James Murdoch resigns as director of the companies which publish the Sun, the Times and the Sunday Times.
News Group Newspapers, a division of News International, published the former News of the World tabloid paper which is at the centre of the phone hacking scandal, currently being investigated by the Leveson inquiry.
Mr Murdoch was called for questioning twice, after his evidence about the extent he knew about phone hacking practices at the Sunday tabloid, appeared to contradict that of other witnesses.
Documents filed at Companies House show that the son of media tycoon Rupert Murdoch resigned from the board of News Group Newspapers – publisher of The Sun – and Times Newspapers Limited – publisher of The Times and Sunday Times – in September.
Mr Murdoch is also expected to face pressure to resign as chairman of broadcaster BSkyB at the company’s AGM next week.
It is understood that he will keep his position as chairman of NGN’s parent company, News International. NI Chief Executive Tom Mockridge will replace Mr Murdoch as director of NGN and TNL.
Although Mr Murdoch resigned in September, News Group Newspapers came under increased pressure last week after police alleged that hacking was taking place between 2001 to 2009 – a much longer period of time than the two year period (between 2004 to 2006) that News International had accepted.
It is safe to assume James Murdoch will step down from his responsibilities News International fairly soon, media analyst Claire Enders told Channel 4 News.
“John Whittingdale [chairman of the culture, media and sport select committee] has clearly indicated that the committee’s final report will censure James Murdoch for not paying more attention and not being a better steward.”
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His resignation means that no member of the Murdoch family is represented on News Corp‘s main UK newspaper boards.
“It’s a sign that these newspapers are no longer as important politically as they once were. There’s no doubt that the political impact of the Murdoch family has ebbed completely,” said Ms Enders. “I would’ve thought that these newspapers may benefit by working immediately anonymously from the Murdoch family.”
Such is the stain of phone hacking on News International executives that it might make commercial sense for the company to rid itself of its three main newspapers. But Ms Enders points out: “Who would want to buy an unlimited liability?”