Liberty Media Chairman to Pay $1.4 Million Penalty

WASHINGTON, D.C.: John Malone, the chairman of Liberty Media Corporation, must pay a $1.4 million civil penalty, the Department of Justice announced today, settling charges that he violated pre-merger reporting and waiting requirements when he acquired Discovery Holding Co. shares.

The Justice Department’s Antitrust Division filed a civil antitrust lawsuit in U.S. District Court in Washington, D.C., against Malone for violating the notification requirements of the Hart-Scott-Rodino (HSR) Act of 1976, beginning in August 2005 and continuing through April 2008, when he was acquiring Discovery voting securities. The HSR Act mandates notification and a waiting period on individuals and companies over a certain size before they complete acquisitions resulting in holding stock or assets above a certain value.