* Two sides to discuss possible settlement
* Tax row has sparked press freedom concerns (Adds government confirms Nov. 24 talks, analyst comment)
By Birsen Altayli
ISTANBUL, Nov 3 (Reuters) - Turkey's largest media company said on Tuesday it will meet officials from the Finance Ministry on Nov. 24 to discuss a multi-billion-dollar tax fine which has raised concerns about press freedom.
Dogan Yayin, which controls half of Turkey's private media, has accused the Islamist-rooted government of persecution for its critical news coverage, including allegations of graft.
Prime Minister Tayyip Erdogan denies the fine is politically motivated and has accused Dogan of acting like an opposition party.
Dogan has taken legal action to stop a demand for a record $3.3 billion in collateral. Some of its units have also filed suits against the original $2.5 billion fine, which analysts say has exposed political influence in the corporate sector.
The European Union, which Turkey wants to join, has criticised the penalty over freedom of expression concerns.
Last week, Dogan said its units Dogan TV Holding, Dogan Produksiyon, Alp Gorsel Iletisim and D Yapim Reklamcilik had received an invitation from the Finance Ministry to discuss a settlement on the tax fine. A company official and government officials said on Tuesday the meeting had been set for Nov. 24.
"This will, of course, be positive for Dogan group in financial terms ... The settlement talks will be on Dogan's demand to reduce the tax fine. Actually, this means accepting the Finance Ministry's findings but also means reducing the interest fine and the ability to pay in instalments," said ING Bank analyst Hasan Sener.
Dogan Yayin said in a statement on Tuesday it was receiving confidentiality contracts from some consulting firms about its plans to sell stakes in some of its units to pay the tax fine.
The tax fine, which is larger than the combined market value of Dogan Yayin and the firm's parent company Dogan Holding, threatens the survival of the Dogan media group.
Shares in Dogan Yayin were up 0.83 percent after the news at mid-day, outperforming the Istanbul Stock Exchange trading down 2.33 percent. Parent company Dogan Holding was trading 2.75 percent lower.
The fine has drawn parallels with Russia's treatment of oil giant Yukos, which was crippled by a huge tax bill that its owners said was politically motivated.
Critics say Turkey's tax code is ambiguous and open to interpretation and that the government wants to get rid of an uncomfortable critic before an election due in 2011.
Aydin Dogan has been accused of using his media outlet to further his business interests and campaign against Erdogan, suspected by secularists of harbouring an Islamist agenda.
The government is seeking to recoup billions in lost tax revenue as more than half of Turkey's $600 billion economy is unregistered. (Additional reporting by Hatice Aydogdu and Selcuk Gokoluk in Ankara)