FRONT PAGE I TABLE OF CONTENTS OF MAY ISSUE I COMMENTARIES AND ARTICLES I USA NEWS I WORLD NEWS I MIDDLE EAST NEWS NEW YORK SCENE I LIFESTYLE I PEOPLE, SOCIETY  AND EVENTS I ARTS I ENTERTAINMENT I CULTURE I BOOKS I MUSIC AND CDs I EVE WORLD I LETTERS TO THE EDITOR I PERSONAL HISTORY  I APRIL ISSUE I MARCH ISSUE I  FEBRUARY  ISSUE I JANUARY ISSUE I  CONTACT I EDITORIAL STAFF I SUBSCRIPTION I TO ADVERTISE I

 

New York Monthly Herald. May 2006 Issue P. 6   Cont'd from Page 5     Continues on page 7

New York Scene

Photo: Ronald O. Perelman, the chairman of Revlon, is named among those who have had their coverage finessed.

Mr. Burkle declined but as a favor agreed to buy 60 shirts from Skull and Bones, Mr. Stern's clothing line. The associate said Mr. Burkle protested to editors, including Mr. Johnson and even wrote a personal letter of complaint to Mr. Murdoch, a copy of which was obtained by The New York Times. "Every time I am mentioned in your newspaper," the letter read, "the facts are just plain wrong."

Photo: Stern is suspected of demanding $100,000 from Ronald W. Burkle, pictured in 1997, in exchanged for not writing negative stories about him.

The letter concluded: "I hate to bother you with this; but at the end of the day, it is your newspaper." Colin Myler, the paper's executive editor, wrote back and promised to correct any errors, the associate said. Mr. Burkle also had his lawyer, Martin D. Singer, send several letters threatening litigation, according to several people with knowledge of the correspondence. On March 14, the associate said, an employee of Mr. Burkle's received an e-mail message from Mr. Stern, a contributor who worked two days a week for Page Six, suggesting that Mr. Burkle had "the means" to change the column's treatment of him. "I understand Ron is upset about the press he's been getting," the e-mail message read. "If he's really concerned, he needs a strategy for dealing with it and regulating it rather than merely reacting. It's not easy to accomplish, but he certainly has the means to do so." At that point, Mr. Burkle suspected he was being extorted, the associate said. Then, "he reached out to his attorney, who then reached out to law enforcement," the associate said. According to many people involved in the episode, Mr. Stern agreed to meet Mr. Burkle face to face at least two times at Mr. Burkle's loft in TriBeCa, the first of which was on March 22.

Neiman Marcus

 Mr. Burkle's security team, aided by a New York City-based private investigations firm, recorded the meetings in the loft over the last few weeks, according a person who was briefed on the sessions and was granted anonymity because the investigation is continuing. At the final meeting, on March 31, a federal agent and an assistant United States attorney were with Mr. Burkle's security detail to monitor the recording.

The recordings were turned over to the federal authorities. In their meetings, Mr. Stern described three levels of "protection" he could offer Mr. Burkle, according to those with knowledge of what is captured on the tapes. When Mr. Burkle pressed Mr. Stern to explain how this would work, Mr. Stern at first cited a few examples involving Mr. Johnson, saying that his boss had a "script deal" with Mr. Weinstein — something the movie executive denied yesterday. "The New York Post and Page Six have always been above board with our company," said a Weinstein company spokesman. Mr. Stern also said that Mr. Johnson's fiancée, Ms. von Richthofen, had been employed by Mr. Perelman, the financier. Last year, Ms. Richthofen was hired as an administrative assistant to Christine Taylor, the senior vice president of corporate communications of McAndrews and Forbes, Mr. Perelman's Manhattan-based holding company. Ms. Taylor said she knew Ms. Richthofen and had not been pressured to hire her. Ms. Richthofen, who resigned from the company a month ago, was paid no differently than anyone else would be in the position, she said. Mr. Perelman could not be reached for comment yesterday.

When Mr. Burkle asked Mr. Stern in the tapes if he should hire Ms. Richthofen, Mr. Stern steered the discussion of payments back to himself, according to one person involved in the investigation. Mr. Johnson referred calls to Mr. Rubenstein. The accusations against Mr. Stern were striking for the boldness of his alleged behavior and the amount of money he is accused of requesting. But gossip columns have always occupied a murky corner in the realm of journalistic standards, which traditionally preclude writers and editors from accepting gifts from those they cover. Mr. Stern also cited the example of Joe Francis, the creator of the "Girls Gone Wild" video series, who Mr. Stern said had offered to fly much of the staff of Page Six to a place Mr. Francis owns in Mexico on his private jet for Mr. Johnson's bachelor party. According to Mr. Rubenstein, Mr. Francis was a friend of Mr. Johnson's. In March, an item appeared in The Post saying that Mr. Francis could be the next Hugh Hefner.

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