RFC Headers:
From: Hasak, Reuven
To: Peled, Abe
Date: 3/20/2000 1:43:54 PM
Subject: FW:
-----------------------------
Abe Shalom
Here is a report from Ray re Canal+ etc.
The issue for you is the COJYP SA which Ray mentioned while meeting you a week ago or so.
I talked to Ray, and I assume he'll try to get hold of you and give you more details.
In case you find interest in the COJYP story, we can be of help but somebody else should take the lead;
In case you have no interest, we should ignore it and stop persuing ; it is up to you---please let us know.
Toda
Reuven
-----Original Message-----
From: Adams, Ray
Sent: Sunday, March 19, 2000 10:43
To: Hasak, Reuven
Subject:
Reuven
The situation with Canal + and the technical provider seems a very
strange story.
I had a long meeting with the informant and he explained a lot of
detail.
Basically the story is that about a year ago the president of Canal +
had e meeting and negotiation with Rupert Murdoch. The bottom line
is that the President of Canal + showed RM the door and said no deal.
Sine then CANAL+ have undergone some major changes. They are also
in partnership with Vivendi. Some disputes are arising from the way
the company is run and is viewed. Canal+ see themselves as a
broadcaster and Vivendi see the whole operation as a business. This
has lead to some tension and it is considered that the day of the long
knives is not too far away. It is considered that the head of Canal
+ will depart.
Two of his failings are that he did not head off the current hack and
now that they have it he seems powerless to do anything about it. He
is in bed with Roger Kinsburg (head of Rendezvous - Porno) and using
his contacts to try to find a solution to the hack. They at first
used Hannibal who is now named in a major law suit by John Norris and
myself. Also their operation to have the pirate cards read lead then
straight back to the Russian mob of which Hannibal is a part. So
they all have red faces. This made them seek out and approach Alex
and ask him for his assistance. This after they spent a lot of money
investigating him. So they do not appear too professional in this
area. They have offered Alex FF10,000,000 to assist them with other
promises.
The other major promise centers upon the fact that SECA will shortly
cease to exist it will become Canal + Technologies and will be part of
a major float on the stock exchange in September. They have promised
Alex a large right to buy under the IPO and also will make available
to him a major Share Option holding. This shows how desperate they
are to rid themselves of the hack. Alex could do all this for them.
He could make them hack-free.
The other even more major matter is that Canal+ do not own their
operating technology MEDIA HIGHWAY and NEDIA GUARD. This was
developed by a small company COJYP SA. The lawyer for this company
states that Canal + stole the technology and are using it without
authority. Cojyp is demanding 300,000,000 FF in compensation.
Canal + responded with an offer estimated at between 20 - 50 million.
A major court case could be looming.
The situation is that the float of the new company is no in serious
jeopardy and Canal + seem impotent to resolve either of the two major
issues. If they try to go to market whilst they still have a hack -
which will be well over a year old by then and couple that with the
fact that they do not own their broadcast technology then they will
sink. They will have to cancel.
Alex is very central to all this and introduced me to the informant.
The informant is well placed to assist in negotiations as he knows all
the players. He of course has his own agenda
Alex can deliver whatever we want here. He could equally assist
Canal + and solve their hack.
People keep telling me that this is a Major (Golden) opportunity for
News Corp. I am told a convincing story and strategies and tactics
are outlined which coupled with an inside source (courtesy of Alex)
could be instrumental in a deal.
I have a lot more detail and I have access to the source. I outlined
most of this to Gorm although he is not aware of my Friday evening
meeting with the informant.
I would like your permission to approach Abe direct and or your advice
as to how I should proceed. Business ventures are outside my remit
although on this occasion most of the information and influence is
with Alex and myself.
I will be speaking with the informant again very late tonight so I
will not bother you more. I am presenting to an NDS group on Piracy
Monday Morning near Heathrow so I could be free to see Abe after that.
I must say that my instincts are that we have something here and
should at least allow Abe the opportunity to brief News Corp.
Ray