Irate News Corp. Shareholders to Take Murdoch to the Woodshed

[maxrandb]

Source: New York Times

The most forceful, and potentially most ominous protest is likely to come from Tom Watson, the British Labour Party legislator who has led the investigation into phone-hacking at News Corporation’s British newspaper unit. Mr. Watson, who acquired nonvoting proxy shareholder status to attend the meeting, said he planned to accuse the company of engaging in further criminal wrongdoing involving surveillance techniques that extend beyond the phone hacking. He did not discuss potential evidence.

“A lot of institutional investors do not know the scope nor the implications of what’s happening in the U.K.,” Mr. Watson said in a phone interview. “You can delegate power but not responsibility, and Rupert Murdoch for whatever reason has failed to put in corporate governance arrangements that prohibit crimes from being committed.”



Read more: http://www.nytimes.com/2011/10/21/business/media/irate-news-corp-shareholders-to-take-murdoch-to-the-woodshed.html?_r=2

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Get your popcorn!

[GliderGuider]

1. Tom Watson

:yourock:

[Cirque du So-What]

2. First the woodshed

next the courtroom. I don't want this to end with corporate infighting; let the class-action suits begin - followed by criminal charges.

[dipsydoodle]

3. They can't

because unless they want to admit they're stupid they don't generally speaking hold voting shares a substantial number of which are held by the Murdoch family.

Lot to be said for reading small print.

Although Murdoch owns roughly ten percent of News Corporation - which boasts 51,000 global employees and achieved revenues of $33 billion last year - he controls around forty percent of its “voting” stock. That made him highly unlikely to lose any critical votes at the AGM. http://www.independent.co.uk/news/world/americas/rupert-murdoch-faces-showdown-with-shareholders-2374074.html

In addition from the NYT link : 7 percent belong to Prince Walid bin Talal of Saudi Arabia who backs the board as it is.

[Aaria]

4. I suppose they could still vote with their feet.

[quakerboy]

5. Full of sound and fury

signifying nothing.

Murdoch owns the company, or at least enough that it would take a universal revolt to toss him. Which is not going to happen, until he is in jail, and probably not even then.

Which means this is all theater to make you feel better. "see, not everyone at fox is evil, they really want to stop him, so you shouldn't boycott or prosecute because it will harm all those innocents involved."

Governments in all involved countries should be working on the investigations, planning to send people to jail, planning punative fines and corporate punishment. I will not hold my breath.

[dipsydoodle]

6. No Changes For News Corp Board, Which Rejects Independent CEO Proposal

October 21, 2011 – Los Angeles, CA – Following its Annual Meeting of Stockholders today, News Corporation announced that all Directors were elected, the advisory vote was in favor of executive compensation, and the other management proposals were approved. The floor proposal regarding an independent Chair of the Board was not approved. Voting results are being finalized and will be filed with the SEC early next week.

http://www.deadline.com/2011/10/no-changes-for-news-corp-board-which-rejects-independent-ceo-proposal/