CBS buys shareholder #MeToo suit for $14.75M . settled in

CBS’s parent Paramount Global has agreed to pay $14.75 million to shareholders who claimed the media giant’s failure to disclose sexual misconduct allegations against former CEO Les Moonves had “degraded the value of its stock”. artificially enhanced”.

according to this Reuters, Paramount Global, Moonves, and attorneys for the plaintiffs filed a proposed settlement settlement in Manhattan federal court on Friday. CBS and Moonves have denied that they misled investors.

In 2018, at the height of the #MeToo movement, Moonves was accused of sexual misconduct by more than a dozen women, including exposing herself and forcing women to have sex.

Although the former CEO has denied wrongdoing and said the relationship was consensual, he was Kicked off CBS in September 2018,

les moonves
Les Moonves and CBS were accused by CBS shareholders of misleading investors and not disclosing sexual misconduct claims against the CEO.

Two months later, CBS said it had fired him for the reason and Denied $120 million severance packageFollowing a board review of the findings of the investigation into Moonves’s conduct and the culture of the network CBS. Led by two law firms appointed by,

Lawyers for CBS and Moonves did not immediately respond to requests for comment, and neither did attorneys for the plaintiffs at Robbins Geller Rudman & Dowd, Reuters said.

In 2018, a group of CBS shareholders filed a class-action lawsuit alleging CBS and Moonves mislead investors Initially by not disclosing the claims against the CEO and making public statements in support of #MeToo.

For example, according to Reuters, Moonves called #MeToo “a watershed moment” at a 2017 industry conference and said, “I think it’s important that the company culture doesn’t allow it… We didn’t know.”

In 2020, US District Judge Valerie Caproni in Manhattan found that there was only one statement cited by the plaintiffs that could mislead investors, and dismissed all other claims.

paramount studio sign
ViacomCBS was renamed Paramount Global after the company’s famous Hollywood studio, Paramount Pictures.
LightRocket via Getty Images

At the time of the suit, there was much talk that CBS would merge. sister company Viacom, That deal was announced in August 2019 and closed in December, making ViacomBS to Paramount Pictures, MTV, CBS and Showtime. The media group was renamed Paramount Global in February.

post with wires

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