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Paramount Faces Political Firestorm Over Possible Trump Lawsuit Settlement

Concerns Mount Over Potential Political Favoritism Amid Paramount-Skydance Merger Talks

by Harikrishnan A
May 22, 2025
in Business, Markets, News, Tech, Trending, World
Reading Time: 3 mins read
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Paramount Faces Political Firestorm Over Possible Trump Lawsuit Settlement
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Three senior U.S. senators are raising red flags over media giant Paramount Global’s ongoing legal entanglement with President Donald Trump, warning that a settlement in his $20 billion lawsuit against CBS could potentially break federal anti-bribery laws.

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In a letter made public on May 19, Senators Elizabeth Warren (D-Mass.), Bernie Sanders (I-Vt.), and Ron Wyden (D-Ore.) voiced concerns to Shari Redstone, Paramount’s controlling shareholder. They cited reports that Paramount has been engaged in negotiations to settle Trump’s high-stakes lawsuit over a 2020 60 Minutes interview with then-vice presidential candidate Kamala Harris. Trump, now serving his second term in the White House, claims the interview was deceptively edited, allegedly violating Texas consumer protection laws.

But the senators see a broader issue: that any monetary settlement might be construed as a strategic attempt by Paramount to curry favor with the Trump administration, as it awaits federal approval of its $8 billion merger with Skydance Media.

Settlement Could Be Seen as Political Leverage

“If Paramount officials make these concessions in a quid pro quo arrangement to influence President Trump or other administration officials, they may be breaking the law,” the senators wrote. They pointed to 18 U.S.C. § 201, a federal statute that prohibits giving anything of value to public officials to sway an official act — like a merger approval.

They further accused Paramount of retreating from its earlier stance defending CBS’s First Amendment rights. “Paramount appears to be walking back its commitments,” the letter stated, warning that settling Trump’s case might undermine press freedoms while entangling business decisions with political influence.

This latest intervention follows an earlier letter sent by nine senators on May 6, also urging Redstone not to settle. That message called Trump’s lawsuit “an attack on the United States Constitution and the First Amendment.”

Paramount Denies Link Between Lawsuit and Merger

Despite the senators’ warnings, Paramount maintains that the lawsuit has no connection to the company’s pending merger. A spokesperson reiterated a previous statement: “This lawsuit is completely separate from, and unrelated to, the Skydance transaction and the FCC approval process. We will abide by the legal process to defend our case.”

Trump, meanwhile, has celebrated the lawsuit on his social media platform, Truth Social, calling it “a true WINNER.” He claims CBS and 60 Minutes “admitted” to wrongdoing, though there is no public record of such an admission. Trump accuses the program of cutting out a poorly received response from Harris regarding Israeli Prime Minister Benjamin Netanyahu — an edit he says misled the American public.

CBS has firmly denied the claims, stating the broadcast was not edited deceptively. Paramount previously asked the court to dismiss the lawsuit, labeling it an “affront to the First Amendment” and without merit.

CBS Shakeup Deepens Suspicion

Adding to the senators’ alarm are recent high-profile resignations at CBS. Wendy McMahon, the president of CBS News, stepped down this week, saying she and the company no longer “agree on the path forward.” Just weeks earlier, 60 Minutes executive producer Bill Owens also resigned, citing similar disagreements with Paramount leadership.

In their letter, the senators linked these departures directly to the lawsuit and broader merger strategy: “Paramount’s scheme to curry favor with the Trump Administration has compromised journalistic independence and raises serious concerns of corruption and improper conduct.”

Lawmakers Seek Accountability

The senators have asked Redstone and Paramount to respond by June 2 to a list of pointed questions. Among them: Does the company believe Trump’s lawsuit has legal merit? Has Paramount considered the risk of shareholder lawsuits over a potential settlement? And have any 60 Minutes editorial decisions been influenced by the ongoing merger talks?

They also requested documentation on Paramount’s internal policies for complying with anti-bribery laws, particularly regarding conduct with public officials.

Merger Under Regulatory Spotlight

The Paramount-Skydance deal remains under review by the Federal Communications Commission (FCC). While Trump-appointed FCC Chair Brendan Carr has said the 60 Minutes dispute won’t impact the merger approval, he acknowledged last year that a “news distortion” complaint could come up during the FCC’s evaluation process.

One contentious issue reportedly on the table is the Trump administration’s push for companies to eliminate diversity, equity, and inclusion (DEI) programs. In February, Paramount announced changes to its DEI initiatives in alignment with federal guidance. But reports suggest the FCC may be pushing for firmer commitments before signing off on the merger. In a similar move, the FCC recently approved Verizon’s $20 billion acquisition of Frontier Communications only after the telecom giant pledged to scrap its DEI programs.

The White House was quick to dismiss the senators’ concerns. Spokesperson Harrison Fields said in a statement, “Democrats on Capitol Hill are growing increasingly desperate and unhinged by the day, and this latest act of faux outrage reveals the depth of their despair. Anyone who seriously believes the President could be bribed by anyone — especially a liberal and notoriously unreliable institution like Paramount — lacks the intelligence to hold public office.”

Tags: democratsDonald TrumpParamount+
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Harikrishnan A

Aspiring writer. Enjoys gaming, fried chicken and iced tea, preferably all together.

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