News Corp was sent a letter by U.S. prosecutors investigating foreign bribery, requesting information on alleged payments employees made to U.K. police for tips, according to a person with knowledge of the matter.
The letter is part of an effort by the U.S. Justice Department to determine whether News Corp. violated the Foreign Corrupt Practices Act, or FCPA, according to the person, who declined to be identified because the matter isn’t public. News Corp. fell 1.7 percent on the news.
The inquiry advances an existing U.S. probe that is reviewing claims that victims of the Sept. 11, 2001, attacks had their phones hacked by News Corp. employees. The letter doesn’t carry the same legal force as a grand jury subpoena, which would compel a response under law.
Oh that is awesome!
And here I thought all of the good news this September was going to be about uncovering the truth about Sarah Palin.
Well-sourced information coming out of the Department of Justice and the FBI suggests a debate is going on that could result in the recently launched investigations of News Corp. falling under the RICO statutes.
RICO, the Racketeer Influenced and Corrupt Organizations Act, establishes a way to prosecute the leaders of organizations—and strike at the organizations themselves—for crimes company leaders may not have directly committed, but which were otherwise countenanced by the organization. Any two of a series of crimes that can be proven to have occurred within a 10-year period by members of the organization can establish a pattern of racketeering and result in draconian remedies. In 1990, following the indictment of Michael Milken for insider trading, Drexel Burnham Lambert, the firm that employed him, collapsed in the face of a RICO investigation.
Among the areas that the FBI is said to be looking at in its investigation of News Corp. are charges that one of its subsidiaries, News America Marketing, illegally hacked the computer system of a competitor, Floorgraphics, and then, using the information it had gleaned, tried to extort it into selling out to News Corp.; allegations that relationships the New York Post has maintained with New York City police officers may have involved exchanges of favors and possibly money for information; and accusations that Fox chief Roger Ailes sought to have an executive in the company, the book publisher Judith Regan, lie to investigators about details of her relationship with New York police commissioner Bernie Kerik in order to protect the political interests of Rudy Giuliani, then a presidential prospect.
Here is where the RICO logic comes in. The usual path of a criminal investigation follows the crimes back to the source—that’s what happened to News Corp. in the U.K. when the royal family discovered that its voice mail messages were appearing in the press. But in a RICO investigation, you are really following the ethos and methods of operation of a group or organization to the crime. In other words, criminal activity is not seen as an isolated or particular event—as News Corp. has desperately and unsuccessfully tried to portray the crimes that occurred in the U.K.—but as an established pattern of conduct.
As it happens, much of this pattern of conduct at News Corp. has long been hiding in plain sight. How the company has gotten away with such behavior is, in fact, a subtext of the investigations that are now unfolding.
Partly, the company has escaped legal scrutiny because this is a boys-will-be-boys sort of story. News Corp.’s by-any-means aggressiveness has become so much a part of its identity that it seemed almost redundant to find fault with it. Everybody knew but nobody—for both reasons of fear and profit—did anything about it; hence its behavior has become, however unpleasant, accepted.
And partly, it’s because the fundamental currency of the company has always been reward and punishment. Both the New York Post and Fox News maintain enemy lists. Almost anyone who has directly crossed these organizations, or who has made trouble for their parent company, will have felt the sting here. That sting involves regular taunting and, often, lies—Obama is a Muslim. (Or, if not outright lies, radical remakes of reality.) Threats pervade the company’s basic view of the world. “We have stuff on him,” Murdoch would mutter about various individuals who I mentioned during my interviews with him. “We have pictures.”
Similarly, the Post and Fox News heap praise and favors on partisans, who in turn do them favors (the police, in New York as well as London, receive and return the favors).
This reward and punishment has translated into substantial political power, both in terms of regulatory advantages and, too, in the ability of the company to shield itself from the kind of scrutiny that it has taken a perfect storm of events to have it now receive.
Use the same methods to investigate News Corp that the FBI used to investigate, and imprison, Mafia members?
Considering what we know about how Fox News has used its influence to control elections, cover up for their favorite politicians, and attack competitors, it makes perfect sense to me.
In early reporting all anybody knew was that there HAD been a bombing in Norway and a shooting at the youth camp. Yet that was all Laura Ingraham needed to state unequivocally that, “Two deadly terror attacks in Norway, in what appears to be the work, once again, of Muslim extremists,” and then to immediately jump to a pre-recorded Bill O'Reilly interview with the lawyer representing the Islamic Community Center in New York, which prominently featured O'Reilly bullying the man and insinuating that the Muslim people were to blame for 9-11.
We can wait until we are blue in the face for Ingraham, or Fox News, to apologize for their blatant hate mongering but it will never come. This was a purposeful decision to gin up more hatred toward Muslims, and as a byproduct keep Americans supporting the wars overseas which financially benefits Fox News, and which feeds Roger Ailes personal xenophobia concerning the Islamic people.
And hidden in the shadows there can be no doubt that America has its version of an Anders Behring Breivik, just waiting in the wings for that last straw to snap his emotional camel's back, or perhaps for direction from a Right Wing radio host or Fox News talking head, to provide a clue as to which enemy he needs to place in his crosshairs.
Can there be any doubt who Fox News is actively attempting to place in those crosshairs?
And is that not exactly the kind of rhetoric which inspired Anders Behring Breivikto launch his devastating terrorist attack against his own people in the first place?
Breivik had talked admiringly online about conversations he had had with unnamed English Defence League members and the organisation Stop the Islamification of Europe (SIOE) over the success of provocative street actions leading to violence.
"I have on some occasions had discussions with SIOE and EDL and recommended them to use certain strategies," he wrote two years ago. "The tactics of the EDL are now to 'lure' an overreaction from the Jihad Youth/Extreme-Marxists, something they have succeeded in doing several times already."
In other words it appears that the promoters of terrorism that Laura Ingraham, and her bosses, are having such difficulty identifying, may in fact be found staring back at them from the mirror.
A former producer with Fox News claimed in a lengthy essay gaining new traction this week that the conservative television station has a "Brain Room" in its New York headquarters, which enables employees to view private telephone records with ease.
Though published years ago, the allegations have returned to relevance in the wake of the phone hacking scandals that have rocked News Corporation to its very core, threatening to topple one of the world's largest and most powerful media conglomerates.
According to former Fox News executive Dan Cooper, whose gripes with his former employer run quite deep, Fox News chief Roger Ailes allegedly had him design the so-called "Brain Room" to facilitate counter-intelligence efforts and other "black ops."
In a lengthy 2008 diatribe said to have doubled as a book pitch, Cooper claimed his own phone records had been hacked by Fox News employees, who he says used them to pinpoint him as a source used by David Brock, who founded liberal watchdog group Media Matters.
"Ailes knew I had given Brock the interview," he wrote. "Certainly Brock didn't tell him. Of course. Fox News had gotten Brock's telephone records from the phone company, and my phone number was on the list. Deep in the bowels of 1211 Avenue of the Americas, News Corporation's New York headquarters, was what Roger called the Brain Room. Most people thought it was simply the research department of Fox News. But unlike virtually everybody else, because I had to design and build the Brain Room, I knew it also housed a counterintelligence and black ops office. So accessing phone records was easy pie."
See? I told you it would lead back to Fox News! My fervent hope is that the FBI get themselves a search warrant and GAIN ACCESS TO THAT ROOM!
Ladies and gentlemen I would bet my house that if they could get in there THAT would be the end of Fox News, Roger Ailes, and Rupert Murdoch. There is no doubt in my mind.
You know the part that really pisses me off? That I already KNEW about this story, and even wrote about it, but it completely slipped my mind until I read this article.