News Corp cuts off legal payments to Mulcaire

One day after it admitted paying the legal fees of convicted phone-hacker Glenn Mulcaire, News Corporation has ended its controversial arrangement with the private investigator.

News International chairman James Murdoch admitted for the first time yesterday that his company had paid Mulcaire’s legal bills – even after Mulcaire pleaded guilty to phone-hacking in 2007.

Giving evidence to the House of Commons culture committee yesterday, Murdoch said he was ‘surprised’to hear of the arrangement, while his father Rupert said the company would cut off payment provided it was not ‘in breach of a legal contract”.

A statement released by News Corporation this afternoon said: “News Corporation’s Management and Standards Committee met this morning and has decided to terminate the arrangement to pay the legal fees of Glenn Mulcaire with immediate effect.

“The MSC is authorised to cooperate fully with all relevant investigations and inquiries in the News of the World phone hacking case, police payments and all other related issues across News International as well as conducting its own inquiries where appropriate”.

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