State of Ohio settle lawsuit against Time Warner

State of Ohio settle lawsuit against Time Warner

The state of Ohio has said that they have reached a settlement with media industry giant Time Warner Inc. The settlement has been reached for a sum of $144 million on behalf of six state funds.

They had claimed that the company defrauded after merging with the online service AOL a couple of years ago.

The Ohio Bureau of Workers Compensation and five state pension funds had claimed that they lost nearly $400 million when the two companies merged as the stock of the merged company plunged to less than $10 from $48 a share.

They had further said that the companies had misrepresented sales and subscriber figures ahead of the merger. Time Warner had responded by saying that the company had not admitted any wrongdoing or liability as part of the agreement.

Marc Dann, the state’s attorney general said in a statement: “I don’t believe our recovery will be anything near the hundreds of millions of dollars. But the case is out and we will continue to pursue it.”