Did Somebody Say, "Ouch!"
Let's just start with the lede from Robert Hutton and Amy Thompson:
Ouch.
I mean, really. Ouch!
That's gotta sting some.
A little more detail from the Bloomberg report:
This is not quite unimaginable to an American perspective, but on our side of The Pond, it's all speculation about Democrats and Republicans in a question of who would be alleged to have done what.
There are partisan divisions about the CCC report. The four Conservatives on the committee voted against the conclusion that News Corp. chief Rupert Murdoch is unfit to run a major corporation. MP Louise Mench (Corby) suggested that the conclusion was beyond the scope of the committee's inquiry. MP Phillip Davies (Shipley) asserted, "Rupert Murdoch clearly is a fit and proper person to run an international company." He also stated that the committee saw "absolutely no evidence to suggest that Rupert Murdoch was aware these things were going on".
From the western side of the Atlantic, this is a curious perspective. We still recall Ronald Reagan's defense in Iran-Contra that he had no clue what was going on within his administration.
Labour MP Tom Watson (West Bromwich East), to the other, stated the majority outlook quite simply. "We found News Corp. carried out an extensive cover-up of its rampant lawbreaking," he said. "The two men at the top of the company need to answer for that."
Indeed, the CCC majority doubted Murdoch's claims of ignorance: "In his testimony and also the Leveson Inquiry, Rupert Murdoch has demonstrated excellent powers of recall and grasp of detail, when it has suited him."
Ofcom, the British Office of Communications, is now reviewing whether News Corp should be allowed a broadcasting license; Sussex University professor Tim Bale, though, suggested that MPs should not be the ones "ultimately to decide whether someone is a fit and proper person, and it’s not over until the fat lady, in other words a regulator, sings".
Les Hinton, of News International, complained about the report's findings. "I have always been truthful in my dealings with the committee and its findings are unfounded, unfair and erroneous."
Colin Meyer, another NI executive, offered a response via email: "I stand by the evidence that I gave the committee."
The committee majority, quite obviously, disagreed:
Ouch, indeed. As this latest chapter opens, it would appear to be a painful one.
____________________
Notes:
Hutton, Robert and Amy Thompson. "Rupert Murdoch Not Fit to Lead News Corp., Lawmakers Say". Bloomberg. May 1, 2012. Bloomberg.com. May 1, 2012. http://www.bloomberg.com/news/2012-...t-person-to-lead-news-corp-lawmakers-say.html
Let's just start with the lede from Robert Hutton and Amy Thompson:
News Corp. (NWSA) Chairman Rupert Murdoch is “not a fit person” to lead a major international company, U.K. lawmakers said, after his British unit misled Parliament about the extent of phone hacking at its News of the World tabloid.
Ouch.
I mean, really. Ouch!
That's gotta sting some.
A little more detail from the Bloomberg report:
Murdoch “turned a blind eye and exhibited willful blindness to what was going on in his companies and publications,” the House of Commons Culture Committee said in a report today that split lawmakers along party lines on critical findings. “This culture, we consider, permeated from the top throughout the organization and speaks volumes about the lack of effective corporate governance at News Corp.”
The report may increase the chances that U.K. regulator Ofcom deems News Corp. unfit to hold a broadcasting license and asks the company to reduce its 39 percent stake in British Sky Broadcasting Group Plc. (BSY) The phone-hacking scandal prompted News Corp. to abandon a 7.8 billion-pound ($12.6 billion) bid for the rest of BSkyB, the U.K.’s biggest pay-television provider, last year. Tim Bale, professor of politics at Sussex University, said he was surprised by the report’s strong language.
“It’s clearly not good news,” he said in a phone interview, adding that the report contained “really serious” accusations. “They clearly must have been hoping that the committee would have been more measured and more cautious.”
The report may increase the chances that U.K. regulator Ofcom deems News Corp. unfit to hold a broadcasting license and asks the company to reduce its 39 percent stake in British Sky Broadcasting Group Plc. (BSY) The phone-hacking scandal prompted News Corp. to abandon a 7.8 billion-pound ($12.6 billion) bid for the rest of BSkyB, the U.K.’s biggest pay-television provider, last year. Tim Bale, professor of politics at Sussex University, said he was surprised by the report’s strong language.
“It’s clearly not good news,” he said in a phone interview, adding that the report contained “really serious” accusations. “They clearly must have been hoping that the committee would have been more measured and more cautious.”
This is not quite unimaginable to an American perspective, but on our side of The Pond, it's all speculation about Democrats and Republicans in a question of who would be alleged to have done what.
There are partisan divisions about the CCC report. The four Conservatives on the committee voted against the conclusion that News Corp. chief Rupert Murdoch is unfit to run a major corporation. MP Louise Mench (Corby) suggested that the conclusion was beyond the scope of the committee's inquiry. MP Phillip Davies (Shipley) asserted, "Rupert Murdoch clearly is a fit and proper person to run an international company." He also stated that the committee saw "absolutely no evidence to suggest that Rupert Murdoch was aware these things were going on".
From the western side of the Atlantic, this is a curious perspective. We still recall Ronald Reagan's defense in Iran-Contra that he had no clue what was going on within his administration.
Labour MP Tom Watson (West Bromwich East), to the other, stated the majority outlook quite simply. "We found News Corp. carried out an extensive cover-up of its rampant lawbreaking," he said. "The two men at the top of the company need to answer for that."
Indeed, the CCC majority doubted Murdoch's claims of ignorance: "In his testimony and also the Leveson Inquiry, Rupert Murdoch has demonstrated excellent powers of recall and grasp of detail, when it has suited him."
Ofcom, the British Office of Communications, is now reviewing whether News Corp should be allowed a broadcasting license; Sussex University professor Tim Bale, though, suggested that MPs should not be the ones "ultimately to decide whether someone is a fit and proper person, and it’s not over until the fat lady, in other words a regulator, sings".
Les Hinton, of News International, complained about the report's findings. "I have always been truthful in my dealings with the committee and its findings are unfounded, unfair and erroneous."
Colin Meyer, another NI executive, offered a response via email: "I stand by the evidence that I gave the committee."
The committee majority, quite obviously, disagreed:
The two men [Meyer and NI executive Tom Crone], summoned before the Culture Committee last September, denied having misled it in 2009. Written evidence later sent to the committee and to the Leveson Inquiry showed that both had been told of claims that hacking had been more widely practiced. Two years later, when James Murdoch accused them of keeping evidence from him, they replied that they had both known about it and showed it to him.
Hinton didn’t tell the truth about payments to Goodman and the extent of his knowledge of the voice-mail allegations, the lawmakers said today. Crone misled the panel about the significance of the first legal settlement with a victim of hacking, while he and Myler lied about their knowledge of the participation of other News of the World employees in criminal activity, according to today’s report ....
.... Parliament as a whole will be asked to vote on whether the men are guilty of contempt of the legislature. The committee chairman, John Whittingdale, said it wasn’t clear what the punishment was for this, as no one has been found guilty of it for decades. Mensch questioned whether Myler was fit for his current role, as editor of the New York Daily News.
Hinton didn’t tell the truth about payments to Goodman and the extent of his knowledge of the voice-mail allegations, the lawmakers said today. Crone misled the panel about the significance of the first legal settlement with a victim of hacking, while he and Myler lied about their knowledge of the participation of other News of the World employees in criminal activity, according to today’s report ....
.... Parliament as a whole will be asked to vote on whether the men are guilty of contempt of the legislature. The committee chairman, John Whittingdale, said it wasn’t clear what the punishment was for this, as no one has been found guilty of it for decades. Mensch questioned whether Myler was fit for his current role, as editor of the New York Daily News.
Ouch, indeed. As this latest chapter opens, it would appear to be a painful one.
____________________
Notes:
Hutton, Robert and Amy Thompson. "Rupert Murdoch Not Fit to Lead News Corp., Lawmakers Say". Bloomberg. May 1, 2012. Bloomberg.com. May 1, 2012. http://www.bloomberg.com/news/2012-...t-person-to-lead-news-corp-lawmakers-say.html