News Corp., Murdochs Seek Exit From US Suit Over Hacking

Law360, New York (December 3, 2012, 6:11 PM EST) -- News Corp. and top executives Rupert Murdoch and James Murdoch urged a New York federal judge to dismiss them from a class action brought by shareholders over the company's phone-hacking scandal in the U.K., arguing that the alleged misconduct might constitute mismanagement, but not securities fraud.

The shareholders allege that News Corp., News International Group and the Murdochs violated the Securities Exchange Act of 1934 by concealing the “existence and extent of illegal and unethical newsgathering practices” at News International's London tabloids.

But the defendants argue that...
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