Magazines. Newsweek Media Group has spun off into two separate companies — the 85-year-old Newsweek magazine and IBT Media. Newsweek will comprise the US print and digital versions of the magazine, as well as the international editions in EMEA and Asia and the website Newsweek.com. IBT Media will consist of the International Business Times, Player.One, Latin Times, Fashion Times and Medical Daily. On the day of the demerger announcement, the New York Times reported the following: Newsweek magazine, the onetime media powerhouse, was at the center of a multimillion-dollar fraud and money-laundering conspiracy, according to an indictment by Manhattan prosecutors that was unsealed Wednesday (Oct.10). Two publishing companies, IBT Media, which owned the magazine, and Christian Media, a faith-based online publisher in Washington, were charged with trying to defraud lenders by pretending to borrow money for sophisticated computing services. Instead, most of the money was funneled back to accounts controlled by the two media companies and their principals — Etienne Uzac, a co-founder of IBT, and William Anderson, Christian Media’s former chief executive and publisher — and unnamed co-conspirators, the indictment said. It said some of the money had been used to cover the magazine’s operating expenses.The men were charged with misrepresenting Newsweek’s financial health and creating a fictitious accounting firm, Karen Smith L.L.P., along with a series of fake financial statements to dupe lenders into putting up millions of dollars in 2015 and 2016. Oikos Networks, a computer company, was also named in the indictment, charged with providing fewer, lower-quality computers than the expensive ones on invoices.
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Newsweek demerger and…
