Argentine media group Clarin SA was granted temporary relief on Tuesday from the government's effort to implement a media law that would force the conglomerate to sell some of its most profitable assets.
Earlier Tuesday, it was announced that Federal Judge Horacio Alfonso accepted Clarin's request to appeal a ruling he made Friday that required the company to immediately comply with the law.
In his ruling, Judge Alfonso had also ordered an immediate end to an injunction protecting Clarin from the law's enforcement until courts have decided whether the law is constitutional. But by granting Clarin's appeal and sending the case to an appeals court, Judge Alfonso effectively suspended his own ruling, once again shielding Clarin from the law.
The development comes a day after Martin Sabbatella, head of a government media regulatory agency, notified Clarin that the government had begun the process of auctioning off some of Clarin's assets such as its cable-TV unit. Mr. Sabbatella said the process would last around 100 business days.
Legal experts say the appellate ruling may not come until February or March. Even then, the case will likely be appealed again by the losing side to the Supreme Court.
Only after the Supreme Court has ruled on the law's constitutionality will it be clear if and when Clarin has to comply with the law.
The dispute is part of an escalating battle between Clarin and Argentine President Cristina Fernandez who is trying to enforce a controversial three-year-old media law.
Cristina Fernandez says the law aims to create more competition in the media marketplace. In contrast, Clarin and many analysts say the government wants to muzzle the outspoken broadcaster and diminish the influence of critical press, which it claims wants to see her removed from office.
Top Comments
Disclaimer & comment rulesI cant keep up,whats next?an appeal against the appeal?still looks like the Clarin will still be going strong when the 2013 elections come around,maybe the next presidential elections ?
Dec 19th, 2012 - 08:56 am 0Why would Clarin divest its most profitable assets? If push comes to shove they should concentrate on ensuring the highest return on capital employed in the assets that remain. It could eventually be good for shareholders if Clarin uses it as an opportunity to focus on what they are best at.
Dec 19th, 2012 - 09:24 am 0On the political side it is clearly a law brought in by the president to shut them up.
the housewife ck has to stick her colt back into the holster - and make a counter-appeal. in the meantime clarin can tell the people how ck wanted to hang them.
Dec 19th, 2012 - 09:30 am 0in our nazi times around 1933 to 1945 we never had such a pistol girl in the government.
but judge Alfonso must be questioned if he is quite clear in his brain. why didn´t he give his first sentence free for appeal immediately? possibly ck had cut off the microphone...
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