In a groundbreaking development, disgraced movie mogul Harvey Weinstein has reportedly reached a preliminary settlement amounting to $44 million with the women accusing him of sexual assault, as well as the creditors of his former studio.
While this proposed deal remains unconfirmed, sources reveal that it was formulated during the mediation hearings linked to the bankruptcy proceedings of the Weinstein Co.
The tentative settlement outlines a distribution of funds, with $30 million designated for accusers, unsecured creditors, and former studio employees. The remaining $14 million is intended to cover the legal fees of the company’s directors and officers.
Insurance companies, possibly including Chubb Limited and AIG, are also expected to fulfill the payment on behalf of the bankrupt Weinstein Co.
Sources also say that Walt Disney Co., with its insurance companies, might also contribute funds given the connection to Weinstein’s former successful studio Miramax.
This deal is set to undergo approval on June 4, marking a potential milestone in holding Weinstein accountable for his alleged actions, which triggered the #MeToo movement and prompted a reevaluation of Hollywood’s conduct.