LA Times Employee Lawsuit Settled

A group of former LA Times employees has settled their lawsuit with GreatBanc Trust, the trustee for Tribune Company’s employee stock ownership plan, for $32 million. The employees alleged that Sam Zell’s leveraged buyout and subsequent bankruptcy of the Tribune Company defrauded employees, who had gained an ownership stake in the company through its employee stock ownership plan. As is par for the course when big companies commit some kind of wrongdoing these days, GreatBanc and Tribune Co.