Case Study Self-Dealing at Hollinger International Inc. Source: Hill, C.W.L., Schilling, ML. and Jones, GR. (2020). Strategic Management: An Integrated Approach: Theory and Practice, [3'h Edition, Cengage. In the past four years, Conrad Black, CEO, and David Radler, COO, ofHollinger International Inc., illegally diverted cash and assets to themselves, family members, and other corporate insiders. Hollinger International, a global publishing empire, owned newspapers around the world, such as the Chicago Sun-Times, the Daily Telegraph (in London), the National Post (in Toronto), and the Jerusalem Post (in Israel), among others. According to Stephen Cutler, the director of Security Exchange Commission's Division of Enforcement, \"Black and Radler abused their control of a public company and treated it as their personal piggy bank. Instead of carrying out their responsibilities, the defendants cheated and defrauded these shareholders through a series of deceptive schemes and misstatements." In a practice known as \"tunneling," Black and Radler engaged in a series of self-dealing transactions such as selling some of Hollinger's newspapers at below-market prices to companies privately held by Black and Radler themselves sometimes for as low as one dollar. They also directly channeled money out of the rm under the guise of \"noncompetition payments." The managers abused corporate perks, using a company jet to u to the South Pacic for a vacation and spending corporate funds on a swanky, New York apartment on Park Avenue and a lavish, USD62,000 birthday party for Black's wife. Black's illgotten gains are thought to total more than USD4OO million, and fallout from the scandal resulted in a loss of USDZ billion in shareholder value. Although Black was sentenced to 6.5 years in jail, he ultimately only served 42 months. Charles Snow, the newly appointed CEO of Hollinger international Inc. would like to seek your advices on the ethical issues of the company: 1. What are the main ethical issues of Hollinger? 2. Who are the key stakeholders in Hollinger? What are their legitimate expectation and duties? 3. What is the impact of selfdealing to Black and Radler? And what is the impact of self dealing to Hollinger? 4. What are the alternative approaches that Charles Snow should take: to make Hollinger an integrity organization or a compliance organization? 5. What are the four elements that Charles Snow can do to make Hollinger an ethical organization