All the coaching, PR and legal advice that was poured into grooming the Murdochs for this week's dramatic House of Commons appearance had one aim: to impress on the world that News Corp was now on top of the situation and was moving forward with honesty and transparency. It was, in principle, the right strategy – but the risk was obvious: that their evidence would be shown in some respect to be untrue. Barely a day had passed before the nightmare scenario came to pass – a direct contradiction of a crucial part of James Murdoch's evidence by two very significant players in the tortuous story of News International's attempt to move beyond reckoning to some form of atonement.
The conflict surrounds the decision of James Murdoch in 2008 to sign a huge cheque (around £1m in damages and costs) for Gordon Taylor, the chief executive of the Professional Footballers' Association. This settlement was first revealed by the Guardian in July 2009. On Wednesday, MPs wanted to know why he had felt it important to offer such an astronomical amount of money. Was it to buy silence, and thereby conceal evidence of criminality within his company?
James Murdoch had evidently been prepared for this question, since he embarked on a long, complex and detailed account of how the sum was arrived at. Essentially, it boiled down to claiming that his legal advice was that it would be cheaper to settle with Mr Taylor than to fight. But he was challenged directly as to whether he had seen the underlying material in the Taylor case – in particular the explosive transcript of voicemail messages typed up by a reporter and destined "for Neville" – a reference to the NoW's chief reporter, Neville Thurlbeck. Mr Murdoch answered equally directly: "No, I was not aware of that at the time."
That answer must have come as a relief to News Corp shareholders, because the alternative – that Mr Murdoch had seen the "for Neville" documents – brought very serious questions into play. The transcripts proved conclusively that the "rogue reporter" defence was wrong. So why didn't Mr Murdoch inform parliament and the regulator (both of whom had been misled) of the new situation, and why didn't he start a meaningful internal investigation to get at the truth? To do nothing would, to coin a phrase, look like "wilful blindness".
http://www.guardian.co.uk/commentisfree/2011/jul/21/news-corp-phone-hacking-editorialPhone-hacking scandal: live coverage
I've just spoken to Mark Lewis, the lawyer for Milly Dowler's family, who has tonight told the police that he believes he was put under surveillance by News International because of his work representing phone hacking victims.
He reported his concerns to the police after Newsnight informed him today that they had heard from a reliable source that the lawyer's phone had been hacked around December last year, and he had also been followed by a private detective.
http://www.guardian.co.uk/media/2011/jul/21/phone-hacking-scandal-live-coveragePhone hacking: Tom Crone and Colin Myler raise the stakes
Tom Crone and Colin Myler were well aware that the statement they were about to make could prove fatal to James Murdoch.
When the Guardian pointed out in the wake of his parliamentary testimony that Murdoch's son had sought to blame them for concealment, one friend of the two men said: "To contradict James will be as good as coming out and calling him a liar."
http://www.guardian.co.uk/media/2011/jul/21/tom-crone-colin-myler-analysisJames Murdoch: groomed for the top but now looking down the barrel
It's like the last scene from Reservoir Dogs when they all shoot each other.
But what did the Murdochs expect? After dumping on so many senior News International executives and laying off hundreds of journalists when they impetuously shut down the News of the World in a bid to contain the scandal, the only surprise was that the shots weren't fired sooner.
http://www.guardian.co.uk/media/2011/jul/22/james-murdoch-top-looking-down