FIRST ON FOX – A Delaware court ordered Friday that CNN parent company Warner Bros. Discovery, be required to turn over detailed financial documents if subpoenaed in support of a plaintiff’s high-stakes defamation lawsuit, otherwise the company must submit an “affidavit” stating that it does not not. exist.

U.S. Navy veteran Zachary Young claims CNN defamed his security consulting firm, Nemex Enterprises Inc., by implying it profited illegally from helping people flee Afghanistan during the war. The Biden administration military withdrawal from the country in 2021. Young believes CNN “destroyed his reputation and business” during a segment on “The Lead with Jake Tapper.”

A Florida judge previously agreed with Young’s legal team that CNN should hand over sensitive financial information that the cable network presented to its parent company, Warner Bros. Discovery, in order to determine CNN’s net worth. However, Young’s lawyers claim they were not provided with the proper documents and filed a motion to compel Delaware, where Warner Bros. is based. Discovery.

CNN FACES DEFAMATION LAWSUIT OVER AFGHANISTAN WITHDRAWAL STORY: ‘EVIDENCE OF ACTUAL MALICIOUS’

The photo of plaintiff Zachary Young was broadcast by CNN during the segment in question. (CNN/Screenshot)

Young’s lawyers, Blake Bennett and Joe Delich, said Warner Bros. Discovery had “been unable to make any financial discoveries” related to cash flow statements and balance sheets.

“It is simply inconceivable that Warner Bros. Discovery would be incapable of providing cash flow and balance sheet information for its wholly owned subsidiary,” Delich told Judge Lynne Parker.

“Warner Bros. Discovery produced certain documents but did not produce any cash flow information, or any type of balance sheet information,” he continued. “We know Warner Bros. Discovery has the ability to do this.”

Delich then explained that Warner Bros. Discovery prepares publicly filed consolidated financial statements with the SEC.

“To prepare consolidated financial statements, there has to be something to consolidate,” Delich said.

DEFAMATION LAWSUIT AGAINST CNN COULD EXPOSE COMPANY’S FINANCIAL SECRETS AS COURT SEEKS TO EXPOSE NET WORTH

CNN host Jake Tapper and correspondent Alex Marquardt during the segment at the center of a defamation lawsuit. (CNN/Screenshot)

Jennifer Ying, representing Warner Bro. Discovery, argued that the plaintiff’s team filed a “premature motion” before the subpoena was due, and that the subpoena did not specify cash flow statements and balance sheets. Ying also said that Warner Bro. Discovery explained “repeatedly” that the documents did not exist.

“If it doesn’t exist, we can’t be forced to produce anything,” Ying said.

“We told them twice that such information does not exist,” she continued. “They refused to accept that. We can’t create information that simply doesn’t exist.”

Judge William Henry, who is presiding over the Florida case, previously ordered that CNN be required to “produce anything in its possession, custody or control” but said there was no nothing in the law that would require a CNN executive to produce a sworn statement. statement or statement asserting that the documents do not exist.

Judge Lynne Parker disagreed and said Young’s lawyers must file a new subpoena detailing the cash flow statements and balance sheets, and that CNN’s parent company would be held liable if the information were not quickly transmitted.

An Afghan woman dressed in a burqa searches for recyclable materials among plastic waste at a landfill on the outskirts of Mazar-i-Sharif on September 28, 2024. (Photo by Atif Aryan / AFP) (Photo by ATIF ARYAN/AFP via Getty Images) (Photo by ATIF ARYAN/AFP via Getty Images)

“Well, CNN doesn’t have to provide an affidavit, but Warner Bros. does. You’re going to subpoena Warner Brothers to ask for these two specific things, and either they’re going to produce documents or they’re going to tell you give an affidavit that it doesn’t exist,” Judge Parker said.

“Issue the subpoena immediately,” she continued. “They have 20 days from the date of issue to respond.”

A civil trial is scheduled to begin Jan. 6 before Judge Henry in the Circuit Court of Bay County, Florida.

The CNN segment at the center of the lawsuit, which was shared on social media and also repackaged for CNN’s website, began with Tapper informing viewers that CNN correspondent Alex Marquardt discovered that “Afghans who try to leave the country are faced with a black market full of promise.” , exorbitant fee requirements and no guarantee of security or success.

CNN ACCUSED OF WITHHOLDING CRITICAL DOCUMENTS NEEDED TO DETERMINE VALUE BEFORE DEFAMATION TRIAL

CNN host Jake Tapper. (CNN)

Tapper snapped at Marquardt, who said “Desperate Afghans are exploited” and must pay “exorbitant, often impossible sums” to flee the country. Marquardt then pointed the finger at Young, displaying a photo of his face on the screen and saying his company was charging $75,000 to transport a passenger vehicle to Pakistan or $14,500 per person to end up in the United Arab Emirates.

“Prices well out of reach for most Afghans,” Marquardt told viewers.

No other person or company was named other than Young, who alleged that CNN, using the terms “black market”, “exploit” and “exorbitant”, falsely portrayed him as a bad actor preying on desperate people.

Internal communications between CNN employees that came to light during the discovery process indicated that editors were concerned about the segment but aired it anyway. Other internal communications revealed that CNN employees used profanity and derogatory language when privately discussing Young.

Editor’s Note: The title of this article has been updated to clearly indicate that Warner Bros. Discovery would be required to provide relevant financial information if the plaintiff was subpoenaed, or else prove that it did not exist.

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