Sheer Illegal
2005.03.11 16:21

Nippon Broadcasting has decided to give Fuji TV exclusive rights to buy new shares in an attempt to outmaneuver Livedoor's bid to control the radio broadcaster.
On Feb. 24, Livedoor filed for a court injunction to block Nippon Broadcasting from issuing new share warrants to Fuji TV. The Tokyo District Court is set to hand down a ruling over the injunction request later this week, sources said. (Mainichi Interactive, March 8, 2005)
Now it's time 'later this week' - we all are waiting to see without taking a breath on how to make a legel decision over this turmoil.
Livedoor/Lehman Brothers now holds 42.23% and Fuji-Sankei holds 36.47% of all shares of Nippon broadcasting corporation. If this 'new shares warrants' were admitted, the shares will be Livedoor - 17.32% and Fuji - 73.95%?
This is a sheer illegal matter. The judges of Tokyo District Court won't admit this 'weird' attempt by this broadcasting corporation. This is not only a 'forbidden hand' but affecting an overall ambience of Japanese economy, which implies furthermore, if admitted, ordinary investors who are willing to invest their fund in a bid to earn extra profit from it will be discouraged, because as if their investment were totally made a mockery of by a company they invested, I guess it is never likely to occur, which is directly against the benefits of ordinary shareholders.
Instead it is court's role to prohibit their 'illegal attempt', make them illegal, not give them legal basis to do so. I believe they -court people know better than to admit new share warrants, which is in my point of view, something out of the question, out of law, but certainly it was out of the blue.
Majority of specialists have the same opinion now I expressed