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CNN parent Warner Bros. Discovery must hand over financial info if subpoenaed as defamation trial looms

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CNN parent Warner Bros. Discovery must hand over financial info if subpoenaed as defamation trial looms

FIRST ON FOX – A Delaware court ordered on Friday that CNN parent company Warner Bros. Discovery has to hand over detailed financial documents if subpoenaed in support of a Plaintiff’s high-stakes defamation lawsuit, or else the company must offer a “sworn declaration” that they do not exist. 

U.S. Navy veteran Zachary Young alleges that CNN smeared his security consulting company, Nemex Enterprises Inc., by implying it illegally profited when helping people flee Afghanistan during the Biden administration’s military withdrawal from the country in 2021. Young believes CNN “destroyed his reputation and business” during a segment on “The Lead with Jake Tapper.” 

A Florida judge previously agreed with Young’s legal team that CNN should hand over sensitive financial information that the cable network presented to its parent company, Warner Bros. Discovery, in order to determine CNN’s net worth. However, Young’s attorneys say that they have not received the appropriate documents and filed a motion to compel in Delaware, where Warner Bros. Discovery is based. 

CNN FACES DEFAMATION SUIT OVER AFGHANISTAN WITHDRAWAL STORY: ‘EVIDENCE OF ACTUAL MALICE’

Plaintiff Zachary Young’s photo was aired by CNN during the segment in question.  (CNN/Screenshot)

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Young’s attorneys, Blake Bennett and Joe Delich, said that Warner Bros. Discovery has “not been able to complete financial discovery” related to cash flow statements and balance sheets. 

“It’s simply inconceivable that Warner Bros. Discovery is incapable of providing cashflow and balance sheet information for its wholly owned subsidiary,” Delich told Judge Lynne Parker. 

“Warner Bros. Discovery has produced some documents but has not produced any information about cashflow, or any kind of balance sheet information,” he continued. “We know that Warner Bros. Discovery has the ability to do this.”

Delich then explained that Warner Bros. Discovery prepares consolidated financial statements publicly filed with the SEC.

“In order to prepare consolidated financial statements, there must be something to consolidate,” Delich said. 

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DEFAMATION LAWSUIT AGAINST CNN COULD EXPOSE COMPANY’S FINANCIAL SECRETS AS COURT SEEKS TO EXPOSE NET WORTH

CNN host Jake Tapper and correspondent Alex Marquardt during the segment at the center of a defamation lawsuit.  (CNN/Screenshot)

Jennifer Ying, representing Warner Bro. Discovery, argued the plaintiff’s team filed a “premature motion” ahead of the subpoena return date, and the subpoena didn’t specify cash flow statements and balance sheets. Ying also said Warner Bro. Discovery has “repeatedly” explained the documents don’t exist.

“If it doesn’t exist, we can’t be compelled to produce anything,” Ying said. 

“We have told them twice now that such information does not exist,” she continued. “They have refused to accept that. We cannot create information that simply does not exist.”

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Judge William Henry, who is presiding over the case in Florida, previously ordered that CNN is obligated to “produce whatever is within its possession, custody or control” but said there is nothing in the law that would require a CNN executive to produce a sworn statement or declaration claiming the documents don’t exist. 

Judge Lynne Parker disagreed and said Young’s attorneys need to file a new subpoena specifying cash flow statements and balance sheets, and CNN’s parent company will be held accountable if the information is not promptly handed over. 

An Afghan burqa-clad woman searches for recyclable materials amid plastic waste at a garbage dump on the outskirts of Mazar-i-Sharif on September 28, 2024. (Photo by Atif Aryan / AFP) (Photo by ATIF ARYAN/AFP via Getty Images) (Photo by ATIF ARYAN/AFP via Getty Images)

“Well, CNN does not have to provide a sworn declaration, but Warner Bros. does. You’re going to subpoena Warner Brothers requesting these two specific things, and they’re either going to produce documents or they’re going to give you a sworn declaration that it does not exist,” Judge Parker said. 

“Issue the subpoena right away,” she continued. “They have 20 days from the date of issuance to respond.”  

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A civil trial is scheduled to begin on Jan. 6 in front of Judge Henry in the Circuit Court for Bay County, Florida. 

The CNN segment at the center of the suit, which was shared on social media and also repackaged for CNN’s website, began with Tapper informing viewers that CNN correspondent Alex Marquardt found “Afghans trying to get out of the country face a black market full of promises, demands of exorbitant fees, and no guarantee of safety or success.”

CNN ACCUSED OF WITHHOLDING CRITICAL DOCUMENTS NEEDED TO DETERMINE VALUE AHEAD OF DEFAMATION TRIAL

CNN host Jake Tapper. (CNN)

Tapper tossed to Marquardt, who said “desperate Afghans are being exploited” and need to pay “exorbitant, often impossible amounts” to flee the country. Marquardt then singled out Young, putting a picture of his face on the screen and saying his company was asking for $75,000 to transport a vehicle of passengers to Pakistan or $14,500 per person to end up in the United Arab Emirates.

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“Prices well beyond the reach of most Afghans,” Marquardt told viewers. 

No other people or companies were named other than Young, who alleged that CNN, using the terms “black market,” “exploit” and “exorbitant,” inaccurately painted him as a bad actor preying on desperate people. 

Internal communications between CNN employees that were revealed during the discovery process have indicated editors were concerned about the segment but aired it anyway. Other internal communications revealed CNN employees used profanities and disparaging language when privately discussing Young. 

Editor’s Note: This article’s headline was updated to make clear Warner Bros. Discovery would be compelled to hand over relevant financial information if subpoenaed by the plaintiff, or else prove they didn’t exist.

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Maine

Maine competition gives creative entrepreneurs the chance to win money

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Maine competition gives creative entrepreneurs the chance to win money


BANGOR, Maine (WABI) – If you’ve ever wondered what goes into pitching a good business idea, you might want to stop by a Big Gig event.

The Big Gig Entrepreneurship Pitch Off brings professionals from across the state together to network and pitch their early-stage business ideas for a chance to win $500.

Tuesday’s competition was held at the Salty Brick Market in Bangor, and it drew a lot of spectators.

“The winners of each semifinal event get $500 and the opportunity to compete for $5,000, so that can make a huge impact on a business that’s just getting off the ground,” said Renee Kelly, a Big Gig organizer.

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The winner of the competition, Colin McGuire, was also grateful for the opportunity to showcase his idea “Art on Tap,” which would connect local artists with local venues trying to put on events.

“The support tonight is huge, and it’s just giving me more enthusiasm for running with the idea,” he said.

The season finale of the competition will be held May 19th.

The location is yet to be determined.

If you’d like to apply to compete in the contest, you can go to biggig.org.

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Massachusetts

‘No way to leave’: Mass. families stuck in Middle East amid war in Iran

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‘No way to leave’: Mass. families stuck in Middle East amid war in Iran


Massachusetts families are stuck in the Middle East amid the war in Iran, and Democratic Sen. Ed Markey says the State Department needs to do more to get them home.

The Trump administration is telling Americans to leave the region, and families would love to, but they haven’t been able to get out.

Stacey Schuhwerk of Hingham has been sheltering in place in a Doha hotel since Saturday.

“We hear the missiles outside,” she said. “We can see them.”

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The Hingham mother and her son are among nearly 1,600 Americans trapped in the Middle East with no way to get home.

“Airspace is shut down. There’s no planes,” said Schuhwerk. “There’s no way to leave.”

Flights between Boston and the Middle East are canceled or delayed as travelers express anxiety over the conflict.

At first, U.S. officials told people to shelter in place and register with the State Department — something Schuhwerk did days ago.

“There’s no help there. The last time we called was 20 minutes ago, and they continue to say that ‘We don’t know anything about any plans for government help to get people out,’” she said.

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Embassies and consulates across the region — including the U.S. Embassy in Israel — have now suspended services, saying they simply can’t get Americans out.

“They did not have a plan to conduct this war, and they clearly did not have a plan as to how to evacuate innocent families,” Markey said.

The senator says his office is hearing from Massachusetts families, and he’s pressuring the Trump administration to come up with an evacuation plan fast.

“We are going to apply that pressure on the State Department until every American who wants to leave that region is out,” he said.

Back in Doha, Schuhwerk keeps watching the war outside her window.

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“The talk here is ‘How much defensive ammunition’s left?’ Good question, you know, because the missiles aren’t stopping,” she said. “So how long are we going to be safe here?”

With no clear end to this conflict, she’s worried she could be stuck there for weeks.



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New Hampshire

N.H. woman accused of civil rights violation after allegedly shooting at lost man because he was Black

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N.H. woman accused of civil rights violation after allegedly shooting at lost man because he was Black


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Diane Durgin, 67, is accused of shooting at a Black man who inadvertently drove to her property after a prearranged truck part sale, prosecutors said.

A New Hampshire woman is accused of violating the state’s Civil Rights Act four times after she allegedly shot at a man because he was Black, prosecutors said.

Diane Durgin, 67, of Weare, N.H. could face up to a $5,000 fine for each violation she is found to have committed, the office of New Hampshire Attorney General John Formella said in a press release Tuesday.

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Durgin is also charged with criminal threatening against a person with a deadly weapon and attempted first degree assault with a deadly weapon, Michael Garrity, a media representative for the New Hampshire Attorney General, said in an emailed statement to Boston.com.

Durgin had a final pre-trial conference last week, Garrity said.

In a civil complaint filed Tuesday, Durgin is accused of threatening physical force against the victim, the AG said. Prosecutors asked the court to issue a preliminary injunction barring Durgin from repeating her alleged behavior and from contacting the victim and his family.

During the morning hours of Oct. 20, 2024, the victim claims, he “mistakenly” drove to Durgin’s home after a prearranged purchase of a truck part with a seller online, prosecutors wrote as part of their request for an injunction.

When the man — whom prosecutors identified in court documents as X.G. — arrived, Durgin allegedly stepped out of her home and approached his car with a gun “holstered by her waist,” prosecutors wrote. 

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Upon noticing that X.G. was Black, Durgin allegedly “removed her gun and pointed it at X.G.,” prosecutors said in the injunction request.

While X.G. explained that he was lost, Durgin called the victim a “Black mother[expletive],” and threatened to “kill him,” prosecutors allege.

As the victim attempted to drive away, Durgin allegedly took her gun and fired two shots at the fleeing man’s car, missing both times, the AG’s office said.

While on the phone with a dispatcher, Durgin allegedly said she shot the man’s car because the victim is Black, the AG said.

“The guy is Black. And he, he…he says he’s meeting someone here and I think he’s coming here to steal,” Durgin allegedly said.

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Police located X.G. and brought him to the Weare Police Department, stopping along the way at the correct seller’s home to complete the truck part purchase, prosecutors wrote in court documents.

To prove a violation of the New Hampshire Civil Rights Act, the AG must show that Durgin “interfered or attempted to interfere with the rights of the victim to engage in lawful activities by threatening to engage in or actually engage in physical force or violence, when such actual or threatening conduct was motivated by race, color, religion, national origin, ancestry, sexual orientation, sex, gender identity, or disability,” prosecutors said.

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