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Black's appeal to remain free on bail denied

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Date: Friday Feb. 1, 2008 7:53 AM ET

CHICAGO — A U.S. federal judge has denied fallen press lord Conrad Black's long-shot request to remain free on bail pending appeal of his fraud and obstruction-of-justice conviction.

Black, the former chief executive officer of Hollinger International, has until March 3 to report to prison and begin his 6½-year prison term.

U.S. District Judge Amy St. Eve, who presided over Black's trial, said in her order Thursday that Black is not a flight risk or danger to the community but his lawyers failed to show his grounds for appeal are likely to result in a reversal or new trial.

Black, in an email to the Globe and Mail on Thursday night, said: "We always assumed we had a better chance with the Court of Appeal and will be going there next.''

Black, 63, was convicted July 13 of illegally siphoning $6 million out of the Hollinger International newspaper empire under the pretense they were so-called non-compete payments from buyers of the company's assets.

He also was convicted of spiriting boxes of documents out of his Toronto offices to keep them out of the hands of investigators.

St. Eve sentenced him to 6½ years in prison, the minimum under federal sentencing guidelines and less than prosecutors had sought. She also fined Black $125,000 and ordered him to pay part of $6.1 million in restitution.

Two other former Hollinger executives convicted with Black, Peter Atkinson and Jack Boultbee, also asked for bail pending appeal. St. Eve also denied their motions Thursday and ordered them to report to prison March 3.

Atkinson was sentenced to two years and fined $3,000. Boultbee was sentenced to 27 months and ordered to pay $153,000 in fines and restitution.

Chicago lawyer Mark Kipnis was placed on probation for five years with six months of house arrest and ordered to perform 275 hours of community service.

Hollinger International was once one of the world's largest newspaper holding companies. Its holdings included the Daily Telegraph of London, the Chicago Sun-Times and the Jerusalem Post, as well as hundreds of small community papers across the United States and Canada.

The big papers, other than the Sun-Times, since have been sold and the company has changed its name to Sun-Times Media Group Inc.

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