Smoking gun letter ‘exposes cover-up at heart of News of the World’

A “DEVASTATING” letter from the News of the World’s former royal correspondent Clive Goodman has said knowledge of phone hacking was widespread at the newspaper and its former editor Andy Coulson lied when he claimed he did not know it was happening.

In the letter, published yesterday by the Commons culture, media and sport committee, Mr Goodman claimed phone hacking was discussed at daily news conferences when Mr Coulson was editor.

The revelation has again called Prime Minister David Cameron’s judgment into question over his employment of Mr Coulson, who resigned as News of the World editor after Goodman and private investigator Glenn Mulcaire were sent to jail.

It has also prompted demands by Tommy Sheridan’s lawyer that the former editor is questioned by Strathclyde Police over claims he made during the former Solidarity leader’s trial that he knew nothing about hacking.

Suspicions of a cover-up at News International were also fuelled by new evidence to the committee from James Murdoch, which showed Goodman was given almost £250,000 in compensation by News International for losing his job after going to prison, despite claims he was a “rogue reporter.”

A further £246,000 was paid in legal fees by the company for Mulcaire.

Tom Watson, the Labour MP who has been leading calls for an inquiry into the scandal, said the letter was “devastating”. He claimed it “could be the smoking gun” and said it showed “evidence of a cover-up” at News International involving Mr Coulson.

The letter was written on 2 March, 2007, after Goodman was released from prison when he was bringing a case for unfair dismissal from the Sunday newspaper, which has been closed down as a result of the scandal.

In it, Goodman wrote: “This practice [phone hacking] was widely discussed in the daily editorial conference until reference to it was banned by the editor.”

He added: “Tom Crone [former News International lawyer] and the editor promised on many occasions that I could come back to a job at the newspaper if I did not implicate the paper or any of its staff in my mitigation plea. I did not and I expect the paper to honour its promise to me.”

In partly redacted paragraphs where names have been removed because of police investigations, Goodman also identifies others involved in phone hacking at the paper and suggests that the practice was condoned.

The copy of the letter was sent by the legal firm Harbottle & Lewis and contrasted with the copy of the same letter sent by News International which had redacted key phrases that showed the editor may have known about the practice.

Last night the culture and media committee wrote to Mr Coulson and his predecessor Rebekah Brooks asking them for further written evidence, and Mr Watson, a member of the committee, claimed it was “likely” they would be recalled.

The revelations have thrown further doubt on Sheridan’s conviction for perjury. His lawyer Aamer Anwar said: “We were told repeatedly during Mr Sheridan’s trial by the police and the Crown that perjury strikes at the heart of the administration of justice and nobody was above the law.”

Strathclyde Police last night said it was continuing Operation Rubicon, which is investigating Mr Sheridan’s case and phone hacking and police corruption in Scotland.

The letter led to renewed pressure from Labour leader Ed Miliband on the Mr Cameron over his employment of Mr Coulson.

Mr Miliband said: “Every new bit of evidence shows how catastrophic his judgment was.”

A News International spokeswoman said: “We recognise the seriousness of materials disclosed to the police and parliament and are committed to working in a constructive and open way with all the relevant authorities.”