SEC accuses Black of fraud
The U.S. Securities and Exchange Commission has filed a lawsuit against Conrad Black and his top deputy David Radler, accusing them of using the newspaper company they ran as their "personal piggy bank" over a period of four years.
In a suit filed in federal court in Chicago, where Hollinger International is based, the SEC accused Black and Radler of siphoning money from the company to themselves and then misleading the board about those transactions.
Stephen Cutler, the SEC's head of enforcement, said the two men ``abused their control of a public company and treated it as their personal piggy bank."
Hollinger publishes the Chicago Sun-Times and The Jerusalem Post. Until recently it also owned The Daily Telegraph of London.
The suit adds to Black's legal troubles. The Canadian-born businessman is already being sued by Hollinger International for the recovery of money it says he improperly diverted to himself and his associates.
The company's lawsuit makes broader accusations against Black and claims that he and his associates and companies under his control caused more than $500 million (U.S.) in damages to Hollinger International.
The U.S. Securities and Exchange Commission has filed a lawsuit against Conrad Black and his top deputy David Radler, accusing them of using the newspaper company they ran as their "personal piggy bank" over a period of four years.
In a suit filed in federal court in Chicago, where Hollinger International is based, the SEC accused Black and Radler of siphoning money from the company to themselves and then misleading the board about those transactions.
Stephen Cutler, the SEC's head of enforcement, said the two men ``abused their control of a public company and treated it as their personal piggy bank."
Hollinger publishes the Chicago Sun-Times and The Jerusalem Post. Until recently it also owned The Daily Telegraph of London.
The suit adds to Black's legal troubles. The Canadian-born businessman is already being sued by Hollinger International for the recovery of money it says he improperly diverted to himself and his associates.
The company's lawsuit makes broader accusations against Black and claims that he and his associates and companies under his control caused more than $500 million (U.S.) in damages to Hollinger International.
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