Murdochalypse: [Updated] The Fallout Continues: Rebekah Brooks AND Les Hinton Bail

Posted by on July 15, 2011 at 3:00 pm. 4 Comments :

Yesterday the Wall Street Journal somehow managed to snag an exclusive interview with Rupert Murdoch who, coincidentally, owns the newspaper.

Murdoch was typically defensive in a wholly delusional manner. He insisted that News Corp had handled the crisis “extremely well in every way possible,” making just “minor mistakes.” Minor mistakes like lying as to whether there was any crisis at all and conducting an internal investigation that concluded that any wrongdoing was limited to a single rogue reporter. The shuttering of the News of the World, the abandonment of the BSkyB acquisition, and several arrests later, those mistakes don’t appear to be all that minor anymore.

Murdoch also stuck by his corrupt son whom he said reacted “as fast as he could, the moment he could.” That was six years after the scandal broke and after young James had paid off several victims in an attempt to buy their silence.

This morning comes the news that the CEO of Murdoch’s News International, Rebekah Brooks, has resigned after steadfastly refusing to do so with the support of her boss, Rupert, who just days ago said that Brooks was his highest priority. So much for that. Brooks’ resignation statement said in part…

“As Chief Executive of the company, I feel a deep sense of responsibility for the people we have hurt and I want to reiterate how sorry I am for what we now know to have taken place.”

The problem for Brooks is that if she did not know what had taken place before this she is utterly incompetent. And, of course, if she did know, she is guilty of despicable and criminal behavior. It’s interesting that News Corp’s second largest shareholder, Prince al-Waleed bin Talal al Saud, told BBC’s Newsnight that she should resign if her involvement in the phone hacking scandal was “explicit”. Hours later she resigns. And remember, it was Brooks who warned that the next year would bring more trouble:

“We have more visibility perhaps with what we can see coming our way than you guys can. I am tied by the criminal investigation but I think in a year’s time, every single one of you in this room might come up and say ‘OK, well, I see what she saw now.'”

She’s right. In all likelihood there are still more revelations to come. The severity of the reactions to date suggest that all we have seen thus far is the tip of the iceberg. Murdoch, a notorious brawler, would not passively close a profitable, 168 year old newspaper, ditch the biggest business acquisition he has ever attempted, throw his trusted lieutenant under the lorry, and acquiesce to an inquisition by members of Parliament, if there weren’t something dreadful that he was trying to keep clamped down. His announcement that he will convene an “independent committee” to conduct his own inquiry is laughable, especially considering that he was forced to assign an unnamed “distinguished non-employee” to lead the effort. Presumably there no distinguished employees to call upon.

There are now a half dozen American lawmakers calling for various investigations from Congress, the Department of Justice, and/or the FBI (which has reportedly already opened an investigation). There have been at least seven arrests. The possibility of this affair crossing the Atlantic and involving allegations of the hacking 9/11 victims is the subject of much speculation. Fox News and its master, Roger Ailes, are not immune to this calamity. And if it goes there Rupert can kiss his evil empire goodbye.

[Update] Murdochalypse WOW! From CBS News:

Les Hinton, the chief executive of Dow Jones & Co., has resigned, becoming the latest News Corp. executive casualty in the phone-hacking and bribery scandal in Britain.

Hinton served as executive chairman of the British unit that oversaw News Corp.’s U.K. tabloid newspapers at the heart of the scandal for 12 years. A member of the board of The Associated Press, Hinton became head of Dow Jones in December 2007.

Hinton said in a statement that he was “ignorant of what apparently happened” but felt it was proper to resign.

The classic defense of scoundrels: Ignorance and/or victimhood. As the chief executive of Dow Jones, Hinton was responsible for the Wall Street Journal as well. And while he ran Rupert Murdoch’s British newspapers for 12 years, he worked for Murdoch for 52 years, beginning the association in Australia at age fifteen. With Hinton leaving, and Murdoch’s honorary daughter Rebekah Brooks gone as well, Murdoch is shedding his closest and most trusted allies. Can Roger Ailes be far behind?

This is looking more and more like some horrific news has still yet to bubble up from the Murdochian Hades. I’m beginning to wonder if there are bodies stashed somewhere.

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Victoria Jackson: The Greatest Comedy Hoax Ever

Posted by on July 15, 2011 at 12:29 pm. 6 Comments :

OK…I’m convinced. The recent ravings of former Saturday Night Live resident ditzy blond, Victoria Jackson, have to be part of the most deviously complex comedy hoax ever. Somewhere in a secret bunker Andy Kaufman is obviously plotting this whole thing out. Here is what she writes in her latest column for WorldNetDaily:

“Hitler, like Obama, was a “socialist” who came from a dysfunctional family, had a communist father who abused alcohol, womanized and sired several children from different mothers, had a white mother, suffered child abuse and neglect, moved often, lied about his birth and heritage, changed his name, was a narcissist, rose to power with the help of disreputable men, had the Rothschilds as financial backers, stirred up racial conflict and class warfare, wrote a biography about race at age 35, followed up with another book used to launch a political career, supported infanticide (partial-birth abortion), gave big speeches in stadiums, promised change and a new social order, had youth groups singing his praises, used propaganda, used voter fraud and intimidation, controlled the media, created “crises,” used a poor economy, hated Jews (Israel), pretended to be “Christian,” advocated population control and euthanasia, socialized medicine, formed a private army and then … killed his political opposition with his private army.

Well, I am Obama’s political opposition. That’s why I am concerned.”

That’s right. Victoria Jackson thinks Obama is going to kill her with his private army. BRAVO! That is some righteous comedy. I hope. Oh God, I hope.


Fox Nation vs. Reality: On Sarah Palin Undefeated

Posted by on July 15, 2011 at 11:33 am. 48 Comments :

Fox NationThe reality challenged Fox Nationalists have done it again. In a story about the absurdly named crockumentary, Sarah Palin: Undefeated, Fox Nation posted an item with the headline…

“Palin Film Selling Out in Theaters.”

The item is linked to a story by Reuters that actually reported that the “Sarah Palin documentary sells out Grapevine, Texas.” As Reuters notes “Grapevine isn’t exactly a teeming metropolis,” and the film thus far has only 10 theaters scheduled to run it nationwide.

So rather than selling out theaters (plural), it was a single theater in one town in Texas. The desperation of Fox Nation to hype this turkey is palpable. They don’t want a repeat of the embarrassing failure of the Ayn Rand pic, Atlas Shrugged. But this is so pathetic it’s laughable.

[Update] I just called the AMC Grapevine Mills theater to ascertain ticket availability. I was told that there are tickets for all screenings except for 7:00pm Friday. That screening was bought out by the local Republican Party. Every other screening has tickets available and the film is only scheduled to run for a week or two, depending on audience response. So even Reuters was incorrect. There is nothing remotely close to a sell out for this film, even in Texas which should be its best market.


Comic Relief: Judicial Watch Reveals White House Bias Against Fox News

Posted by on July 14, 2011 at 8:39 pm. 1 Comments :

Judicial Watch describes itself as a “public interest group that investigates and prosecutes government corruption.” Today they announced that they have uncovered documents from Obama’s Department of the Treasury revealing evidence of an anti-Fox News bias within the White House.

Holy moly! What a scoop. Perhaps with a little more digging these intrepid muckrakers might have even discovered the anti-Obama bias within Fox News.

First of all, having an anti-Fox News bias is not in any way indicative of government corruption. If anything, it demonstrates a clearheaded analysis of the media giant. Fox News is a 24 hour hate machine aimed at President Obama, Democrats, and progressive politics overall. It would be surprising (and stupid) if the White House were not aware of the hostility spewed by Fox News, and did not take measures to defend itself.

Judicial Watch’s pretense to independence is about as honest as the Fox News slogan “fair and balanced.” In their press release announcing the documents [pdf] they received from a Freedom of Information Act request, they carefully highlighted only the few bits that reflected poorly on the communications staff at the Treasury Department. Note that none of the emails they retrieved were actually from the White House although it is the White House they blame for the bias.

The issue encompassing this pseudo-controversy was whether Fox News was excluded from interviewing the electrifying Kenneth Feinberg, the so-called “executive pay czar” administering the TARP program. Judicial Watch spun the story in precisely the same way that Fox News did when it occurred two years ago. The Fox angle was that they had been deliberately denied press access to Feinberg at the behest of the White House. Judicial Watch cited excerpts from the emails like “…we’d prefer if you skip Fox please.” And “I am putting some dead fish in the fox cubby.”

The first citation was a direct response to a question that specifically asked whether there would be time for Fox to conduct an interview. The answer was not a rejection of Fox in particular, it was just a response that indicated there would not be enough time. MSNBC was also not in the queue for an interview at the time. The second citation was clearly a joke by staffers who were tiring of the hard time they get from Fox.

Judicial Watch failed to put these emails in context. Even worse, their press release never even mentioned the many emails that indicated that Fox had never been excluded. In fact, Fox had not requested an interview, and when they eventually did, they got one. Here are some of the excerpts that Judicial Watch left out:

[Page 5] Fox News hadn’t made a request for an interview – certainly not to me [Jake Siewert] or Jenni who was handling. When called nets to pool, a producer did raise concern about why Fox wasn’t on the first round list. To accommodate more interviews – we had dozens of requests – we cut back Feinberg’s off-camera presser and moved a Hill briefing to create a bigger window of time and added more interviews, including Fox. Once we had more time we specifically called Major [Garrett] and dragged him out of the WH briefing to see if he could do an interview. Still no request from Fox. Major had time, came to the briefing and got his interview, same slot as everyone else.

[Page 14] Important to note that Major never requested an interview. We asked him.

[Page 18] They didn’t ask for an interview – and when they finally did ask, they got one. I know it makes for a much less interesting story but it’s true.

[Page 29] I told Major it was a non-issue. And that the WH was fine with us including them (in the end.) Anita [Dunn] specifically told me she was OK.

[Page 49-50] Press Aide: Major – We are able to offer you 5 minutes with Feinberg in a round robin following the pen and pad. Will you do the interview?
Garrett: I am stuck in the WH briefing. Will call as soon as I get out.

Despite the clear evidence that there was no effort to exclude Fox News, Judicial Watch’s press release is already circulating through the conservative media merry-go-round and peddling a narrative that is demonstrably false. This is nothing more than an attempt to tarnish the White House for something they had nothing to do with and which was not even done at all. They are confident that their audience will be satisfied with the dishonest press release and will never read through the 81 pages of emails posted on their web site.

And as if to cap off the hilarity of this nonsensical melodrama, Judicial Watch included an email [page 33] that must have been swept up in their request, but was not related to the issue at hand. It was an email from a producer of the Glenn Beck Show seeking to determine if the WH was trying to “force God off our coinage.” That conspiratorial absurdity nicely frames how ridiculous and phony this whole affair is. If we didn’t know better we might assume the whole thing was a story from The Onion.


What If Rupert Murdoch Had Never Been Born?

Posted by on July 13, 2011 at 10:42 am. 1 Comments :

Inspired by the classic film “It’s A Wonderful Life,” British comics Stephen Fry and Hugh Laurie take a look at the world if Rupert Murdoch had never been born:

Click here to call on Congress to investigate News Corp’s hacking practices and whether they are doing it in the U.S.

Click here to call on the Justice Department to investigate whether Rupert Murdoch is violating the law.


Without Rupert Murdoch What Will Become Of Roger Ailes?

Posted by on July 13, 2011 at 10:34 am. 1 Comments :

Roger Ailes

As the scandal over Rupert Murdoch’s British tabloids continues to unravel the News Corp empire, much speculation has arisen as to how the affair will impact Murdoch’s American enterprises, particularly Fox News.

The latest bombshell is that Murdoch has dropped his bid to acquire the portion of the British satellite network BSkyB that he does not already own. That retreat came after it became clear that critics from across the political spectrum were about call for such an action in a rare show of non-partisan unity. Abandoning BSkyB is major defeat for both Rupert and his son, James.

Amongst the potential scenarios for the future of News Corp is one that includes neither Rupert, nor James, leading the company. Rupert is already tainted goods, and James is going to have to explain how the News of the World affair occurred on his watch without his knowing, even though he personally signed checks to payoff victims.

All of this must have Roger Ailes squirming in his lair. Rupert is, far and away, his most ardent supporter. James is said to be appreciative of Ailes ability to produce profit, but their personal relationship is described as cordial at best. What happens if they should depart?

The next Murdoch in line could be Rupert’s daughter, Elisabeth. Prior to this year she was not affiliated with News Corp, but then daddy bought her production company, Shine, and she came along with. Back in the fold, she now has more influence over corporate affairs.

The problem for Ailes is that Elisabeth is not an admirer of Ailes or his politics. She held a fundraiser for Barack Obama when he was a candidate for president in 2008. Her husband, Matthew Freud, told a reporter that…

“I am by no means alone within the family or the company in being ashamed and sickened by Roger Ailes’s horrendous and sustained disregard of the journalistic standards that News Corporation, its founder and every other global media business aspires to.”

Of course now we know that the journalistic standards that News Corp are not particularly high.

Lachlan Murdoch, Rupert’s oldest son, left the company years ago in part because of conflicts with Ailes. Prior to his departure he was the expected heir to the empire. While he no longer has an executive role, Lachlan, like all the Rupert spawn, shares in the ownership of the business. With Papa out of the way, his voice will surely be more prominent.

Ailes doesn’t help his own cause either. Just this year he has been involved in incidents that cast his reputation into doubt. Last April he was caught spying on employees of a small-town newspaper he owns in New York. And he used News Corp security to conduct the operations. In February Ailes was implicated in a scheme to deceive federal investigators who were vetting Bernie Kerik’s bid to become the director of Homeland Security. Judith Regan accused Ailes of instructing her to lie to the feds in order to protect Ailes’ pal Rudy Giuliani who was running for president at the time.

As the pillars of News Corp’s ivory tower weaken and crumble, Ailes is going to find himself increasingly beset by rivals and adversaries from within his own ranks. It’s hard to see how he can survive if the current Murdoch hierarchy is deposed. And considering his age and his wealth he may just find it more convenient to retire so that he can spend more time spying on his employees and propping up his dishonest political buddies.

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Rupert Murdoch’s News Corp Stiffs America – Pockets $5 Billion In Tax Refunds

Posted by on July 12, 2011 at 4:46 pm. 10 Comments :

Rupert MurdochMuch of the world is presently learning what a despicable old plutocrat Rupert Murdoch is. The still unfolding scandals in the UK have revealed just how low his ethics can descend.

On top of that his Fox News empire has been bashing Media Matters for weeks, and falsely asserting that the watchdog group is receiving federal funds with which to criticize Fox. In fact Media Matters receives no funds from the government. Fox is alleging that their tax exempt status represents some sort of financial gift. These assertions have no merit whatsoever.

The truth is that News Corp is the beneficiary of far more funding that comes at the expense of American taxpayers. I previously reported that News Corp has been stiffing America for years by using tax dodges and deferrals to underpay their fair share.

Now a new article from David Cay Johnston at Reuters confirms that Fox is a deadbeat. Johnston writes that…

[Note: Reuters has withdrawn the column by Johnston due to an error in analysis. The error involves only the $4.8 billion dollar tax refund. Everything else in his article and this one is still correct]

“Over the past four years Murdoch’s U.S.-based News Corp. has made money on income taxes. Having earned $10.4 billion in profits, News Corp. would have been expected to pay $3.6 billion at the 35 percent corporate tax rate. Instead, it actually collected $4.8 billion in income tax refunds, all or nearly all from the U.S. government.”

[And…]

News Corp. has 152 subsidiaries in tax havens, including 62 in the British Virgin Islands and 33 in the Caymans. Among the hundred largest U.S. companies, only Citigroup and Morgan Stanley have more tax haven subsidiaries than News Corp., a 2009 U.S. Government Accountability Office study found.

To repeat: That’s $4.8 billion in tax refunds (not credits). So while Fox is hyperventilating over Media Matters (whose entire budget is just a few million dollars), News Corp is walking away with nearly $5 billion from American taxpayers. And they are experts at dispersing their assets throughout the world, dispensing costs to countries that collect higher tax revenues, and profits to countries that have little or no taxes. So that money is likely leaving the country never to be seen again.

Defund Fox NewsIt’s time to stop Murdoch from raiding the American treasury. He is the poster fogey for decrepit oligarchs. He is using money that rightfully belongs to the citizens of the United States to finance campaigns against Media Matters; to disseminate propaganda via Fox News, the Wall Street Journal, etc.; to promote right-wing candidates and issues; to bankroll AstroTurf Tea Party groups; and now, to hack into the phones of kidnapped schoolgirls and victims of terrorism on both sides of the Atlantic.

His immoral enterprise has been exposed, and now he must be made to make restitution. To start with he should pay that $5 billion back. Then we can discuss what legal actions, civil and criminal, should be pursued.

Click here to call on Congress to investigate News Corp’s hacking practices and whether they are doing it in the U.S.
Click here to call on the Justice Department to investigate whether Rupert Murdoch is violating the law.


FLASHBACK: Winter As Evidence That Climate Change Is A Hoax

Posted by on July 12, 2011 at 3:28 pm. NO Comments :

Remember way back in January when mysterious atmospheric conditions resulted in tiny flakes of frozen water descending from the heavens and covering everything in a blanket of white frost?

Most people with active brain functions understood that it was something we professionals like to call “Winter,” but Fox News reported it as proof that Climate Change did not exist. Their logic was simple: If it was snowing then how could the climate be warming?

So why are there no reports from Fox News today when most of the country is sweltering under record high temperatures?

Fox News

Last January everyone on Fox was stunned that winter brought snowstorms, and that was enough to dismiss the fact that 2010 was the hottest year on record, capping the hottest decade on record. But now that summer is burning up a nation already suffering from severe draught, Fox News is silent on the matter. And this is precisely the same stupidity the Fox crew demonstrated last summer.

To be clear, Glenn Beck, Bill O’Reilly, Steve Doocy, et al, were idiots to assert that there was no Global Warming just because the seasons had changed. And I am not asserting that the Earth is warming just because summer has arrived. The evidence of Climate Change is in the hundreds of studies performed by scientists that document historical trends and project future probabilities. People who mistake weather for climate ought not to be displaying their ignorance on television. But then again, displaying ignorance on television is Fox’s business model. They would have 24 hours of dead air without it.


Fox Nation vs. Reality: On The Debt Ceiling

Posted by on July 12, 2011 at 12:53 pm. 2 Comments :

Fox Nation has posted another item that grossly misrepresents reality. Their featured story this morning concerns an interview that President Obama gave to CBS News.

Fox Nation

Notice the headline from the Reuters article to which the Fox Nationalists linked: Obama: Seniors could be hurt without debt deal. The article quotes Obama saying that…

“I cannot guarantee that those [Social Security] checks go out on August 3rd if we haven’t resolved this issue. Because there may simply not be the money in the coffers to do it.”

However, the Fox Nation headline is: Obama Threatens to Withhold Social Security Checks from Seniors and Vets. That, of course, is a lie. There is nothing in the article or Obama’s remarks that even implies that he would withhold any payments. He simply pointed out a potential consequence of the Republican’s intransigence and unwillingness to compromise.

There is a huge difference between an alert and a threat. If I were to tap you on the shoulder and warn you not to cross the street because of oncoming traffic, Fox would report it as me threatening to shove you off the curb into the path of a speeding truck. In the world of Fox News no distortion is too twisted if it casts Democrats in a bad light.


Shoes Are Falling: News Corp Scandal Keeps Getting Worse

Posted by on July 11, 2011 at 3:42 pm. 6 Comments :

Anyone waiting for the next shoe to drop in the News Corp hacking affair would be wise to seek cover. It’s about to hail footwear. No matter how hard Rupert Murdoch and his minions struggle to hold back the sea, they are continuing to get battered by higher and more powerful waves of corruption. And the tsunami is reaching across the Atlantic to American shores.

News Corp Shoes Falling

Here are a few of the late breaking stories that threaten to being down many of News Corp’s highest ranking officers:

Reports now emerging that News Corp reporters hacked the phones of 9/11 victims.

“…a former New York cop made the 9/11 hacking claim. He alleged he was contacted by News of the World journalists who said they would pay him to retrieve the private phone records of the dead.”

Congress encouraged to investigate News Corp in the U.S.

“The watchdog group Citizens For Responsibility and Ethics in Washington is calling on Congress to investigate Rupert Murdoch’s News Corp. for evidence that the company’s sprawling phone hacking scandal reached the United States.”

[Note: Media Matters has a petition calling on Congress to investigate News Corp. That’s only fair since Fox News has initiated a campaign against Media Matters.]

More News Corp papers engaged in hacking. Plus more high-profile victims.

“British media said Monday that Brown was one of thousands whose personal details — including his bank account and his son’s medical records — were targeted by people working for News International titles including the Sun and the Sunday Times.”

News Corp shareholders are revolting. Company has lost $7 Billion in market cap.

“A group of News Corp. shareholders have sued the company over a phone-hacking scandal at its now-closed News of the World tabloid in London. The lawsuit accuses News Corp. of large-scale governance failures.”

The scandal is reaching into the executive suites of Rupert Murdoch, who may lose his bid for the BSkyB satellite business. Even worse, he may be liable for prosecution under the Foreign Corrupt Practices Act. Murdoch’s man at Dow Jones (parent of the Wall Street Journal), Les Hinton, has been implicated in a cover up. Even conservative British Prime Minister David Cameron called Hinton out saying…

“There is now a large-scale and well-resourced police investigation. Of course, in 2006 we did have a police investigation, but we can now see that it was plainly inadequate. This in itself requires investigation.”

That 2006 investigation was overseen by Hinton who concluded that only one NotW reporter had done anything wrong. Clearly that was untrue. We now know that more than 4,000 people were victims of the hackers. Either Hinton was utterly incompetent or he was deliberately complicit in the cover up. And while Hinton was running Murdoch’s British papers, Rebekah Brooks was the editor of NotW. Brooks was briefly in charge of conducting the most recent inquiry into the scandal, but she has been removed as more speculation arises as to her involvement.

As an illustration of the depraved nature of these weasels, BBC’s Newsnight hosted actor/comedian Steve Coogan who confronted the former deputy features editor of NotW, Paul McMullan. Coogan told McMullan that he was morally bankrupt after McMullan explicitly defended the unlawful practice of hacking into people’s cell phones:

McMullan: I’ve always said that I try to write articles in a truthful way, and what better source of getting the truth is to listen to someone’s messages?

McMullan could also get the truth by breaking into people’s homes and hiding in their closets. He went on to make the ludicrous claim that freedom of the press would be at risk if he were prohibited from invading the privacy of anyone with a phone. And he mocked Coogan for profiting from his celebrity while complaining about having his phone hacked.

Today Rupert Murdoch withdrew his offer to spin off Sky News as a condition to win approval of his acquisition of BSkyB. That condition was key to the bid going forward due to concerns that he would control too much of the British media. By withdrawing the offer he casts the bid back into the Competition Commission for a review that will likely take six months. Murdoch’s purpose is to delay the decision in hopes that the hacking scandal would fade away. But there is now the risk that the Commission will decline approval for the acquisition. This move shows both how cynical and how desperate Murdoch is.

Stay tuned. This thing is getting worse by the hour. And don’t expect to see much about it on Fox News. Roger Ailes must be running scared himself. I wonder why.