Murdoch: critics 'talking nonsense'

RUPERT Murdoch has hit back at critics of his son James's appointment as chief executive of BSkyB, declaring: 'Our corporate governance is a model for everybody.'

Announcing doubled profits at his News Corp empire, Murdoch said criticism of his manoeuvrings at BSkyB, where he is chairman, was the result of 'a hungry Press out there'.

Critics of the appointment accuse Murdoch of nepotism and seeking to exert undue influence on a company in which he has a 35.4% stake.

Murdoch denied the appointment of James, 30, to take over from Tony Ball, had damaged the company's reputation. 'I think you're talking nonsense,' he said. 'BSkyB has never done better and they're looking forward to new leadership.'

Murdoch said the National Association of Pension Funds is supporting the appointment, which appears to make a revolt at BSkyB's annual meeting next week less likely.

He rejected claims that money had been diverted from BSkyB to fund other News Corp projects at the expense of other shareholders.

'We've never taken money out of it, and all shareholders are treated equally,' he said.

Murdoch said News Corp doubled first-quarter profits to $422m (£252m) because of a rise in home video sales and an increase Fox News Channel cable TV viewers. Sales surged 22% to $4.65bn from $3.81bn for the same period last year.