By Henry Tricks, February 9, 2001

A Texas jury yesterday fined Carlos Slim, Latin America's wealthiest businessman, and four co-defendants Dollars 454.5m for breach of contract in the purchase of CompUSA, the US computer retailer.

The unanimous verdict in a county court in Dallas shocked CompUSA, and observers of Mr Slim's Mexican business empire warned of a heavy financial impact if the verdict is upheld on appeal.

The fine was more than half the Dollars 800m that Sanborns, Mr Slim's retail group, paid for CompUSA in March 2000. The verdict came the day after he listed America Movil, a subsidiary with a 49 per cent stake in the computer company, on the New York Stock Exchange.

America Movil is a wireless telecommunications offshoot of Telmex, Mexico's largest private company. Neither Telmex nor America Movil were named in the lawsuit.

The verdict was a victory for Texas-based COC Services Ltd, a company that had sought to bring CompUSA to Mexico before its purchase by Sanborns, and says it sought out Mr Slim as a potential partner.

According to Mark Werbner, lead counsel for COC, Slim used confidential information gathered from COC to pursue CompUSA, and then shut COC out of the Mexican franchise rights.

Mr Werbner said the jury's verdict was likely to be ratified by the judge, and that an appeal would require either a new trial, or recourse to higher courts. He said a bond for the full amount of the fine would have to be posted within 30 days of the judge's decision, adding : "The jury was sending a very clear message."

He said the jury awarded damages for lost profits of Dollars 90m, and ordered the bulk of Dollars 364.5 in punitive damages to be paid by James Halpin, CompUSA's former chief executive.

Mr Slim was fined Dollars 67.5m, CompUSA Dollars 94.5m, and two of Mr Slim's other companies, Sanborns and Carso were fined Dollars 13.5m each. In a statement, CompUSA said it was "shocked and appalled" by the verdict, and vowed to appeal.

Sandra Morfin, a Carso analyst at Santander Central Hispano said an appeal may lower the cost to Mr Slim's companies. She said CompUSA had made no provisions for a fine.