Ofcom Probes Deeper into Murdoch-BSkyB Ties


LONDON: U.K. media regulator Ofcom has stepped up its investigation into whether BSkyB is a "fit and proper" owner of a broadcast license.

The watchdog has formed a team, dubbed Project Apple, as part of an assessment that will also evaluate whether James Murdoch should sit on the board of BSkyB. The team will examine the evidence of the phone-hacking and corrupt-payment scandal.

If Ofcom finds that either Murdoch or News Corp. are not appropriate owners, the regulator could potential revoke Sky’s broadcast license. The other option would be for Murdoch to step down from the board or News Corp. to sell its 39.1-percent stake.