Battle lines harden in UK phone-tap affair

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Battle lines harden in UK phone-tap affair
By Bob Sherwood and George Parker, FT.com
September 6, 2010 -- Updated 0318 GMT (1118 HKT)



(FT.com) -- The political battle lines over the News of the World telephone hacking allegations and the role of Andy Coulson, the paper's then editor who is now David Cameron's communications chief, were drawn more deeply after all five Labour leadership candidates backed a fresh inquiry.

But a senior cabinet minister insisted the claims were being "recycled" to embarrass the government.

Lord Mandelson, the former business secretary, became the most senior political figure to be embroiled in the affair.

The Independent on Sunday newspaper claimed his mobile phone details and an invoice for research on him were among files seized by police investigating illegal activity by News of the World reporters during the time when Mr. Coulson was editor.

Separately, The Observer reported that Scotland Yard held documents indicating Lord Prescott was a target for phone hacking when he was deputy prime minister.

Speaking in a Labour leadership debate on Sky News on Sunday, Ed Miliband said: "When there are questions about the integrity of the communications operation in Downing Street, the wrong thing for a prime minister to do is to try to sweep it under the carpet."

In 2006, Clive Goodman, News of the World's royal editor, and a private investigator admitted conspiring to intercept phone calls, but Mr. Coulson categorically denies any knowledge of illegal phone hacking by his staff during his time as editor. He has come under fresh pressure, though, after The New York Times reported allegations from a former News of the World journalist that he had been "actively encouraged" to engage in phone hacking.

Ed Balls, another Labour leadership candidate, cited the New York Times' investigation, which he claimed included "serious allegations at the heart of David Cameron's Downing Street".

Mr. Cameron's aides say that Mr. Coulson "is going nowhere" and a number of Tory ministers have leapt to the former editor's defense. Michael Gove, the education secretary, said that police had investigated the hacking claims and found the Downing Street media chief had "no case to answer".

Speaking on the BBC's Andrew Marr Show, Mr. Gove said: "I have had a look at some of the press reports and there seems to be a recycling of allegations we have had before."

Referring to the New York Times investigation, he suggested the paper was motivated by its rivalry with The Wall Street Journal, which is part of the same Rupert Murdoch stable as News of the World.

"I think there is something happening in America to do with circulation wars and all the rest of it which is influencing this," he said.

Last week, Alan Johnson said he would review documents he saw on the case while home secretary, in a move seen as stepping up pressure on the Metropolitan Police to reopen its inquiry into the allegations.