(Image Source: Bloomberg)
BY GEORGE DUMONTIER
You're watching multisource world video news analysis from Newsy.
Rupert Murdoch is back from across the pond -- but he’s not out of the woods yet.
The media mogul could now face civil action in the US for the News of the World phone hacking scandal.
Here’s CBS.
“It is unclear at this point how much jeopardy they are potentially in, because we simply don’t know all the facts. They are potentially subject to prosecution under a statute called the Foreign Corrupt Practices Act in connection with any bribes that were paid in England.”
The FBI has confirmed -- it’s investigating News Corp. A Foreign Corrupt Practices Act experts tells The Telegraph -- even though these sort of cases usually end in a settlement -- they’re still long...and expensive.
“‘FCPA investigations can typically last two to four years and cost a multi-national company in the region of $100 million to combat...”
He adds..
“...if what has gone on in London is only the tip of the iceberg, then the pressure for an actual prosecution will increase...”
The FCPA was created to stop corporate corruption overseas, but this case is a little odd. Although Newscorp bribing a police officer in the UK would apply to the law, These cases are usually over larger matters. The Daily Beast questions the political drawbacks of the civil suit.
“Would Barack Obama and Holder ... be willing to take the inevitable heat for an arguably unusual application of the law? I think we know enough about Obama at this point to conclude that this is something he’d never do, unless new information inflamed U.S. public opinion (if, say, we learned that the News of the World hacked Americans’ phones), and maybe not even then. “
Ten employees have been arrested and Newscorp stock is down 10 percent since the end of June.
Transcript by Newsy.