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August 20, 2005 Black could put up fight By GILLIAN LIVINGSTON, CRAIG WONG, CP TORONTO -- Forever fallen from his perch atop his former newspaper empire, Conrad Black seems destined to endless and expensive legal wrangling if U.S. authorities lay charges and try to extradite him from Britain, legal experts say. With a prison sentence possible if he's convicted of securities fraud in the United States, the former Hollinger group chairperson will likely fight to delay extradition and charges with all the clout and cash he can muster, lawyers said yesterday. Allegations two years ago that he fraudulently diverted cash from one of his companies led to a spectacular fall from grace for Black, a jetsetter who once gloated about the strength of his Hollinger newspaper empire and regularly socialized with prime ministers and corporate kingpins. But Thursday's news that Black's longtime crony David Radler had been indicted on securities fraud charges -- and plans to plead guilty and co-operate with authorities -- suggests Black could soon be next in the line of fire of U.S. law enforcement authorities eager to crack down on corporate crime. But U.S. authorities need to get the potentially lengthy case started quickly, said Douglas McNabb, senior principal at McNabb Associates, a Houston law firm specializing in international extradition. "The U.S. cannot seek Mr. Black's extradition until after he has been charged," said McNabb, adding he's heard rumours U.S. authorities could announce charges within a week. Charges would lead authorities to request Black's extradition and put a notice of the U.S. arrest warrant on Interpol. Even if charged and facing extradition, Black has several legal and appeal options that could drag out the extradition case for a few years at least, McNabb said. "He's not a terrorist, he's a white collar guy, and he's got money and he's prepared to fight it," McNabb said from Houston. Black, who gave up his Canadian citizenship a few years ago in a dispute with former prime minister Jean Chretien over a British peerage, could face years of prison time, "absolutely, without doubt if he's convicted," McNabb said. That gives Black a good reason to take each legal battle as far as he can. U.S. authorities are playing out a now-familiar strategy. They will use information from Black's longtime associate, Radler -- who was charged along with another executive Thursday with fraudulently diverting $32 million from Hollinger International -- to build their case against the former media mogul. "This is now a well-oiled routine of U.S. prosecutors, to go after people close to the top of the organization . . . and then throw the book at them" to get them to help take down their former boss, said Joe D'Cruz, a professor at the University of Toronto's Rotman business school. Authorities will use Radler's information to make their case against Black strong, particularly to lay out the motivation behind each transaction, said John Coffee, a law professor at Columbia University in New York. "It's often very difficult to make the case simply from the paper record," he said. "That's why a witness is critical. "(Radler) can implicate Black with having the requisite intent," Coffee added. If Black is charged, it will be up to him to decide whether he faces the charges head-on or uses all legal means to avoid them, Miller said. Miller suggested Black's lawyers and the U.S. Justice Department are in discussions. "I would assume there will continue to be discussions behind the scenes about whether Conrad Black, at the end of the day, has criminal culpability and whether it is advantageous for him to resolve that criminal culpability now, rather than waiting for some day a year or two down the road," Miller said on ROBTv. This article can also be found at Canoe, The Calgary Herald , and The Guardian. | |