We’ll see what happens with the lawsuit. But do you know why CNN "had to admit" that their report was wrong? It’s because they are a generally reliable source of news. As I said, retractions are issued somewhat rarely for inaccurate claims, and this is characteristic of a credible news company that must maintain trust among its readers, who have an interest in accuracy. Fox News continues to spout lies with impunity because their readers or viewers simply like to have their biases confirmed.
If you insist on analogizing these formal occupations and practices such as journalism to individual behavior, then retracting a story is not admitting that one has lied. It is admitting that one is wrong. There is a difference, and yes, the latter tends to be the virtue of an honest person, even on the individual level. The same virtues are valued among scientists and research journals who retract fraudulent articles in light of new evidence.
You might be implementing the Nirvana fallacy here. Humans are imperfect. And ultimately, one’s individual knowledge always comes from other people. All we can expect is that the people we place our trust in to provide accurate knowledge adheres to practices and methodologies that mitigate error, not eliminate it entirely.
In the philosophy of science, your perspective of the Nirvana fallacy is referred to as pessimistic meta-induction. It is completely ridiculous to lack trust in science because scientists used to believe that the Earth was at the center of the solar system. A reliable means of acquiring knowledge is not perfectly correct. It is just more correct than it has ever been previously. There is continuous improvement.