Hollinger Delays Investigation Report

By: (AP) Hollinger International Inc. is delaying the release of its final report from a board investigation into alleged financial misappropriations by Conrad Black and his affiliates, the newspaper company said Thursday.

Hollinger International said in court documents filed Thursday in Illinois that the Securities and Exchange Commission, which launched a civil suit against the company in January, has agreed to a 10-day delay in finalizing the report.

The report, already delayed several times, was initially due to be released Friday but will now be made available Aug. 30, Hollinger International said.

The Chicago-based publishing company, nominally controlled by Black through a series of holding companies, has already disclosed numerous allegations of hundreds of millions of dollars of questionable transactions by the Canadian-born businessman, his senior executives or affiliated companies.

However, the final report of a special board committee, is expected to also deal with the role and responsibility of Hollinger International's independent directors, which include former U.S. secretary of state Henry Kissinger and former Illinois Gov. James Thompson.

The company said its investigation has kept expanding, even as the special committee was deliberating and drafting its final report.

Meanwhile in Toronto, the Hollinger Canadian Newspapers Limited Partnership -- which is controlled by the Chicago company -- said Thursday it is seeking to trade on a submarket of the junior TSX Venture Exchange after having its units suspended by the Toronto Stock Exchange this month.

The Toronto-based limited partnership, which owns the remains of Black's former Canadian newspaper holdings, said Thursday it has held talks about listing its stock on the NEX trading board, a unit of the Venture Exchange.

However, the NEX has made no decision yet, the newspaper operator said.

The Hollinger Canadian trust is 87% owned by Hollinger International Inc., which has expressed an interest in buying out minority shareholders in its affiliate.