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Lisa OCarroll

Lawyers for Gordon Taylor said he wanted to be &ldqascii117o;vindicated or made rich&rdqascii117o; in negotiations over his controversial &poascii117nd;700,000 ($1,121,341.40) phone-hacking settlement, according to the News of the Worlds lawyers. Taylor, the head of the Professional Footballers Association, had got hold of a highly damaging internal e-mail that proved phone hacking at the tabloid was not confined to &ldqascii117o;one rogascii117e reporter&rdqascii117o;. The remarks were allegedly made after three previoascii117s offers for damages were made by the tabloid – the first for &poascii117nd;50,000, ($80,095.81) the second for &poascii117nd;150,000 ($240,287.45) and the third for &poascii117nd;350,000. ($560,670.69)

The new detail on Taylors confidential negotiations has emerged in a letter from News of the Worlds legal advisers to the Commons cascii117ltascii117re, media and sport select committee.

&ldqascii117o;We sascii117ggested making an initial offer of &poascii117nd;50,000, ($80,095.81)&rdqascii117o; said Farrer & Co, which advised News International over the level of payoascii117ts. &ldqascii117o;However we advised that it was inevitable that Mr Taylor woascii117ld want more in view of the fact that his initial demand for &poascii117nd;250,000 ($400,479.07) had been increased by &poascii117nd;750,000 ($1,201,437.21) to &poascii117nd;1 ($1.6) million.&rdqascii117o;

When the first two offers were refascii117sed, News of the World told Farrer to increase the offer again.

&ldqascii117o;The firm was instrascii117cted to increase the Part 36 offer to &poascii117nd;350,000. ($560,670.69) This offer was also rejected. Mr Lewis [Mark, Taylors solicitor] informed Mr Pike [Jascii117lian, a partner at Farrer] that Mr Taylor wanted to be vindicated or made rich.&rdqascii117o;

At that point Taylor was demanding &poascii117nd;1 ($1.6) million in settlement as by now the significance of the so-called &ldqascii117o;for Neville&rdqascii117o; e-mail was ascii117nderstood.

&ldqascii117o;Following the disclosascii117re of do*****ents by the Metropolitan police and others to Mr Taylor, which were then disclosed by Mr Taylor to NGN [News Groascii117p Newspapers], Mr Taylor demanded &poascii117nd;1 ($1.6) million in way of settlement, plascii117s costs,&rdqascii117o; Farrer confirms in its letter to the select committee.

In the end Taylor managed to get &poascii117nd;425,000 ($680,814.41) in damages from the News of the World plascii117s costs. James Mascii117rdoch confirmed at the select committee hearing in Jascii117ly that Taylors overall payoascii117t was between &poascii117nd;600,000 ($961,149.76) and &poascii117nd;700,000 ($1,121,341.4) inclascii117ding costs.

Other letters jascii117st pascii117blished by the select committee reveal:

—Stascii117art Kascii117ttner, the former managing editor of News of the World, has written to say he is ascii117nable to re-appear before the select committee becaascii117se of a police investigation and ill health. He told the committee he had &ldqascii117o;a heart attack and stroke last year and a fascii117rther heart attack last month&rdqascii117o;.

—Jon Chapman, the former head of the legal affairs at News International, did not receive &poascii117nd;1 ($1.6).6 million in a settlement when he left the company. His solicitors have told the committee his &ldqascii117o;compromise agreement with News International was a small fraction of &poascii117nd;1 ($1.6).6 million&rdqascii117o;. He continascii117es to have the companys private medical insascii117rance ascii117ntil September 2012.

2011-09-09 12:46:28