Media giant accused of trying to influence vote

Former liberal Prime Minister John Howard. Photo / Mark Mitchell

Australian media giant News Ltd has been accused of trying to influence a parliamentary vote with promises of editorial and other support for a senator in former Liberal Prime Minister John Howard's conservative Government.

The allegations, now under investigation by the federal police and reported in Fairfax newspapers yesterday, came as a Labor Government-appointed independent panel continued its inquiry into the nation's print media. Although the Government rejects claims that the inquiry was launched as a witch-hunt against News Ltd, its creation followed pressure by the Greens in the wake of hacking allegations against media magnate Rupert Murdoch's British empire.

Announcing the inquiry in September, Communications Minister Stephen Conroy said the Government did not intend to attack media companies. "In terms of a witch-hunt to demand that we break up News Ltd or attack News Ltd, we're not interested."

Yesterday's allegations against News Ltd were based on a statement given to the federal police by former National Party Senator Bill O'Chee, seen by the rival Fairfax group.

The Sydney Morning Herald said O'Chee, a senator between 1990 and 1999, had a long and difficult relationship with the Murdoch press. It said O'Chee's statement was made after police were made aware of a recent conversation with a sitting MP, in which the former senator discussed alleged approaches by a News Ltd executive and a lobbyist at a 1998 lunch in Brisbane arranged by former Queensland Nationals president David Russell.

The alleged approach dealt with controversial legislation regarding the creation of digital television and the free allocation of six new channels to free-to-air broadcasters. The bill was opposed by News Ltd, Fairfax, Telstra and Optus, and its success depended on the votes of two independent senators.

The SMH said O'Chee was on the Senate committee scrutinising the bill and was seen as a weak link in Coalition support as he had previously crossed the floor on other bills.

Ultimately Labor secured some amendments and supported the law, making the independents irrelevant.

The SMH said O'Chee told police the News Ltd executive had said the group would use its newspapers to look after him if he was criticised for crossing the floor on the bill, including a "special relationship" providing editorial support not only with respect to the digital conversion legislation, but also for "any other issues".

"I believed [he] was clearly implying that News Corporation would run news stories or editorial content concerning any issue I wanted if I was to cross the floor and oppose the digital conversion legislation," O'Chee was reported as saying.

His statement alleged that after rejecting the approach it had become almost impossible for him to have anything published in News Ltd's Queensland newspapers.

The SMH said the News Ltd executive and the lobbyist declined to comment, and although Russell had confirmed the meeting and those present, it was understood he did not recall any improper offers.