Shareholder: Oust All Hollinger Inc. Directors

By: Mark Fitzgerald The investment fund that last year successfully argued for a court investigation into Hollinger Inc.'s finances says it is headed back to the Ontario Superior Court of Justice -- this time to sweep out all directors of the company that holds a majority voting interest in the publisher of the Chicago Sun-Times and other papers.

Hollinger Inc. said Monday it has been notified that Catalyst Fund will ask the court to remove all present directors, or appoint Catalyst representatives to pursue the lawsuits Hollinger has filed against former Chairman Conrad Black and his Ravelston holding company.

Catalyst is the biggest holder of Hollinger non-voting preferred shares and announced recently that it now owns 2.5% of the common stock.

Hollinger said it would respond formally later, but in a statement Monday declared that its board "has at all times acted with the best interests of all shareholders in mind."

Hollinger Chairman Gordon W. Walker said Catalyst's latest litigation "is redundant and nothing more than further legal and political maneuvering in a case that has already had far too much of both and with limited benefit to anyone. ... This company needs less litigation, not more."

Hollinger Inc. and Hollinger International -- the publishing company -- are both suing Black and others for allegedly misappropriating as much as $400 million in improper fees and contracts.


No comments on this item Please log in to comment by clicking here