News Corp could pay $850 million or more to settle FCPA violations, according to a report Monday by the Guardian.
Michael Wolfe, who reports on media, said:
In private conversations, executives at Rupert Murdoch’s News Corp are acknowledging ongoing discussions with the U.S. Justice Department about a possible settlement of alleged violations of the Foreign Corrupt Practices Act that took place in Britain. Speculation by one knowledgeable News Corp source puts the size of the settlement as high as $850 million; other sources say that it could go as high as billions.
More than a dozen journalists from News Corp.’s U.K. papers have been arrested on suspicion of bribing U.K. police and officials in return for confidential information.
In March, the Wall Street Journal said News Corp hired Washington, D.C. law firm Williams & Connolly to handle the FCPA case and global investigation.
News Corp owns the Wall Street Journal.
The paper said a final report dealing with all FCPA issues was expected to be delivered to the DOJ in April.
‘Several U.S. officials said senior Justice Department lawyers are increasingly skeptical any criminal charges would be filed against individuals at the company, although the investigation continues,’ the Wall Street Journal said.
News Corp is based in New York. Its shares trade on Nasdaq under the symbol NWS and NWSA. After June 28, it will split into two companies. A publishing group will still be named News Corp. A media and entertainment group will be called 21st Century Fox.