No Colony cash injection to Weinstein firm

Published 26.10.2017 22:27
Updated 26.10.2017 22:33
Harvey Weinstein
Harvey Weinstein

The scandal-plagued film studio co-founded by disgraced mogul Harvey Weinstein will no longer get funding from Colony Capital, The New York Times reported. The Weinstein Company announced last week that Colony, founded by Thomas Barrack, a longtime friend of U.S. President Donald Trump, would provide an "immediate cash infusion."

It said it had also entered negotiations with Colony Capital for a full or partial sale of The Weinstein Company assets. Citing two people briefed on the matter, The NY Times said Colony has not and will not now provide a cash infusion, although it was unclear why. Colony is still looking at a possible purchase of Weinstein Company assets, but found more disorder and less value when it examined those assets, The NY Times' sources said. They added that Colony saw bankruptcy of the studio as more likely.

The Weinstein Company fired Weinstein earlier this month following numerous accusations of sexual harassment and sexual assault. On Wednesday, a Norwegian actress became the latest of more than 50 women to publicly accuse Weinstein of misconduct ranging from inappropriate touching to rape, stretching back decades.

Since the allegations emerged, questions have swirled around whether the studio, started by Harvey and his brother Bob, could survive Weinstein's disgraced exit. U.S. media reported on Monday that New York's state attorney general has opened a sweeping investigation into potential gender discrimination and civil rights violations at The Weinstein Company.

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