charges and their insurance does not cover legal expenses,” the executive added. “The problem is that no one really thinks Trump has a good occasion and it would be resolved to push the deal forward.”
A Redstone spokeswoman refused to comment. A Trump’s legal adviser refused to comment.
“This lawsuit is fully separated from, and unrelated to Skydance’s transaction and the FCC approval process,” said a spokesman for Paramount in a statement. “We will adhere to the legal process to protect our issue.â €
Of course, businesses settle with the government all the time on regulatory violations than to be involved in a more expensive legal battle. Some media leaders say the change here is that Redstone is not settling with the government, but a single individual who has a wide control over its wealth. Now some Democratic lawmakers like Vermont Socialist Senator Bernie Sanders have warned of the legal implications of a solution.
Despite shaking hands, Redstone’s decision is said to be immediate and she has told people that it is her preference to resolve the issue and continue with her life. The paramount-scydance deal is estimated at $ 8 billion. Redstone, 71, has seen her wealth evaporate with the sharp drop in paramount stock in recent years.
If the deal is completed, it would leave with $ 2 billion and preserve a wealth module she inherited from her father, the creator of the late media Redstone.
Trump filed a lawsuit against CBS last October during the 2024th presidential election heat, after a 60 -minute interview with Harris, the democratic nominee. The judicial proceeding reflects a complaint raised on the FCC by a conservative legal group claiming that CBS News magazine fraudulently edited the interview to make Harris’s words sound more presidential.
CBS has long been charged with left -wing prejudice, though the first change generally provides a free -speech shield. However, Trump FCC is claiming that CBS, which operates on public air waves compared to the cable, has a legal task, “public interest” to ensure coverage of impartial news especially during a presidential election.
The FCC is holding up approving the paramount-scydance agreement and the very necessary approach to redstone in cash, as it investigates if “60 minutes” has really glued the scales to its editing and Trump’s lawsuit remains active in the Federal Court of Texas.
The Conservative Group known as the Center for American Rights says there is clear evidence of fraudulent editing, indicating the full transcript of the Harris interview that shows a long answer, and in its opinion, less coherent answers to a question of politics that includes the Gaza war.
â € 60 minutes denies that he has done anything wrong and says he regularly edits interviews for the time considerations. Legal experts say Trump has poor basis to sue by giving 60 minutes past practices. But Trump’s lawsuit claims that editing violates the business law in Texas that makes the inclusion in “deceptive actions or practices, or fraudulent practices in conducting any trade or trade.”
In addition to her evaporation wealth, Redstone faces a steep tax bill – up to $ 200 million – stemming from the ownership shares she inherited from her father after died in 2020.
#Shari #Redstone #Spot #Tough #paramount #board #afraid #set #Trump #open #Pandoras #box #bribe #laws #Resources
Image Source : nypost.com