No SEC Fine for Tribune Co. Over Circulation Errors
The Securities and Exchange Commission brought no fines or sanctions against Tribune Co. upon concluding its inquiry of circulation misstatements at the publisher's Newsday and Hoy newspapers, the company said yesterday. But it ordered the Tribune Co. to "cease and desist" from violating statutory provisions related to its record keeping and reporting.
The Chicago-based Tribune Co., publisher of the Chicago Tribune and Los Angeles Times, in 2004 had identified circulation reporting errors at Newsday and Hoy during an internal investigation. The SEC's inquiry began the same year, with assistance from Tribune Co.
Newsday and Hoy brought in new management teams and tightened circulation policies, systems and procedures in response to the inaccuracies. Restitution was offered to Newsday and Hoy advertisers, while Tribune Co. also initiated an internal audit of circulation practices at its other daily newspapers. No material misstatements were found during the additional inquiries.
Tribune Co. is a multimedia company that operates businesses in publishing and broadcasting. It runs 11 daily newspapers and operates 26 television stations nationwide.