Police arrest four, including Tina Weaver and serving Mirror Group editor

March 14, 2013

Tina WeaverWhatever took them so long? Plod has finally pounced on four miscreant Mirror Group journalists in a dawn raid conducted by the Weeting (phone hacking) team. And what a haul it has proved to be.

The four include the first serving editor to be arrested: James Scott of the Sunday People. Better known is one of the Street of Shame’s favourite hackettes, Tina Weaver – former editor of the Sunday People. The other two are Mark Thomas, former editor of the Sunday Mirror; and Nick Buckley, current deputy editor of the Sunday Mirror.

Senior Trinity Mirror Group management – notably chief executive Sly Bailey and her successor, ex-HMVite Simon Fox – have long been in denial about a phone-hacking scandal within Mirror group portals. A denial which, though oft repeated over the past two years – notably during the Leveson Inquiry – seems to have deceived no one but themselves.

Over 18 months ago, Louise Mensch – a former MP who sat on the House of Commons media select committee – openly taunted Piers Morgan – once editor of the Daily Mirror, but now the fabulously remunerated host of CNN’s prime-time talk show – with complicity in a phone-hacking scandal involving Ulrika Jonsson’s affair with former England football manager Sven Goran Eriksson. Morgan furiously rebutted the accusation, but was reduced to fuming impotence by parliamentary privilege – the one thing protecting Mensch from being on the receiving end of a colossally expensive and probably indefensible libel suit. Later, she did make a mealy-mouthed apology. Sort of.

Few doubted that Mensch was on to something: it seemed highly improbable that Mirror tabloids were entirely immune to the hacking contagion that had reduced Rupert Murdoch’s News International to its knees. What was lacking was context and a basis in fact.

Piers MorganWe now have that, at least in outline form. And it should be said straight away that the facts do not in any way implicate Morgan. The statement from the Metropolitan Police makes this quite clear: “It is believed [the conspiracy] mainly concerned the Sunday Mirror newspaper and at this stage the primary focus is on the years 2003 and 2004.”  True, that does not exclude Morgan by date (he was editor of the daily title from 1995 to 2004), but there has been no mention of – still less arrests of former employees at – the Daily Mirror so far.

Nevertheless, I imagine Morgan will be anxiously reaching for his lawyers, lest the net spreads further.

Ironically, Trinity Mirror has just reported better than expected results, showing Fox’s cost-cutting measures are doing their work. How much damage the arrests – and those likely to follow in their wake – will do to TMG’s share price remains to be seen.

UPDATE 19/3/2013: Morgan’s insomnia will not have been improved by the news that Richard Wallace, a former Daily Mirror editor (and long-term partner of Weaver), has also been questioned by the Weeting team.


Seven-day-a-week newspaper publishing revolution shatters The Mirror

May 30, 2012

The Rabelesian guffawing in The Mirror’s newsroom when Trinity Mirror’s chief executive announced her unlamented departure is now reduced to a sullen whisper.

Who will be next, the hacks timorously wonder as they survey the seismic damage caused by this morning’s fresh round of top-level sackings? Out, in short order, have gone Richard Wallace, editor of The Daily Mirror, and Tina Weaver, veteran editor of The Sunday Mirror. In has come Lloyd Embley (who? – formerly editor of the People) as the new editorial supremo of a “merged” 7-day-a-week Mirror newspaper.

In a classic example of tabloid double-think, Embley told his shell-shocked team: “This is not a slash and burn exercise. Nor is it about managing decline.”

Isn’t it, Lloyd? Difficult to see what else it might be. Certainly not a strategic decision, made from strength. Nor, to use some ghastly marketing jargon, is it “proactive”. Indeed, as so often in the world of newspapers, Rupert Murdoch continues to take the credit, having got there first with the 7-day Sun – while Trinity hobbles behind, a lame second. If the two editors were stunned by the manner of their summary dismissal this morning, they can hardly be surprised by its ultimate cause. All the circulation gains accruing to The Sunday Mirror after Murdoch unexpectedly closed the News of the World were wiped out almost overnight by his introduction of The Sun on Sunday.

If this brutal step-change really is, in the words of the Trinity statement, “a further step towards creating one of the most technologically advanced and operationally efficient newsrooms in Europe,” why on earth didn’t senior management have the courage of their convictions and implement it before?

Because, let’s face it, it isn’t really a step-change at all. And because, where newsrooms and newspapers are concerned, there are more important things than being “technologically advanced” and “operationally efficient”. Like keeping your journalists on side. Which is difficult when you are savagely cutting their numbers to achieve shareholder “value”.

What seems to have occurred here is some highly expedient corporate chicanery. How can it be that Sly Bailey, the lame duck outgoing chief executive, has been allowed to make these changes, changes she would never have dared to make before she resigned? Simple. The new board, and particularly the new chairman David Grigson, needs someone to hide behind, someone who is now totally expendable.

This may not have been Grigson’s only calculus, however. The suspicion is Trinity used this occasion to cleanse its Augean Stables. We’re still waiting to hear the full unexpurgated version of former Mirror editor Piers Morgan’s flirtatious relationship with the truth about phone-hacking, but last week moved a little closer to full disclosure with Jeremy Paxman’s testimony to the Leveson Inquiry. Wallace and Weaver were both later contemporaries of Morgan, who stepped down from the Mirror in 2004. Like two Wise Monkeys, they have joined Morgan in a deaf-and-dumb denial of complicity in phone-hacking culture. Which – who knows? – may be entirely justified. But just in case, why not get rid of them at this opportune moment? They are, in any case, very expensive; and they were, no doubt, utterly opposed to the concept of sacrificing one of their editorships on the altar of a 7-day newspaper.

And yet the real casualty here is the brand. Sunday newspapers, and not just red-top Sundays, are looking like an endangered species. Who will be next to join the 7-day bandwagon? The Independent/Independent on Sunday? The Guardian/Observer?

Sunday newspapers are being eroded not simply by shrink-fit publishing economics but by changing reading habits. After all, who these days seeks the wow-factor of a good old-fashioned scoop over their Sunday bacon and eggs?


Bailey Trinity bonanza makes Sorrell’s WPP package look like peanuts – comparatively

May 3, 2012

WPP chief executive Sir Martin Sorrell may not have been best pleased with the publication timing of the latest Sunday Times Rich List.

Just as the awkward information trickled out that he had taken a 60% rise in pay and bonuses last year (£6.18m in 2011, as opposed to £4.2m in 2010), up popped the unhelpful information – tricked out in headline bold – that Sir Martin is the UK’s wealthiest advertising mogul, with a fortune of £174m (up from £148m the previous year) and a personal stake in WPP worth £156m.

A red rag to a bull, you might say. Some of WPP’s shareholders are becoming increasingly cantankerous about such generous settlements, as last year’s hullabaloo at the annual general meeting all too clearly demonstrated. This year’s AGM in June promises similar excitement.

However, Jeffrey Rosen, chairman of WPP’s remuneration committee, can rest easy in his bed. Shareholders, no matter how vociferous, haven’t a prayer of overturning the pay agreement. Sorrell may have an uncomfortable 15 minutes caught in some headline crossfire, but he can adduce powerful arguments he has deserved well of his shareholders. Look at the underlying performance of the company; the bonus element which is in any case increasingly linked to the share price; and – crushing final point – what would shareholders actually do without him?

Alas, Rosen’s oppo over at Trinity Mirror, Jane Lighting – who once headed Five – can expect no such easy ride. Shareholders are baying for her blood after she waved through Trinity chief executive Sly Bailey’s £1.7m pay package, apparently without a murmur of protest.

Why the fuss? After all, £1.7m is financial foothill stuff compared with Sorrell’s £6.18m. But then Sorrell – unlike Bailey – has built a £10.67bn world-leading marcoms business. And  – again unlike Bailey – he has not presided over the systematic destruction of shareholder value these past 9 years.

When in 2003 Bailey joined Trinity, publisher of The Mirror, The People and sundry local newspapers, it was valued at £1.1bn. Today, that valuation is near £84m and dwindling fast. Trinity has not paid a dividend since 2008, and its pension liabilities of £1.7bn now dwarf market capitalisation.

Personally blaming Bailey for the destruction of Trinity would be a bit like blaming Canute for the tide coming in. All said and done, it’s the internet wot done it; and no one else in the newspaper publishing sector has successfully outflanked its effects. But paying her a near-FTSE100 wedge for running a small cap company looks increasingly absurd. All the more so since Bailey has no identifiable long-term solution to Trinity’s plight.

It’s time to move on Sly, maybe to some non-exec roles. I’m sure you’ll be a lot tougher on pay deals than Lighting.

UPDATE 4/5/2012: SLY TAKES THE HINT AND RESIGNS SHOCK! Bailey handed in her notice shortly after share-trading closed last night, once it became clear she faced an unquellable revolt over her pay deal from at least 25% of Trinity’s shareholders. Interestingly, prime among the rebels was Aviva, which is experiencing internal sedition over its own chief executive’s handsome package. It seems Bailey will not exactly be missed by her staff, who have in recent times endured massive cuts to editorial budgets. A journalist at the Liverpool Echo, one of Trinity’s regional newspapers, is reported to have said: “Every time her bonuses were going up we were losing people from the newsroom. We called her the wicked witch of the south.” Apparently, unrestrained whoops and guffaws were to be heard in the Mirror’s offices after the news broke that she was leaving.


Is now the moment when The Sun brand begins to set?

January 29, 2012

Arrested: four senior Sun hacks, plus an allegedly bent copper.

Is this the moment that damage to The Sun brand becomes systemic and unstoppable?

Not if News Corp, which ultimately owns the title, has calculated correctly. After all, the information that led to the arrests – carried out as part of the Operation Elveden investigation into police corruption – was volunteered by the company itself. It’s a gesture clearly designed to demonstrate that the House of Murdoch is now whiter than white, thanks to the “fearless” probing of its so-called Management and Standards Committee (driving force, former Telegraph editor-in-chief Will Lewis).

Sacrificing the prospects of 4 more Sun employees superficially looks like a shrewd way of cauterizing existing brand damage. But on one condition only: that no more evidence of criminal behaviour comes to light. And who, in the circumstances, is going to guarantee that?

Because these four are not the first Sun staff to be arrested. Remember Sun district editor Jamie Pyatt, who was assisting police with their inquiries last November, and has now been bailed until next March? The suspicion must linger that more arrests – inextricably linking The Sun to the culture of criminal deception imbuing other parts of NI – are on the way. And how might that play with advertiser sentiment?

When perception will actually catch up with reality is, of course, anyone’s guess. One of the remarkable aspects of this marathon phone-hacking (computer-hacking and police bribery) scandal is how long everyone at News Corp rival Trinity Mirror – from CEO Sly Bailey down to Daily Mirror editor Richard Wallace and, indeed, The Mirror’s most famous alumnus of all, Piers Morgan – has been able to cling to the increasingly threadbare “Three Wise Monkeys” defence strategy. Only the other week, Bailey was telling the Leveson Inquiry that she had never launched an inquiry into potential journalistic abuses “because she had never been given any evidence of it“. Of course she hasn’t. Which turkey ever votes for Christmas?

UPDATE 30/1/12: Nick Davies, the man who has done more than anyone else to break open this scandal, clearly sees the arrest of senior Sun editorial executives as a pivotal moment. In his Guardian piece today, he suggests that News Corp has now lost control of its own database, and therefore the ability to obstruct further disclosures. With potentially terrifying consequences for a lot of senior people in the Murdoch news organisation. See ‘Mysteries of Data Pool 3 give Rupert Murdoch a whole new headache‘.


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