Universal Music Group Completed the Acquisition of MediaPro Music

    PRAGUE, CZECH REPUBLIC, June 18, 2015 /24-7PressRelease/ -- Universal Music Group completed the acquisition of independent record label MediaPro Music. The value of the transaction was not disclosed. MediaPro Music was established in 1997 and has been part of Central European Media Enterprises media group since 2009. MediaPro Music ranks third among local independent record labels, based on its market share. It will continue to operate as an independent label, part of Universal Music Group, according to a statement of Universal Music Romania.

Central European Media Enterprises (CME) controls Romanian MediaPro, founded by Ronald Lauder and his business partner Adrian Sarbu in 1995. Sarbu stepped down as CME CEO in January 2014, shortly followed by Lauder, who left the post of chairman of the Board on March 14, 2014. In December 2014, Romanian authorities detained 24 executives of MediaPro on suspicion of tax evasion, use of illegal finances totalling over 15 million lei (EUR3.3 million) and losses to the government of over 6 million lei (EUR1.3 million). On February 3, 2015, Sarbu was also detained on charges of tax evasion, money laundering and abetting embezzlement involving Mediafax and MediaPro. According to the investigation, in 2009-2014 the arrested MediaPro executives paid fictitious invoices for services that were never provided. Given the connections of Lauder, who has been directly involved in the evolution of CME and companies owned by CME, he and his business associates should provide further answers on their conduct and dealings.

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