News of the World admits hacking UK celebrity phones
LONDON (Reuters) - Rupert Murdoch's powerful UK news arm reversed course and admitted its role in a long-running phone hacking scandal that had thrown into question the Prime Minister's judgment and threatened Murdoch's biggest ever deal.
News International, parent company of Britain's top-selling News of the World tabloid,
had always vigorously denied it knew journalists were hacking the phones of members of the royal family, politicians, celebrities and sports stars,and blamed a handful of "rogue reporters" for the scandal.
But in a major turnaround for the company, part of Murdoch's global media empire News Corp,
News International said on Friday it would admit liability and pay compensation in eight cases -- although many more believe they were targeted.