26 Jul 2011

Hacking repercussions spread to Australia

7:00 am on 26 July 2011

The repercussions of the News Corporation phone hacking scandal in Birtain are now being felt in Australia, the birthplace of the Murdoch global media and entertainment empire.

Since starting with a small paper in Adelaide 60 years ago, Rupert Murdoch has gone onto bigger things.

But Radio New Zealand's Sydney correspondent says Australia is still a bulwark of the empire. News Ltd owns 70% of the metropolitan print media in Australia as well as big chunks of pay TV, suburban newspapers and agencies.

But Mr Murdoch's immense power is suddenly under scrutiny after the phone scandal in the UK.

The Gillard government is accusing his titles of outright political bias and the Greens want a full inquiry into media concentration.

News Ltd insists its operation is clean but it will carry out an internal review of editorial expenses over the past three years.

Meanwhile, superannuation funds have used the scandal to warn companies to raise their corporate governance standards.