By: E&P Staff
With a payment of about $1 million, the Canadian holding company Conrad Black once used to control his global newspaper empire settled its legal disputes with five former directors Monday.
Hollinger Inc. said it will collapse two trusts holding C$8 million (US$6.9 million), and from that will pay the former directors C$1.25 million (US$1.08 million) plus approximately C$700,000 (US$604,000) in legal.
The remaining money will be returned to Hollinger, the company said.
The former directors — Gordon Walker, Paul Carroll, Robert Metcalfe, Allan Wakefield, and Donald Vale — had sued for alleged unpaid directors fees and departure bonuses amounting to C$6 million. The settlement announced Monday resolves all claims, Hollinger said.
“Hollinger is satisfied to have these disputes resolved. Settling these disputes is consistent with our principal goal of spending less of our time and resources dealing with historical issues and focusing on finding ways to enhance the value of our investment in Sun-Times Media Group,” G. Wesley Voorheis, a director of Hollinger, said in a statement.
Hollinger’s principal asset is an approximately 66.8% voting and 17.4% equity interest in Sun-Times Media Group, publisher of the Chicago Sun-Times and about 100 other publications in the Chicago market.