Erstwhile media mogul Lord Conrad Black is facing the prospect of his Canadian company Hollinger Inc testifying against him in next year's federal fraud and racketeering trial [WAMN: 02-Dec-05].
H-Inc, through which his Lordship once controlled Chicago-headquartered publisher Hollinger International, says it has reached a deal with US prosecutors to provide documents and possible witnesses. In return, the company, with its new board, will not face charges.
The ex-newspaper baron, who once owned the Telegraph Group in the UK, is alleged to have looted H-Intl of $84 million (€65.5m; £44.6m). Black and three former associates deny the charges.
Prosecutors allege they schemed to dip into proceeds from sales of H-Intl newspapers by paying themselves and companies they controlled, including H-Inc, 'noncompete' payments related to the asset sales.
Edward Greenspan, a lawyer for Black, said H-Inc's cooperation agreement "is in no way indicative of the guilt or the innocence of the defendants in this case".
Data sourced from Wall Street Journal Online; additional content by WARC staff