Murdoch UK publisher paid 1 mln stg over phone taps

By Peter Griffiths

LONDON (Reuters) - Rupert Murdoch's News International has paid 1 million pounds ($1.61 million) to settle court cases involving allegations its reporters worked with private investigators to tap people's phones, the Guardian newspaper reported on Wednesday.

High profile figures targeted include politicians from all three parties, Cabinet ministers and celebrities, the paper said.

Former Labour deputy prime minister John Prescott, former Labour culture secretary Tessa Jowell, publicist Max Clifford and model Elle Macpherson were among individuals who had their mobile phone messages hacked into, it said.

News International, the British newspaper subsidiary of global media company News Corp, said in a statement it "felt it is inappropriate to comment at this time."

The report on the Guardian website said that the publisher of the Sun, News of the World and Times newspapers made payments to settle three cases out of court.

Reporters were alleged to have worked with private investigators to access the phones of public figures to find material for stories, the Guardian said. Citing a senior London police source, the Guardian said police had found evidence of News Group staff using private investigators who hacked into "thousands" of phones.

Prescott reacted angrily to the hacking report and demanded a full explanation from British police.

"I find it staggering that there could be a list known to the police of people who had their phone tapped," he told broadcaster Channel 4 News.