Feeds

Number 10 spinner fingered in NTL investor 'bullsh*t' suit

Points for honesty, allegedly

High performance access to file storage

The man Gordon Brown hopes will pull the government out of its popularity slump was accused of deliberately misleading investors over the financial status of NTL when he was its COO.

Documents filed in a New York class action suit - the cable firm was listed on Wall Street - claimed that after a 2001 conference call Stephen Carter was asked "how can you... persuade investors to believe that NTL is going to be OK when you know it isn't?"

He allegedly replied: "What I tell them is nine-tenths bullshit and one-tenth selected facts."

Carter was poached from a City PR firm and appointed strategy chief by the Prime Minster last week.

The case was settled for $9m without admitting liability by an insurance company acting on behalf of Carter and nine other directors in 2006.

At the time of the call, NTL was saddled with massive debts from investment in the UK cable network. Much of the bill has been inherited by the current owner Virgin Media, which was formed after NTL merged with Telewest in 2006.

Carter left his job as NTL's chief operating officer in 2002. The suit said he and other senior executives illegally lied to spin their way out of the share price nosedive triggered as the full extent of its financial woes emerged.

The conversation is recalled in evidence from his former customer marketing director Charles Darley. It piles further embarrassment on the government, as it tries to move on from a series of scandals that have brought its integrity into question in many eyes.

According to The Times, Carter declined to comment other than to say that US court actions were “often complex and long-running”, while his lawyer said Carter flatly denied the allegations.

We asked Number 10 for comment - we're still waiting.®

Combat fraud and increase customer satisfaction

More from The Register

next story
Putin tells Snowden: Russia conducts no US-style mass surveillance
Gov't is too broke for that, Russian prez says
Lavabit loses contempt of court appeal over protecting Snowden, customers
Judges rule complaints about government power are too little, too late
Don't let no-hire pact suit witnesses call Steve Jobs a bullyboy, plead Apple and Google
'Irrelevant' character evidence should be excluded – lawyers
EFF: Feds plan to put 52 MILLION FACES into recognition database
System would identify faces as part of biometrics collection
Edward Snowden on his Putin TV appearance: 'Why all the criticism?'
Denies Q&A cameo was meant to slam US, big-up Russia
Record labels sue Pandora over vintage song royalties
Companies want payout on recordings made before 1972
Ex-Tony Blair adviser is new top boss at UK spy-hive GCHQ
Robert Hannigan to replace Sir Iain Lobban in the autumn
Judge halts spread of zombie Nortel patents to Texas in Google trial
Epic Rockstar patent war to be waged in California
Reprieve for Weev: Court disowns AT&T hacker's conviction
Appeals court strikes down landmark sentence
German space centre endures cyber attack
Chinese code retrieved but NSA hack not ruled out
prev story

Whitepapers

SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.