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Lord Black of Crossharbour secretly enlisted Donald Trump to speak up on his behalf at a heated shareholders meeting as he faced growing criticism of his stewardship of the newspaper empire, his fraud trial was told yesterday.
The former press baron sent a “Dear Donald” e-mail to the property mogul and reality TV star asking for a “rather esoteric favour” before the company’s 2003 annual meeting.
“If you were able to put in a cameo appearance and say a supporting word, I’m sure it would have an impact on the group and be favourably noted in the press,” Lord Black wrote.
Mr Trump, star of The Apprentice reality TV series, had bought the Chicago Sun-Times building from Lord Black’s newspaper group. But he did not qualify to attend the shareholders’ meeting because he did not hold any stock.
Paul Healy, the company’s head of investor relations, testified yesterday that Lord Black told him shortly before the meeting to give Mr Trump a proxy vote so he could attend.
Mr Healy said Lord Black told him that Mr Trump “will be one of those present to support us”. Jurors were played a tape recording of the meeting at which Mr Trump declared: “I fully support the company and its management, and in particular I have great respect for Conrad Black.” He was one of the few people to support the management as other shareholders peppered Lord Black with questions over millions of dollars in payments and perks he had received.
Mr Trump has been named as a potential witness for Lord Black’s defence, which is likely to begin in the first week of June. The property mogul is expected to testify in support of Lord Black’s claim that a $62,000 surprise 60th birthday party he threw for his wife at a New York restaurant with $40,000 in company money was in part a business event.
Before the trial, the New York Times reported that Mr Trump was ready to tell the court that he attended the party because he was negotiating to buy the Chicago Sun-Times building at the time.
Prosecutors have sought to cast doubt on that claim by showing a seating plan of the 80-person dinner and eliciting testimony from Mr Radler, Lord Black’s former right-hand-man, that he did not discuss the sale of the building with Mr Trump at the party. Mr Trump has publicly advised Lord Black, who attended his 2005 wedding, to “hang tough” through his trial.
Mr Trump later razed the Sun-Times building and is building a skyscraper on the site.
During cross-examination, Lord Black’s lawyer suggested that Mr Healy, who is testifying under an immunity deal with prosecutors, had not been supportive of Lord Black. “I supported Conrad until I found out what he’d done,” Mr Healy said.
Prosecutors indicated that they may call company shareholders to testify against Lord Black. Eric Sussman, the lead prosecutor, told the judge that he may call Gene Fox, of Cardinal Capital Management, one of the shareholders.
The trial continues.
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