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Time Agrees to Settle Lawsuit By Publishing Statement

November 1, 1996

NEW YORK (AP) _ Time magazine has agreed to settle a lawsuit brought by a member of the Church of Scientology who contended he was libeled by a 1991 article about the church.

Under the settlement, Time, which is published by Time Warner Inc., agreed to publish a statement in next week’s issue about Michael Baybak, who brought the lawsuit.

``Time’s report on Mr. Baybak, a member of the church, was not intended to suggest that Mr. Baybak was a `front’ for the Church of Scientology or that his actions were in violation of any law or regulation,″ the statement says.

Robert Pondiscio, a spokesman for the magazine, said ``we are very happy with the settlement.″ He said that a confidentiality order prevented him from commenting on whether any money was involved in the settlement.

The May 1991 cover story on Scientology, described the church as a ``global racket″ and included a separate box that described Baybak’s activities on the Vancouver Stock Exchange. The article also said that the exchange was a source of funds for the church.

In July, a federal judge in New York dismissed the last element of a separate libel suit brought by the Church of Scientology International against Time Warner Inc. and Time magazine, involving the same article. The church had plans to appeal that ruling.

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