07/07/2011

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:00:08. > :00:11.Tonight at Ten: The scandal-ridden News of the World becomes a victim

:00:11. > :00:13.of its own misconduct. As the phone-hacking crisis reaches new

:00:13. > :00:23.levels, the Murdoch family decides to close Britain's best-selling

:00:23. > :00:24.

:00:24. > :00:28.newspaper. Certain individuals did not live up to the standards and

:00:28. > :00:32.quality of journalism that we believe in, that I believe in, and

:00:32. > :00:35.the company believes in. decision stunned the media world,

:00:35. > :00:41.but followed an exodus of big advertisers alarmed by the public

:00:41. > :00:45.and political response. I am not interested in closing down

:00:45. > :00:49.newspapers, I am interested in those who were responsible being

:00:49. > :00:53.brought to justice, and those who had responsibility for the running

:00:53. > :00:57.of that newspaper taking that responsibility, and I don't think

:00:57. > :01:00.those two things have happened today. As the alleged targets of

:01:00. > :01:02.the hackers became ever more shocking, the pressure on the paper

:01:02. > :01:09.intensified. And the police are, themselves, on the defensive

:01:09. > :01:13.because of payments taken by some officers. If proved it is corrupt

:01:13. > :01:17.practice, I will be determined to put them in front of the criminal

:01:17. > :01:19.courts. We'll be considering the impact on the Murdoch empire and

:01:19. > :01:22.its highly controversial plans for expansion in the British media.

:01:22. > :01:25.Also tonight: In the European Union, interest rates are up again despite

:01:25. > :01:27.the financial crisis in some member states. And a medical breakthrough

:01:27. > :01:37.as scientists perform the world's first transplant using a synthetic

:01:37. > :02:04.

:02:04. > :02:06.Good evening. The tide of public anger about the phone-hacking

:02:06. > :02:12.scandal has forced the closure of Britain's best-selling paper, the

:02:12. > :02:15.News of the World. This Sunday's edition will be the last. The

:02:15. > :02:19.Chairman of News International, James Murdoch, told staff that the

:02:19. > :02:22.paper had failed to get to the bottom of "repeated wrongdoing".

:02:22. > :02:26.But the company has refused to comment on rumours that another of

:02:26. > :02:29.its papers, the Sun, could now be extended to a Sunday edition. First

:02:29. > :02:39.tonight, our business editor Robert Peston reports on the News of the

:02:39. > :02:41.

:02:41. > :02:44.World's closure. Rupert Murdoch, 1969, shortly after he bought the

:02:44. > :02:53.News of the World, which was to become his very profitable pride

:02:53. > :03:02.and joy. I forgive the individuals by all means. 42 years later, it he

:03:02. > :03:07.might well have made the same remarks about the newsroom at the

:03:07. > :03:13.paper whose actions shocked the nation. In the last few days, the

:03:13. > :03:17.paper became indelibly linked with the worst practices in British

:03:17. > :03:24.journalism and James Murdoch concluded it could not be mended.

:03:24. > :03:27.Clearly, the practices of certain individuals did not live up to the

:03:27. > :03:32.standards and quality of journalism that we believe in, that I believe

:03:32. > :03:37.in, and this company believes in. This company has been a great

:03:37. > :03:42.investor in journalism, a great investor in media in general, and

:03:42. > :03:47.it is something we believe very strongly in. And clearly, certain

:03:47. > :03:52.activities did not live up to those standards and that is a matter of

:03:52. > :03:55.great regret for me personally and for the company. What did for the

:03:55. > :03:59.News of the World were revelations about the alleged hacking of the

:03:59. > :04:03.mobile phones of the murdered schoolgirl Milly Dowler, the

:04:03. > :04:10.parents of the Soham victims, and the families of those who died in

:04:10. > :04:15.the 7/7 atrocities, and the families of British soldiers killed

:04:15. > :04:20.in action. Here is 80 year-old Rupert Murdoch earlier today

:04:20. > :04:24.pursued by journalists at a media conference in Idaho, hours before

:04:24. > :04:29.the kind of humiliation rare for the quintessential mogul. One of

:04:29. > :04:33.his staff was less tight-lipped. have done a lot of good things on

:04:33. > :04:40.the News of the World, and because of what happened by some people,

:04:40. > :04:45.unscrupulous souls who worked here before, those people have been

:04:45. > :04:49.thrown out of the job today. Rebekah Brooks, now chief-executive

:04:49. > :04:53.of News International, some feel she should have gone. A lot of

:04:53. > :04:56.people are losing their jobs today, but one of the people who is

:04:56. > :05:01.remaining in her job is the chief executive of News International,

:05:01. > :05:05.who was the editor at the time the hacking of Milly Dowler's phone

:05:06. > :05:11.happened. I don't think this solves the real issues at News

:05:11. > :05:15.International. I am satisfied that her leadership of this business and

:05:15. > :05:21.her standard of ethics, and her standard of conduct throughout her

:05:21. > :05:24.career are very good. With big consumer company after big consumer

:05:24. > :05:28.company pulling their advertising from the News of the World for fear

:05:28. > :05:38.of being tainted by association, its commercial future was looking

:05:38. > :05:40.

:05:40. > :05:46.bleak. With its demise, will be company be damaged? There must be a

:05:46. > :05:54.public lead inquiry. Here is the other newspaper acquired by Rupert

:05:54. > :05:58.Murdoch, the Sun - could the song on Sunday be born? The Sunday

:05:58. > :06:02.without the Murdoch tabloid? Unthinkable, surely.

:06:02. > :06:04.As Robert noted, the News of the World title has been around for 168

:06:04. > :06:08.years, during which time it's emerged as a powerful media brand

:06:08. > :06:11.and the prime vehicle for celebrity scoops and sex scandals. It was

:06:11. > :06:15.bought by Rupert Murdoch in 1969, and it repaid the investment many

:06:15. > :06:25.times over. Nick Higham reports on the best-selling newspaper, set to

:06:25. > :06:27.

:06:27. > :06:31.disappear within days. It was as British as roast beef and in 1969 a

:06:31. > :06:36.brash young Australian called Rupert Murdoch bought it. The money

:06:36. > :06:39.it made helped him build a truly global media empire. The News of

:06:39. > :06:42.the World was already over a century old and claimed the world's

:06:43. > :06:48.biggest selling newspaper. Generations of Britons had subtle

:06:48. > :06:52.to read it after Sunday lunch. The paper was notorious for its

:06:52. > :06:59.sensational coverage of ghastly crimes and grisly murders, sex

:06:59. > :07:06.scandals and shocking revelations. Sarah Ferguson, the Duchess of York,

:07:06. > :07:09.was among the modern News of the World victims. The paper targeted

:07:09. > :07:16.celebrities and ordinary people, sometimes going too far. Max Mosley

:07:16. > :07:22.successfully sued the paper for invading his privacy. This man made

:07:22. > :07:28.a career out of hidden camera stings, this blue won the paper led

:07:28. > :07:32.award earlier this year. Thank you to every one of you. Lie call

:07:32. > :07:37.newspapers, the News of the World is a shadow of what it once was. 10

:07:37. > :07:43.years ago, it sold more than 4 million copies a week. That has

:07:43. > :07:52.plummeted today to 2.7 million, but 7.5 million still read the News of

:07:52. > :07:56.the World each week, and of those, too 0.9 million our beloved of the

:07:56. > :08:00.advertisers. Commercially it has remained a crucial part of the News

:08:00. > :08:04.International stable of four International titles. The decision

:08:04. > :08:11.to close the paper has shocked many, though some see it as a cynical

:08:11. > :08:15.ploy. It is a typical management stunt of Rupert Murdoch. He gets

:08:15. > :08:19.rid of problems, and in this case nobody in the senior management

:08:20. > :08:25.clearly involved in this matter, none of those go, Rebekah Brooks

:08:25. > :08:31.being a clear example. There is no doubt it will become the Sunday Sun.

:08:31. > :08:35.Whether it is replaced or not, today it is clear the News of the

:08:35. > :08:37.World had become an expensive liability.

:08:37. > :08:40.The Independent Police Complaints Commission is to oversee the

:08:40. > :08:42.inquiry into possible wrongdoing by officers alleged to have taken

:08:42. > :08:45.thousands of pounds from journalists in exchange for

:08:45. > :08:50.information. Investigators are trying to identify who received the

:08:50. > :08:52.cash and how much changed hands. With the latest on that, and the

:08:52. > :09:02.investigation into a long list of alleged phone-hacking cases, here's

:09:02. > :09:06.our home affairs correspondent Tom Symonds. This famous newspaper

:09:06. > :09:11.title may have been confined to history but the scrutiny of its

:09:11. > :09:14.methods goes on. Britain's most senior policemen now has officers

:09:14. > :09:18.investigating whether other officers were bribed by journalists.

:09:18. > :09:23.A small number of police officers may have engaged in corrupt

:09:23. > :09:28.practice, and that is what it is. If proved, I will be determined to

:09:28. > :09:31.put them in front of the criminal courts. The former News of the

:09:31. > :09:36.World editor Andy Coulson told a court last year as a witness he

:09:36. > :09:40.knew nothing about payments to the police, but e-mails have been

:09:40. > :09:44.provided by News International itself and the campaigning Labour

:09:44. > :09:50.MP Tom Watson today said that raised serious questions. Either

:09:50. > :09:55.Andy Coulson or News International are misleading us. If it is Andy

:09:55. > :09:59.Coulson, he has to answer perjury charge. Tonight it is reported that

:09:59. > :10:04.Andy Coulson will tomorrow be arrested, after submitting himself

:10:04. > :10:09.at a police station for questioning. Scotland Yard says it investigation

:10:09. > :10:12.into collusion with the press will be robust, where in the past

:10:12. > :10:16.insiders say it has fallen short. One former tabloid journalist says

:10:16. > :10:20.the paper itself should have been more restrained. Rebekah Brooks

:10:20. > :10:25.should have put the brakes on, and if she had done that we would not

:10:25. > :10:29.have got into the Milly Dowler scenario. She was the boss, she

:10:29. > :10:34.must have known where all of these exclusives were coming from. They

:10:34. > :10:38.didn't just come out of the ether. Today families of service personnel

:10:38. > :10:42.killed in action were contacting the police after claims their voice

:10:42. > :10:47.mail may have been accessed. No confirmed cases have come to light

:10:47. > :10:54.but the allegations forced the Royal British Legion to come out --

:10:54. > :10:58.pull out of its fund-raising with News of the World. Police are

:10:58. > :11:04.investing -- are investigating the case of James Philippson. According

:11:05. > :11:08.to his father, e-mails were read by hackers after his death. Wrongdoers

:11:08. > :11:13.need to be called into account and suffer whatever punishment is

:11:13. > :11:17.appropriate. I am sure that will happen and it will take time.

:11:17. > :11:21.Rebekah Brooks, pictured leaving News International tonight.

:11:21. > :11:29.Criminal investigations, public inquiries, the scrutiny of what

:11:29. > :11:32.went on at her newspaper could continue for years.

:11:32. > :11:34.In a moment to Westminster and our political editor Nick Robinson, but

:11:34. > :11:40.first to Robert Peston who's at News International headquarters in

:11:40. > :11:45.East London. Robert, where does this leave the Murdoch empire?

:11:45. > :11:49.more I think about today's events, the more extraordinary they seem.

:11:49. > :11:55.Last week the News of the World was more or less the best-selling

:11:55. > :11:59.newspaper in the UK, the next week it will not exist. I can't remember

:11:59. > :12:04.a big company taking a decision to close down what appeared to be a

:12:04. > :12:08.successful business, and incredibly well known brand, as rapidly as

:12:08. > :12:14.News International did today, as rapidly as James and Rupert Murdoch

:12:14. > :12:20.did. It shows how extraordinarily bad they felt, the damage that

:12:20. > :12:24.would be done to the business with these revelations about the

:12:24. > :12:29.newsroom which they described as totally out of control, and how

:12:29. > :12:36.much more damage they feared would come from further disclosures. The

:12:36. > :12:42.question is, where does it leave the takeover of BSkyB? They will

:12:42. > :12:49.say the water has been taken out of their business, but the critics

:12:49. > :12:52.will point to these scandals and say it proves they are not

:12:52. > :12:58.appropriate owners for what is after all the biggest broadcaster

:12:58. > :13:08.in the UK by revenues. They will say this shows they do not have the

:13:08. > :13:08.

:13:08. > :13:11.controls to manage a business. you have been talking about how

:13:11. > :13:18.tricky this issue has been for David Cameron - has that changed

:13:18. > :13:23.today? No, because he is no mere spectator as we watch this drama.

:13:23. > :13:27.Real politics he knows will resume soon. Those in Downing Street who

:13:27. > :13:31.were friends of Andy Coulson, colleagues of the man, hired after

:13:32. > :13:36.he resigned from News of the World to be director of communications,

:13:36. > :13:39.they are waiting with some dread for his likely arrest. No one knows

:13:39. > :13:44.for sure whether that report is right that he will be arrested

:13:44. > :13:47.tomorrow, but if it is confirmed we know there will be a new aspect for

:13:47. > :13:52.this story. Already the Prime Minister has announced inquiries

:13:52. > :13:54.into the ethics of the media and the behaviour of the police, but he

:13:54. > :13:59.knows this will shine a light on to the behaviour of the political

:13:59. > :14:02.classes as a whole. It too much ever since Rupert Murdoch bought

:14:02. > :14:07.the News of the World, politicians of all parties have sucked up to

:14:07. > :14:11.him in order to get his favours. Tony Blair flew to Australia when

:14:11. > :14:16.he was leader of the opposition, Gordon Brown went to the wedding of

:14:16. > :14:21.the current chief executive of News International, Rebekah Brooks. When

:14:21. > :14:24.he was there he bumped into David Cameron. David Cameron happens to

:14:24. > :14:29.be the leader who was in Downing Street when the music has stopped,

:14:29. > :14:34.but those close to him have told me they know he has to address that

:14:34. > :14:44.relationship. His mistakes, or the politicians' mistakes, not just

:14:44. > :14:46.

:14:46. > :14:50.Let's look at the day's other news for you now. The Bank of England

:14:50. > :14:55.has left interest rates unchanged at 0.5%. They have been at that

:14:55. > :14:58.level for 28 months. The European Central Bank has increased its

:14:58. > :15:02.rates for the second time since April because of worries about

:15:02. > :15:07.rising prices. That approach is worrying some experts, who warn

:15:07. > :15:12.countries like Greece will be under more pressure, as our Europe

:15:12. > :15:16.correspondent reports. This is the problem Europe's

:15:16. > :15:22.bankers have to address - a two- speed Europe w the sleek German

:15:22. > :15:27.machine powering ahead and the old Greek banker - this is a taxi

:15:27. > :15:33.drivers' strike, grinding to a halt. Europe's central bank dismissed

:15:33. > :15:42.fears that raising rates is good for Germany but grim for Greece.

:15:42. > :15:47.consider that maintaining stability for an entire continent for 331

:15:47. > :15:52.million citizens is essential for the prosperity of the entire

:15:52. > :15:57.continent. What is more Belgian than a waf

:15:57. > :16:01.fell? Here the interest rate makes sense, by helping to slow inflation

:16:01. > :16:05.in a vibrant economy. We are expanding in other countries in

:16:05. > :16:10.Europe and expanding in Asia, in other continents. Things are

:16:10. > :16:17.looking good at the moment? Things are looking good. Indeed Belgian

:16:17. > :16:22.growth is forecast to be close to.4%. Germany is higher. Finland

:16:22. > :16:27.around 3.7%. Contrast that with the strug lers.

:16:27. > :16:33.Ireland should grow this -- strugglers, Ireland should grow.

:16:33. > :16:37.Greece should shrink by 3.5%. Up the road, a reminder of more

:16:37. > :16:42.affluent Greek times. Higher rates will slow an already struggling

:16:42. > :16:48.economy there. This couple always planned to move

:16:48. > :16:53.back to Greece one day. Not now, I was told, it is miserable there.

:16:53. > :16:57.For critics, this is just the kind of two-speed eurozone they always

:16:57. > :17:02.warned would be unsustainable. years, Ireland and Greece had

:17:02. > :17:06.interest rates that were too low, that encouraged an artificial boom

:17:06. > :17:12.there. Now they have interest rates which are too high. This is the

:17:12. > :17:16.problem with the euro. Many disagree with that. Here in

:17:16. > :17:19.Belgium, for instance, hardly anyone questions remaining in the

:17:19. > :17:23.euro, nevertheless, there are huge economic differences across the

:17:23. > :17:30.eurozone which are going to keep policy makers on their toes for

:17:30. > :17:34.years to come. Coming up on tonight's programme:

:17:34. > :17:44.Preparing for that final countdown, Atlantis on the launch pad for the

:17:44. > :17:48.

:17:48. > :17:53.Surgeons in Sweden have carried out the world's first transplant using

:17:53. > :17:59.a synthetic organ. The artificial wind pipe was created by surgeons

:17:59. > :18:05.in London. The recipient is said to be recovering well.

:18:05. > :18:10.This is how the world's first synthetic organ was made, dipping a

:18:10. > :18:14.glass mould into a liquid polymer, which set to create an exact copy

:18:14. > :18:21.of the patient's windpipe. It was created in these labs at the Royal

:18:21. > :18:25.Free Hospital, in London, and then flown to Sweden. Once in Stockholm,

:18:25. > :18:30.the synthetic pipe was bathed in a solution of stem cells taken from

:18:30. > :18:37.the patient's bone marrow. After just two days, the millions of tiny

:18:37. > :18:42.holes in its surface were seeded by cells, a synthetic body part had

:18:42. > :18:47.become the patient's own. And here it is in the operating theatre,

:18:47. > :18:52.being cut to size moments before being transplanted.

:18:52. > :18:58.The ability to create a 3D synthetic organ is a significant

:18:58. > :19:04.moment in this field of surgery. This technique does not rely on a

:19:04. > :19:09.human donation. You can have it immediately. There is no delay.

:19:09. > :19:15.Most important, since this approach, you do not need any suppression.

:19:15. > :19:23.The patient was being discharged tomorrow, knows without the

:19:23. > :19:28.transplant he would have died. His voice is still recovering. I was

:19:28. > :19:34.very scared. Very scared. It is the difference between living and not

:19:34. > :19:39.living. What next? Look at this - it's a one-metre long synthetic

:19:39. > :19:44.artery, made in this machine in London in just 20 minutes. It is

:19:44. > :19:52.one of many body parts the scientists say they can now create

:19:52. > :19:56.at will. We make a heart valve. We make a bigger diameter for the

:19:56. > :20:02.aorta. We move to other parts of the body. We can make ear, nose,

:20:02. > :20:07.the skin and so on. This material does have limits. It can't be used

:20:07. > :20:11.to create complex organs like the heart, liver or kidney. Scientists

:20:11. > :20:17.hope it points the way to more transplants without the wait for a

:20:17. > :20:21.donor. A man has been jailed for 20 years

:20:21. > :20:25.by a court in London for trafficking two Nigerian teenagers

:20:25. > :20:30.into Britain and falsely imprisoning them. Anthony Harrison

:20:30. > :20:35.tried to traffic the two girls aged 14 and 16 into Greece and Spain as

:20:35. > :20:40.prostitutes. It took police two years to persuade them to talk

:20:40. > :20:45.about their ordeal. Anthony Harrison was a man who lived a

:20:45. > :20:49.double life. A caretaker for his local council, who was also a key

:20:49. > :20:55.player in a sophisticated network of people traffickers. A network

:20:55. > :20:59.that used fear and rituals to terrorise its victims. This was

:20:59. > :21:05.Harrison recorded on CCTV at a money exchange. The blurred figure

:21:05. > :21:10.with him is Kiram, a 16-year-old girl, smuggled into the UK from

:21:10. > :21:14.Nigeria. The plan to traffic her to the continent for a life of

:21:14. > :21:19.prostitution. I had to promise I would do prostitution to do the

:21:19. > :21:24.money. I promised I would not speak to anybody about what happened to

:21:24. > :21:29.me. They said I would die, I believe it. They obey, because in

:21:29. > :21:32.Nigeria they had undergone a juju magic ritual, similar to this one,

:21:32. > :21:39.which was shown to the jury. They believed they were being controlled

:21:39. > :21:43.by evil forces. They took them to a juju practitioner, a juju priest,

:21:43. > :21:48.to go through a ceremony to instil terror into them. So it meant when

:21:48. > :21:53.the young women were here, in this country, they still felt that the

:21:53. > :21:57.power of that curse could still reach them. Harrison kept his

:21:57. > :22:01.victims prisoner here at his home in East London. Two frightened

:22:01. > :22:07.girls from small Nigerian villages, with no previous experience of the

:22:07. > :22:14.outside world. But the plan was to move them on as quickly as possible.

:22:14. > :22:18.Detectives say they have never come across a case quite like it.

:22:18. > :22:21.have two young girls trafficked into and out of the UK. It is

:22:21. > :22:25.unusual. If you add to that the juju element, where they are

:22:25. > :22:30.convinced they will die and brainwashed around the juju, it is

:22:30. > :22:34.very unusual for us. Tonight, Harrison is beginning a 20-year

:22:34. > :22:41.jail sentence. His victims have been allowed to stay in Britain to

:22:41. > :22:44.re-build their lives. Half a million people are expected

:22:44. > :22:48.to gather along Florida's coast tomorrow to watch Atlantis take off

:22:48. > :22:54.for the last time. It's the final flight for America's shuttle

:22:54. > :22:57.programme which began 30 years ago. Weather-permitting, the four

:22:57. > :23:02.astronauts lift off tomorrow afternoon. Our science

:23:02. > :23:07.correspondent sent this report. Atlantis, on the launch pad - the

:23:07. > :23:11.last of its kind, poised for the final mission. It's taken weeks of

:23:11. > :23:15.effort, night and day, to get to this moment T space shuttles have

:23:16. > :23:21.been flying for 30 years. Now this launch will mark the end for a

:23:21. > :23:25.while of America's ability to send people into orbit. For everyone,

:23:25. > :23:30.the ground crews, astronauts and senior managers, it is bound to be

:23:30. > :23:35.an emotional time. REPORTER: Will you feel sad? I absolutely have

:23:36. > :23:40.shed tears at each of the landings of the last two orbiters. I will do

:23:40. > :23:44.the same as the orbiter lands. We have just put so much into this

:23:44. > :23:48.programme as a nation. But there will be tears of pride and joy.

:23:48. > :23:53.This massive building is where they have been assembling the space

:23:53. > :23:57.shuttles and before them the Apollo rocket that took men up to the moon.

:23:57. > :24:03.The shuttles just won't be remembered in the same way. Their

:24:03. > :24:12.job was to deliver people and cargo into orbit. They have had real

:24:12. > :24:17.successes. The shuttle has cleared the tower. You have two feet to go.

:24:17. > :24:22.The result - these spectacular images of the most distant reaches

:24:22. > :24:27.of the universe. The shuttles built the International Space Station, an

:24:27. > :24:34.orbiting laboratory, now the size of a football field. There has been

:24:34. > :24:37.a heavy cost. In 1986 the Challenger exploded, all seven

:24:37. > :24:42.people on board were killed, including a teacher. Her parents

:24:42. > :24:47.watched in horror. She had been invited to prove that space travel

:24:47. > :24:54.was safe. Then in 2003, the Columbia broke up. Another seven

:24:54. > :24:59.people were killed. A disastrous record for a caflt meant to reach -

:24:59. > :25:03.- craft meant to reaching orbit routine. They have come with a

:25:03. > :25:07.tremendous cost. Anything of this kind of value comes with tremendous

:25:07. > :25:12.costs. I think the greater the value, often the greater the cost.

:25:12. > :25:18.It is bringing a lot of cloud cover.... For now, all eyes are on

:25:18. > :25:23.the images from space of the storms crossing the site. Lightning struck