Warner Music boss Edgar Bronfman Jr is under formal investigation by the French authorities regarding his former stake in French conglom Vivendi, owners of the Universal Music Group.
Bronfman, of course, created the Universal Music Group by merging Polygram with MCA/Universal back in his days atop of Seagram, and became a Vivendi shareholder when Seagram merged with the French corporation in 2000. He got out of the company three years later after it almost collapsed due to spiralling debts and allegations of dodgy financial management by its then CEO Jean-Marie Messier.
The French investigations centre on Bronfman's trading in Vivendi shares while he was still on the firm's board. His attorney, Thierry Marembert, played down the significance of the formal investigations on Thursday, and stressed that no charges had been filed against his client. Marembert told reporters: "He [Bronfman] will continue to cooperate with the proceedings. Mr Bronfman's transactions have at all times been proper and at no time did he contravene any French laws or regulations".