The popular Page Six gossip column in the New York Post, which is owned by News Corporation, parent company of The Times, shocked its readers by printing allegations of sexual favours, illicit gifts and abuse of power involving its own staff.

Ian Spiegelman, a reporter dismissed three years ago over a threatening e-mail, claimed that gossip items were spiked to protect the business interests and friends of Rupert Murdoch, the News Corp chairman.

Mr Spiegelman accused Col Allan, the Editor-in-Chief, of accepting bribes and sexual favours at a strip club, and said that Richard Johnson, editor of Page Six, took gifts in return for favourable coverage in the column. The Postdismissed the charges as fantasy. Mr Allan confirmed that he had visited the strip club some years ago.

The charges were made in a law suit being threatened by Jared Paul Stern, a former Page Six contributor dismissed last year after allegedly suggesting to Ron Burkle, a friend of Bill Clinton, that he could buy positive coverage in the column. The charges were presented by Mr Stern “with a demand for money”, the newspaper said.

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