DENVER -- The Rocky Mountain News reported Wednesday that its owner has accused its Denver newspaper partner of violating terms of their joint operating agreement by borrowing $13 million to meet payroll.

In a Dec. 9 letter to MediaNews Group Inc. executives, E.W. Scripps Co. executives accused The Denver Post of borrowing the money from the Denver Newspaper Agency in a way that violates the agreement, the News reported.

The agency is a 50-50 partnership of the two companies and oversees the business operations of the News, owned by Scripps, and The Denver Post, owned by MediaNews.

According to the News, the letter said the agency's credit has dried up and that The Post borrowed the money against future distributions from the agency. The joint operating agreement does allow for the agency to cover newsroom costs at the newspapers, which then reimburse the costs. But Scripps executives said in the letter that they didn't think The Post could repay promptly, the News reported.

The News said it received the letter anonymously, via e-mail, Monday and that the letter confirmed information provided to the News by an unnamed source with personal knowledge of recent financial statements from the agency.

MediaNews President Joseph Lodovic called the claims "factually inaccurate" and said MediaNews hasn't violated the agreement.

"The agency owes us money, too, I assure you," he said. "We ordered all the newsprint in December -- the agency owes us millions of dollars. Who cares who owes what? Money goes back and forth all the time. All the balances will get wiped out altogether in the end."

Scripps spokesman Tim King declined to comment Wednesday, and MediaNews did not return a phone message from The Associated Press.

"If such a letter indeed exists, agency management hasn't seen it, much less been made aware of its contents," agency spokesman Jim Nolan said.

When asked about allegations made in the purported letter, Nolan said the agency has historically not commented on financial matters.

Both newspapers have struggled, as has the rest of the industry, with shrinking advertising revenues. MediaNews has asked unions at The Post and the agency for contract concessions. Scripps put the News up for sale and says it may have to close the newspaper if it can't find a buyer.

Lodovic said Scripps would breach the JOA if it closes the News.

William Dean Singleton, publisher of The Post and chief executive officer of MediaNews, is chairman of the board of The Associated Press.