Gemstar-TV Guide pays $5.6 million fine, settles Justice lawsuit - - Tulsa, OK - News, Weather, Video and Sports - |

Gemstar-TV Guide pays $5.6 million fine, settles Justice lawsuit


WASHINGTON (AP) _ Gemstar-TV Guide International Inc. and the Justice Department reached a settlement Thursday that includes a record $5.6 million fine for allegations concerning pre-merger actions.

The civil penalty is the largest ever for a case of ``gun-jumping,'' in which Gemstar and TV Guide allegedly fixed prices, divvied up customers and violated waiting periods before they merged in July 2000. The settlement must still be approved by a federal judge.

``Merging parties must remain separate and independent until the end of the statutory waiting period,'' said R. Hewitt Pate, acting assistant attorney general for the antitrust division.

TV Guide, which sells about 9 million copies a week, and Gemstar merged in part to focus on an interactive program guide for cable and satellite TV and other media innovations. But the Pasadena, Calif.-based company has lost key patent cases, restated recent earnings and is the subject of a Securities and Exchange Commission investigation into accounting practices.

The settlement with the Justice Department prevents Gemstar-TV Guide from engaging in similar conduct in the future and gives customers who signed contracts before the merger a chance to rescind them.
Powered by Frankly
News On 6
303 N. Boston Ave.
Tulsa, OK 74103 is proud to provide Oklahomans with timely and relevant news and information, sharing the stories, pictures and loves of Oklahomans across our great state.
All content © Copyright 2000 - 2018 KOTV. Oklahoma Traveler™ is a registered trademark of Griffin Communications. All Rights Reserved.
For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices.