SMRs and AMRs

Wednesday, May 02, 2012

Panel in Hacking Case Finds Murdoch Unfit as News Titan

By JOHN F. BURNS and RAVI SOMAIYA, NYT

LONDON — A damning report on the hacking scandal at Rupert Murdoch’s British newspapers concluding that Mr. Murdoch is “not a fit person” to run a huge international company has convulsed Britain’s political and media worlds and threatened a core asset of Mr. Murdoch’s American-based News Corporation.

The parliamentary report, issued Tuesday, found that three senior Murdoch executives misled Parliament in testimony. It also alleges that the company sought to cover up widespread phone hacking that Mr. Murdoch’s News of the World, a tabloid newspaper now shut down, used to gather information about politicians, celebrities and other people in the news.

It has opened deep divisions between the main political parties, accentuated the challenge Prime Minister David Cameron faces in explaining his past ties to Mr. Murdoch and some of his top executives in Britain, and added new momentum to regulators’ scrutiny of Mr. Murdoch’s controlling interest in the British Sky Broadcasting network, or BSkyB, which is one of the most lucrative Murdoch investments.

It also offers new details that suggest further damaging revelations may lie ahead. Sprinkled through its 121 pages are tantalizing references to potentially damaging sealed documents in dozens of lawsuits from the scandal, and an audio recording in police hands of a conversation between two News of the World journalists that may implicate an unnamed Murdoch executive.

(More here.)

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