Enlarge imageLONDON (Reuters) - David Barclay, who with his brother Frederick tried to buy Conrad Black’s newspaper empire before being thwarted by a U.S. judge last week, has called the judge’s ruling "grossly unfair."
David Barclay said in a statement on Friday he was "not seeking any redress but believes for the sake of accuracy and fairness going forward these facts should be noted for the record."
The Barclays are considering a bid for part or all of Hollinger International, owner of the Britain’s Telegraph and the Chicago Sun-Times, through investment bank Lazard.
"They’re still considering their options," said a source close to the Barclays. One bidder for Hollinger’s assets told Reuters that Lazard has set a deadline on or around March 23 for bids. The investment bank declined to comment.
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The Barclays, owners of the Scotsman newspaper and London’s Ritz Hotel, agreed to buy Conrad Black’s majority interest in Toronto-based holding company Hollinger Inc, which has a controlling voting stake in Hollinger International.
That deal came as Hollinger International was investigating millions of dollars in allegedly unauthorised payments to Black, a member of Britain’s House of Lords known for his conservative political views.
Hollinger International’s other shareholders argued that the deal between the Barclays and Black would have left them out in the cold, and took Black to court.
In a stinging legal defeat for Black and the Barclays, Delaware Vice Chancellor Leo Strine blocked their deal on March 4.
He ruled that Black "breached his fiduciary and contractual duties," and that the Barclays were "less than fully candid" and "remain(ed) silent while Lord Black misled the (Hollinger) International board."
David Barclay said in his statement that Strine had ruled on allegations that were never aired in court.
He said the Barclays were advised by an eminent U.S. law firm and "any suggestion, therefore, they acted at all improperly is completely unjustified."
He added that the brothers "deny there was any improper collusion with Lord Black and there is no evidence for any such allegations."
