By Cliff Montgomery – July 18th, 2011
These are tough times for Rupert Murdoch. But it’s becoming clear that the chairman and CEO of News Corporation–which owns FOX News and The Wall Street Journal–ultimately is responsible for the growing meltdown of his media empire.
The trouble began at what until recently had been one of Murdoch’s media holdings in the UK, the tabloid The News of the World.
UK police are investigating “allegations that The News of the World hacked into the phone voice mails of hundreds of celebrities, politicians, rival journalists and even murder victims,” according to an article published by The Associated Press on July 15th.
“Two days before it emerged that The News of the World had hacked the cellphone of a murdered schoolgirl,” stated The New York Times today, “[Rupert Murdoch’s]…son James told friends that he thought the worst of [his father’s] troubles were behind him.”
It seemed clear to the Murdochs that their company, News Corporation, was going to be fine. They even believed the corporation’s “$12 billion bid for the British satellite company British Sky Broadcasting would go through,” a person who heard James Murdoch’s discussion with friends told The New York Times.
But then ten people apparently involved with The News of the World hacking scandal were arrested by UK police, including Rebekah Brooks, the Murdoch family’s “most trusted lieutenant,” who was “arrested on suspicion of phone hacking and paying police for information,” stated the Times.
The Murdoch family has dropped its multi-billion-dollar satellite company bid, the 168-year-old News of the World has closed it doors, and tomorrow Rupert and James Murdoch are slated to appear before an embarrassed British Parliament.
And there’s more…
Evidence which indicates “that The News of the World paid police for information was not handed over to the authorities for four years,” even though questions of impropriety at the paper have been swirling about “since 2006, when the tabloid’s royal reporter and a private investigator were prosecuted for hacking into the messages of the royal household staff,” declared the Times.
“[News Corporation] paid hefty sums to those who threatened legal action, on condition of silence,” added the Times.
“The tabloid continued to pay reporters and editors whose knowledge could prove embarrassing even after they were fired or arrested for hacking,” the Times stated.
“A key editor’s computer equipment was destroyed, and email evidence was lost. Internal advice to accept responsibility was ignored,” former executives told the Times.
It gets worse.
“The contagion affecting News Corp has spread rapidly in the US,” stated The London Guardian yesterday.
“The FBI is investigating potential criminal hacking of the voicemails of victims of the 9/11 attacks,” continued the Guardian.
“Lawmakers and grassroots groups are also calling for an investigation into whether the bribing of police was a violation of the Foreign Corrupt Practices Act,” added the Guardian.
“As News Corp is a US corporation…even bribery abroad could lead to felony charges in the US,” the paper pointed out.
And if one still doubts News Corp’s mounting troubles–not to mention its apparent shady dealings–consider this sampling of news story titles from the last few days:
- “Murdoch Aides Long Tried to Blunt Scandal Over Hacking”
- “Rupert Murdoch assembles US legal team over phone-hacking scandal: Appointment of litigation veteran Brendan Sullivan suggests News Corp boss is readying for bitter legal battle in America”
- “UK police arrest woman in hacking scandal – UK media say its ex-Murdoch aide Rebekah Brooks”
- “Murdoch, Aides Threatened Rivals, Tried To Shift Blame In Hacking Scandal”
- “News of the World phone-hacking whistleblower found dead: Death of Sean Hoare – who was first named journalist to allege [editor] Andy Coulson knew of hacking – not being treated as suspicious”
- “Sean Hoare knew how destructive the News of the World could be”
- “[Murdered Schoolgirl] Milly Dowler phone hacking: Family shocked by NoW revelations”
- “News Corp executives ‘push for Murdoch succession plans’ ”
- “News Corp faces global investigation into bribery: Pressure mounting in US for a full-scale inquiry into News Corporation under the Foreign Corrupt Practices Act”
- “Police examine bag found in bin near Rebekah Brooks’s home: Former NI [News International] chief executive’s husband denies bag – containing computer, paperwork and phone – belonged to his wife”
- “Murdochs ‘in family fallout’ over crisis”
- “News Corp appoints independent chairman to deal with hacking scandal”
- “The questions hanging over Murdoch, USA: The spreading contagion may show up the cracks in News Corp’s vast American media holdings”
Americans probably shouldn’t expect too much from U.S. investigations–after all, our country’s lawmakers stubbornly refuse to jail a single banker or Wall Street speculator for the highly questionable activities which produced the world’s economic meltdown.
But a real fallout may come from that shrinking minority who still believe Murdoch’s ‘news outlets’ are serious, professional organizations. If proved true in a court of law, these charges probably are too harsh to be flatly ignored by many.
Then Murdoch may well lose the few people who still take his right-wing propaganda seriously.
