New York City’s pension funds have sued Fox Corp., alleging the company neglected its duty to shareholders by airing false statements about the 2020 election that exposed it to defamation lawsuits.
“Fox’s board of directors has blatantly disregarded the need for journalistic standards and failed to put safeguards in place despite having a business model that invites defamation litigation,” New York City Comptroller Brad Lander said in a statement to The Hill. Lander oversees the pension funds.
“A lack of journalistic standards and a proper strategy to mitigate defamation has clearly harmed Fox’s reputation and threatens their bottom line and long-term profitability,” he continued.
The Hill has reached out to Fox for comment.
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This is ultimately a way to pressure the board into being more responsible for the truthfulness of the “news” channel. I think it’s a very good thing. I hope it leads to an ouster of the entire board. It’s unlikely, but I’m hopeful.