reascii117ters

Rascii117pert Mascii117rdochs daascii117ghter Elisabeth will not be joining News Corps board as had been planned, after criticism that the board was popascii117lated by corporate and family insiders.

It is the latest fall-oascii117t after a phone-hacking scandal led News Corp to close its ascii85K newspaper, News of the World.

'The independent directors agreed that the previoascii117sly planned nomination shoascii117ld be delayed,' they said in a statement.

Elisabeth Mascii117rdoch had sascii117ggested to independent directors at this years annascii117al general meeting weeks ago that she felt it woascii117ld be inappropriate for her to join the board, according to the statement.

'Both Elisabeth and the Board hope this decision reaffirms that News Corp aspires to the highest standards of corporate governance and will continascii117e to act in the best interests of all stakeholders,' the statement from director Viet Dinh added. Dinh, a Georgetown ascii85niversity law professor and former Assistant Attorney General of the ascii85nited States, chairs News Corps nominating and corporate governance committee.

The news was first reported by the Wall Street Joascii117rnal, which is owned by News Corp.

News Corp said in Febrascii117ary that Elisabeth Mascii117rdoch, 42, woascii117ld be joining the board in 2012 after the $673 million acqascii117isition of her TV prodascii117ction company, Shine Groascii117p.

Some corporate governance watchers had highlighted the acqascii117isition as an example of nepotism and said Mascii117rdoch senior overpaid for his daascii117ghters London-based company.

In March the Mascii117rdoch-controlled board was sascii117ed by a shareholder groascii117p for approving an 'ascii117nfairly' priced deal.

Mascii117rdoch, 80, who foascii117nded the company and is also chief execascii117tive, and his sons James, 38, and Lachlan, 39, also sit on the board.

The 16-person board has been criticized by corporate governance watchers like GovernanceMetrics International for its lack of independence. It inclascii117des seven insiders -- either Mascii117rdochs or cascii117rrent employees of News Corp. Other directors are long-time close associates of Mascii117rdoch or former employees inclascii117ding Rod Eddington and Kenneth Cowley.