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September 15, 2011

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Inquiry won't break up Murdoch Australia empire

AN inquiry into the Australian print media will examine increasing regulation but will not go as far as breaking up the nation's largest newspaper empire owned by Rupert Murdoch's News Corp, a government minister said yesterday.

But a senator said the inquiry could curtail the Australian-founded, New York-based media company's future Australian acquisitions.

The government yesterday released the terms of reference of the inquiry promised after News Corp closed its British tabloid News of the World in July over illegal phone hacking allegations. News Corp owns 70 percent of Australia's newspapers through its subsidiary, News Ltd.

Many government lawmakers argue that News Ltd's newspaper holdings are too large and are biased against the ruling Labor Party.

The inquiry, headed by a retired judge assisted by a journalism professor, will examine strengthening the independence and effectiveness of the print media's self-regulatory watchdog, the Australian Press Council. It will also examine the effectiveness of media codes of practice and the impact of technology.

But Communications Minister Stephen Conroy said the inquiry would not look at ownership concentration of the media nor consider breaking up the Murdoch newspaper empire in Australia.

"In terms of a witch hunt to demand that we break up News Ltd or to attack News Ltd, I'm not interested," Conroy told reporters.

But Senator Bob Brown, leader of the minor Greens party that supports Labor's minority government, said the inquiry could make recommendations curtailing Murdoch's future new media ownership.

The inquiry will report next year.

News Ltd chairman and chief executive John Hartigan described the inquiry as "a politically motivated compromise."





 

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