News Corp. to Pay $139 Million to Settle Lawsuits Bloomberg
News Corp.'s board agreed to pay $139 million to settle shareholder lawsuits accusing the directors of ignoring illegal conduct at the media conglomerate, including phone hacking by some employees, reports Bloomberg.
Insurance covering the company's board, including Chairman Rupert Murdoch, will pay the settlement, which will go into the company's accounts instead of going to individual investors, the story says.
The piece notes, "As part of the settlement, News Corp. officials agreed to tighten oversight of the company’s operations and set up an anonymous whistle-blower’s hotline for tips about misconduct, according to Delaware Chancery Court filings. Shareholders who sued alleged the board’s lax oversight allowed wrongdoing to flourish at the company and harmed its stock price."