Share tippers urge News Corp shareholders to sack Murdoch

A leading US shareholder advisory firm says most of News Corporation’s board, including chairman Rupert Murdoch, should be replaced because of the phone-hacking scandal.

Institutional Shareholder Services says shareholders should vote against the entire 15-member board, except for two new nominees. Two of Mr Murdoch’s sons, James and Lachlan, are on the board.

The firm says the scandal follows a pattern of failures of board oversight going back as far as 2004.

ISS also recommends voting against a pay package that gave Mr Murdoch a bonus of $12.5m for the past fiscal year. Such a vote is non-binding.

News Corporation says focusing too much attention on the hacking scandal is misguided. The company says it is doing very well overall.