Tweet
Nationwide knocks Sunday Herald for dishonest reporting of Cash Plus deal
Monday, November 12, 2007
NATIONWIDE News Network (NNN) yesterday expressed shock at the Sunday Herald's lead story which reported Cash Plus Group's failed bid to acquire a majority stake in the radio station.
At the same time, NNN's chief executive officer and director, journalist Cliff Hughes, has resigned, "with immediate effect" from the newspaper's board in apparent protest at what Nationwide described as the Sunday Herald's "less than honest" reporting of the facts surrounding Cash Plus's attempted investment.
"We find the Sunday Herald report shocking and less than honest in that it made no reference to the fact that the Cash Plus interest in NNN also included The Sunday Herald newspaper," NNN said in news release.
According to the Sunday Herald story, Cash Plus and NNN had agreed to a $70-million cash injection in the radio station in return for a 70 per cent stake. However, the proposed deal collapsed after Cash Plus advertised NNN as a member of the Cash Plus Group of Companies, earning Hughes' disapproval as the deal had not yet been finalised.
Yesterday, Hughes and his lawyer, Walter Scott, would only say that the agreement between NNN and Cash Plus "has been terminated by mutual agreement" and that they could not comment further as they were bound by a confidentiality agreement.
Hughes, however, when pressed, admitted that he was concerned that due to his association with the Sunday Herald, the newspaper's story could have given the impression that he went public with details of the proposed deal out of malice.
Last night, Sunday Herald editor, Desmond Richards, said his newspaper's failure to report its involvement in the deal was not deliberate. "It was not a deliberate attempt on our part to cover up our involvement," Richards told the Observer. "It was just an error. There was no intention to cause embarrassment."
He confirmed that Cash Plus had approached both Nationwide and the Sunday Herald with an offer to inject cash into both entities in return for a 70 per cent stake in either company. However, he said that Cash Plus had basically completed talks with NNN while the Sunday Herald was still awaiting word from Cash Plus. Asked whether he would pursue the negotiations with Cash Plus, Richards said no, as the offers were joined.
Nationwide, in its release, said the discussions with Cash Plus have been amicable and were conducted in a professional manner. "We, at NNN, wish to conclude these discussions with the utmost professionalism and in conformity with ethical business practices," Nationwide said.
Monday, November 12, 2007
NATIONWIDE News Network (NNN) yesterday expressed shock at the Sunday Herald's lead story which reported Cash Plus Group's failed bid to acquire a majority stake in the radio station.
At the same time, NNN's chief executive officer and director, journalist Cliff Hughes, has resigned, "with immediate effect" from the newspaper's board in apparent protest at what Nationwide described as the Sunday Herald's "less than honest" reporting of the facts surrounding Cash Plus's attempted investment.
"We find the Sunday Herald report shocking and less than honest in that it made no reference to the fact that the Cash Plus interest in NNN also included The Sunday Herald newspaper," NNN said in news release.
According to the Sunday Herald story, Cash Plus and NNN had agreed to a $70-million cash injection in the radio station in return for a 70 per cent stake. However, the proposed deal collapsed after Cash Plus advertised NNN as a member of the Cash Plus Group of Companies, earning Hughes' disapproval as the deal had not yet been finalised.
Yesterday, Hughes and his lawyer, Walter Scott, would only say that the agreement between NNN and Cash Plus "has been terminated by mutual agreement" and that they could not comment further as they were bound by a confidentiality agreement.
Hughes, however, when pressed, admitted that he was concerned that due to his association with the Sunday Herald, the newspaper's story could have given the impression that he went public with details of the proposed deal out of malice.
Last night, Sunday Herald editor, Desmond Richards, said his newspaper's failure to report its involvement in the deal was not deliberate. "It was not a deliberate attempt on our part to cover up our involvement," Richards told the Observer. "It was just an error. There was no intention to cause embarrassment."
He confirmed that Cash Plus had approached both Nationwide and the Sunday Herald with an offer to inject cash into both entities in return for a 70 per cent stake in either company. However, he said that Cash Plus had basically completed talks with NNN while the Sunday Herald was still awaiting word from Cash Plus. Asked whether he would pursue the negotiations with Cash Plus, Richards said no, as the offers were joined.
Nationwide, in its release, said the discussions with Cash Plus have been amicable and were conducted in a professional manner. "We, at NNN, wish to conclude these discussions with the utmost professionalism and in conformity with ethical business practices," Nationwide said.