Sunday, July 17, 2011

Former News Corp Chief Exec Arrested

In the continuing saga of News Corp, News of the World, and News International (News Corp's British wing), former Corp CEO Rebekah Brooks, who some have called closer to Corp founder Rupert Murdoch than his own daughters were, has been arrested by police in London in connection to the phone-hacking scandal and the corruption that goes with it.

It's an interesting development, following the resignation just a few days ago of Brooks, followed by other prominent News Corp personas, and the call for parliamentary questioning of Rupert and his son James, who runs News International, by the Conservative government of David Cameron, who has some close ties with all those involved. It also follows the aborted attempt by Murdoch's group to take full control of British Sky Broadcasting (BSkyB), the UK's only satellite provider. News Corp currently downs 39% of BSkyB.

Furthering the issues surrounding BSkyB, James Murdoch, who also is chairman of the company, may soon be turfed. So much for that acquisition.

Meanwhile, News Corp's stock has taken a pretty downward turn. Certainly not the lowest, and definitely recoverable, but also certainly just the tip of the iceberg.

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