Reuters Unit Probed in U.S.
Jan. 29, 1998
LONDON (AP) _ A U.S. subsidiary of Reuters Holdings PLC, the news and financial information provider, is being investigated on allegations it stole information from rival Bloomberg LP.
Reuters said Thursday in a statement that Reuters Analytics Inc., based in Stamford, Conn., was the subject of a New York grand jury investigation into charges that it improperly gained access and used information from Bloomberg's computers.
Reuters' U.S.-listed shares were down $3.43 3/4, or 5.6 percent, at $58.06 1/4 in late afternoon trading on the Nasdaq Stock Market. The company's shares fell 4.5 percent on the London Stock Exchange.
Reuters Analytics distributes specialized information about government bonds and other fixed-income investments.
Reuters, which just recently learned about the probe, said it is cooperating with the investigation and had hired lawyers to conduct a ``thorough internal inquiry.''
Reuters would not say whether any action had been taken against any of its employees. The company said it was not in a position to comment further.
A Bloomberg spokeswoman in New York declined to comment.