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Judith Regan Sues Murdoch in Bernie Buzz; They Were Protecting Rudy She Says

NY [The Smoking Gun]- Judith Regan, the volcanic publishing industry figure who sought to publish O.J. Simpson’s “I Did It” (and trysted with Bernard Kerik in an apartment overlooking Ground Zero) today sued Rupert Murdoch’s media conglomerate for defamation, claiming that she was unjustly tarred as an anti-Semite when fired last year.

In a blistering $100 million lawsuit filed today in New York State Supreme Court, Regan, 54, accuses several defendants, including Murdoch’s News Corporation and HarperCollins Publishers, of orchestrating a smear campaign that was intended to advance the Murdoch political agenda and protect “Rudy Giuliani’s presidential ambitions.”

According to Regan, Murdoch employees were aware of her personal relationship with Kerik and, fearing she had damaging information on Giuliani’s former police commissioner and business partner, “knew they would be protecting Giuliani if they could preemptively discredit her.”

The Murdoch firms did this, Regan charges, by claiming she made anti-Semitic statements during a phone conversation with a HarperCollins lawyer. However, the ousted editor alleges, the offensive statements were never made-an assertion she says is backed up by a temporary secretary who listened in on the call in question.

NY Times: Judith Regan, the former book publisher, says in a lawsuit filed yesterday protesting her dismissal by the News Corporation, the media conglomerate, that a senior executive there encouraged her to lie to federal investigators about her past affair with Bernard B. Kerik after he had been nominated to become homeland security secretary in late 2004.

The lawsuit asserts that the News Corporation executive wanted to protect the presidential aspirations of Rudolph W. Giuliani, Mr. Kerik’s mentor, who had appointed him New York City police commissioner and had recommended him for the federal post.

Ms. Regan makes the charge at the start of a 70-page filing that seeks $100 million in damages for what she says was a campaign to smear and discredit her by her bosses at HarperCollins and its parent company, News Corporation, after her project to publish a book with O. J. Simpson was abandoned amid a storm of protest.

In the civil complaint filed in State Supreme Court in Manhattan, Ms. Regan says the company has long sought to promote Mr. Giuliani’s ambitions. But the lawsuit does not elaborate on that charge, identify the executive who she says pressured her to mislead investigators, or offer details to support her claim.

In fact, the allegation about the executive makes up a small part of a much broader array of claims about what she says was her improper removal from a job atop one of the more commercially successful book publishing operations.

A News Corporation spokeswoman who declined to be named said that the company saw no merit in the filing. A spokeswoman for Mr. Giuliani declined to comment.

Ms. Regan had an affair with Mr. Kerik, who is married, beginning in the spring of 2001, when her imprint, ReganBooks, began work on his memoir, “The Lost Son.” In December 2004, after the relationship had ended and shortly after Mr. Kerik’s homeland security nomination fell apart, newspapers reported that the two had carried on the affair at an apartment near ground zero that had been donated as a haven for rescue and recovery workers.

Mr. Kerik claimed in 2004 that he had withdrawn his nomination because of problems with the hiring of a nanny. He was indicted last week on federal tax fraud and other charges.

“Defendants were well aware that Regan had a personal relationship with Kerik,” the complaint says. “In fact, a senior executive in the News Corporation organization told Regan that he believed she had information about Kerik that, if disclosed, would harm Giuliani’s presidential campaign. This executive advised Regan to lie to, and to withhold information from, investigators concerning Kerik.”

One of Ms. Regan’s lawyers, Brian C. Kerr of the firm of Dreier L.L.P., said she had evidence to support her claim that she had been advised to lie to federal investigators who were vetting Mr. Kerik and who might have sought to question her about their romantic involvement. But Mr. Kerr declined to discuss the nature of the evidence.

The lawsuit does not say whether Ms. Regan was, in fact, interviewed as part of the inquiry into Mr. Kerik’s fitness for the federal post, and if she was what she told investigators.

The News Corporation controls many media outlets worldwide, including Twentieth Century Fox, The New York Post and the Fox News Channel, where Ms. Regan was once host of a talk show.

The Fox News Channel’s coverage of the presidential race has been a topic of some discussion within rival campaigns because the channel is directed by Mr. Giuliani’s friend of 20 years, Roger Ailes. But the network has strongly defended the balance of its coverage under Mr. Ailes, who served as media consultant to Mr. Giuliani’s first mayoral campaign in 1989. Mr. Giuliani, as mayor, later officiated at Mr. Ailes’s wedding.

Ms. Regan was fired on Dec. 15, 2006, after a month of withering publicity surrounding her plan to publish a hypothetical confession of O. J. Simpson to the murders of his wife, Nicole Brown Simpson, and her friend, Ronald L. Goldman. The release of the book, “If I Did It,” was to be tied to the broadcasting of Ms. Regan’s interview of Mr. Simpson on Fox.

A second book, a novel that imagined drunken and lascivious escapades by Mickey Mantle, drew another round of outrage.

At the time, Rupert Murdoch, the head of News Corporation, called the Simpson book “ill considered.” Ms. Regan was fired and her imprint shut down after a HarperCollins lawyer, Mark Jackson, claimed she had used an anti-Semitic remark in describing the internal campaign to fire her as a “Jewish cabal.”

It was a tremendous fall for a woman who had, over a dozen years, built her own imprint into a best-seller juggernaut. It captured headlines by printing memoirs and other books by popular figures like Howard Stern, Rush Limbaugh, and the porn star Jenna Jameson that were often overlooked by old-line publishing houses, as well as more traditional offerings, like “The Zero,” a novel set in the aftermath of 9/11, which was a finalist for a National Book Award in 2006.

Ms. Regan asserts in her lawsuit that she never used the term “Jewish cabal” and that both the Mantle book and the Simpson project were approved by a range of HarperCollins executives.

Mr. Murdoch himself, the suit says, signed off on the Simpson book during a dinner with Ms. Regan on Feb. 14, 2006.

Most of the complaint explores what Ms. Regan says was an effort to discredit and defame her starting in November 2006, including the release of what she calls false and defamatory statements by company executives to The New York Post, which is owned by the News Corporation, and to The New York Times.

“We are fully confident that the evidence will show that Judith Regan was the victim of a vicious smear campaign engineered by News Corporation and HarperCollins,” Mr. Kerr said.

The assertion that the News Corporation has sought to protect Mr. Giuliani appears in the opening page of the filing. The document later revisits aspects of the assertion without providing a full account of what is alleged to have occurred or how it might be substantiated in court.

Ms. Regan says in the suit, though, that when she realized the company had been assembling material with which to justify firing her she called a company lawyer. She says she wanted to confirm that accusations she had made about executives’ creating a hostile workplace had been included in her personnel file. One of those accusations was that an executive had advised her to lie about Mr. Kerik to protect Mr. Giuliani.

“This smear campaign was necessary to advance News Corp.’s political agenda, which has long centered on protecting Rudy Giuliani’s presidential ambitions,” the court papers say.

In 2004, Mr. Giuliani was being discussed as a potential presidential contender in 2008 but was more than two years away from openly talking about a run.

The complaint asserts that a second unnamed executive advised her “not to produce clearly relevant documents in connection with the government’s investigation of Kerik.”

“Thus, because of the damaging information that defendants believed Regan possessed, defendants knew they would be protecting Giuliani if they could pre-emptively discredit her,” the lawsuit says.

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