|
6-6-03. Domestic Queen
Martha Stewart, 61, was indicted by the federal government on nine counts
and released withoug bail after surrendering to federal authorities. She and
her former stockbroker, Peter Bacanovic, are accused of obstructing justice
and making false statements. For over a year, the question has been whether
or not insider tips helped her avoid a loss in her investment. Stewart is a
former stockbroker and New York Stock Exchange director. James B. Comey, the
U.S. Attorney for the Southern District of New York, thinks “this criminal
case is about lying, lying to the FBI, lying to the SEC, and lying to
investors.”
The federal government
did not charge Stewart with insider trading charges. That will be the focus
of a civil suit by the Securities and Exchange Commission. They believe she
received an illegal tip. This will be hard to prove because it is a matter
of “he said, she said,” and there is no paper trail.
After her indictment,
Martha Stewart resigned her position as chairman and CEO of her company,
Martha Stewart Living Omnimedia. So far, in Marth Stewart’s insider trading
legal woes, the public has been behind her. She recently proclaimed her
innocence and posted a letter saying so on a new Web site and in the “USA
Today” newspaper. According to Stewart, she did not lie to investigators
when they questioned her about her December 2001 sale of 3,928 shares of ImClone
Systems Inc. stock a day before a regulatory setback. She says she “simply
returned a call from my stockbroker.” In the letter, Stewart says “based in
large part on prior discussions with my broker about price, I authorized a
sale of my remaining shares in a biotech company called ImClone. I later
denied any wrongdoing in public statements and in voluntary interviews with
prosecutors. The government’s attempt to criminalize these actions makes no
sense to me.”
Stewart faces 30 years
in prison if she is convicted.
Martha
Stewart – One of U.S.’s Wealthiest People
In October 1999, Martha
Stewart Living Omnimedia, Inc. became public and made Martha Stewart one of
the U.S.’ wealthiest people. This year, however, the company became
unprofitable and lost millions in market value because of Stewart’s legal
woes
|
|
Martha Stewart Living Omnimedia Names
New Director
NEW YORK, Dec.
11 /PRNewswire-FirstCall/ -- Martha Stewart Living Omnimedia, Inc. (NYSE:
MSO) today named Bradley E. Singer to its Board of Directors. Mr. Singer,
who currently serves as Chief Financial Officer of American Tower
Corporation, brings to the board proven financial and operating expertise
and experience in the media and communications industries. He succeeds Darla
Moore who has stepped down from the MSO board.
"We are
delighted to have attracted another high caliber executive, especially
someone with Brad's particular combination of experience in senior operating
management and finance, to MSO's Board of Directors," said Jeffrey Ubben,
Chairman of MSO. "During his tenure at American Tower, Brad has demonstrated
his ability to help manage a company through complex times while balancing
all its many constituencies. This expertise will benefit MSO now and over
the long term as the company continues to evolve. We also want to thank
Darla Moore for her years of service to the Company, and we wish her all the
best in her future endeavors."
"MSO is an
exceptional company with a powerful brand building capability and strong
financial foundation. I am looking forward to being a part of this effort
for a long time to come," said Mr. Singer. "The Board and management make
for a deep and talented team, and I am gratified that the Board selected me
to join this terrific organization."
Mr. Singer has
been the Chief Financial Officer and Treasurer of American Tower
Corporation, a $2.5 billion leader in providing wireless communication
towers, since 2001. During that time, he was a key member of the senior
management team that led the company's strategy to focus on its core rental
and management operations, as well as create innovative approaches to
improving the company's capital structure, delivering significant overall
performance improvements. Prior to this, he was an investment banker in
Communications, Media, and Entertainment group at Goldman, Sachs & Co. Mr.
Singer holds an M.B.A. with distinction from
Harvard
University and is a graduate of the
University
of Virginia.
Martha Stewart
Living Omnimedia, Inc. (MSO) is a leading provider of original how-to
information that turns dreamers into doers, inspiring and engaging consumers
with unique content and high-quality products for the home. MSO's creative
experts develop content within eight core areas -- Home, Cooking and
Entertaining, Gardening, Crafts,
Holiday,
Keeping, Weddings, and Baby and Kids -- that provide consumers with ideas
and products to celebrate their homes and the domestic arts. MSO is
organized into four business segments -- Publishing, Television,
Merchandising and Internet/Direct Commerce.
SOURCE Martha Stewart Living Omnimedia, Inc.. |
