CBS and Les Moonves reach settlement with New York attorney general over allegations of sexual misconduct, misleading investors and insider trading
NEW YORK - CBS and former CBS President and CEO Leslie Moonves will pay millions of dollars for violating New York's investor protection laws.
A $30.5 million payment was announced Wednesday by New York Attorney General Letitia James.
Nearly $15 million will come from an insurance payment yet to be finalized.
An investigation by the attorney general's office found that CBS and former members of senior leadership knew about allegations of sexual assault made against Moonves. The investigation also determined the allegations were concealed from regulators, shareholders and the public for months.
Paramount Global, which owns CBS and CBS2, will pay $7.25 million. The company released this statement:
"We are pleased to resolve this matter concerning events from 2018 with the New York Attorney General's office, without any admission of liability or wrongdoing. The matter involved alleged misconduct by CBS's former CEO, who was terminated for cause in 2018, and does not relate in any way to the current company."
According to the press release, Moonves is required to pay $2.5 million which will go to CBS shareholders. An attorney for Moonves did not immediately reply to a request for comment.