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Phone hacking: James Murdoch admits 'hush money' payout

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James Murdoch has admitted that News International paid “hush money” to a phone hacking victim, despite telling MPs that they didn't try to buy his silence.

The admission that money was paid to ensure Mr Taylor’s silence is likely to exacerbate claims that News International tried to cover up the scale of phone hacking at the News of the World. Mr Murdoch also admitted that News International paid a convicted criminal almost £250,000 after his employment was terminated.

Clive Goodman was given £90,503 in April 2007, three months after he was jailed for his part in tapping the phones of the Royal family. He was later given a further £153,000 and £13,000 for legal fees. Tom Watson, one of the members of the culture, media and sport select committee, said MPs were “genuinely shocked” by the scale of the payment to Goodman.

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