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* Murdoch gives confident performance under oath

* Plays down power to influence elections

* Puts down politicians with one-liners

By Estelle Shirbon and Georgina Prodhan

LONDON, April 25 (Reuters) – Rupert Murdoch is used to

slipping into Downing Street by the back door for discreet

meetings with prime ministers, but there was no such privacy on

Wednesday when he faced a grilling about his political influence

in the full glare of the world’s media.

It was one of the most extraordinary days in a career

spanning six decades that has seen the owner of a provincial

Australian newspaper morph into a global media magnate credited

with the power to make or break governments.

Questioned under oath at a judicial inquiry prompted by

revelations of endemic phone-hacking at his News of the World

tabloid, which he shut down last July, Murdoch gave a confident

performance in which he amiably played down the power he holds.

If his enemies had hoped to see him squirm under the

forensic questioning of the inquiry’s top prosecutor, especially

after a memorably unimpressive performance before British

lawmakers last July with his son James, they were disappointed.

Last time, a protester threw a foam “pie” at the elder Murdoch

and was hit by his formidable wife, Wendi Deng.

Under questioning last July, Murdoch had looked old and

tired, and said it was the humblest day of his life, as the

extent of public outrage at the way the News of the World had

treated ordinary people as well as celebrities sank in.

But at Wednesday’s hearing at London’s Royal Courts of

Justice, one of the few times Murdoch has been hauled into any

court, he appeared in command of the proceedings and quickly won

over lawyers, journalists and the public alike. He smiled, was

sometimes stern and left onlookers wondering how good, or bad,

his memory of recent British political events really was.

Lest anybody underestimate him in his ninth decade, Murdoch

jogged back to his seat after one of the breaks in proceedings,

and showed he was as sharp as ever when it came to the quick

put-down.

Had he thought British Prime Minister David Cameron was

“lightweight” when he first met him? “No, not then.”

What did he think of former Prime Minister Gordon Brown

threatening to wage war on News Corp, his company? “I

did not think he was in a very balanced state of mind.”

SUN WOT WON IT

Murdoch’s many detractors say he uses his vast multi-media

empire to promote his right-wing views, further his commercial

interests and gain covert influence among the rich and powerful

for himself and his children.

The media mogul conceded that politicians often courted him,

but shrugged at the suggestion that his papers could swing

British elections.

“We don’t have that sort of power,” he said, disowning the

famous “It’s The Sun Wot Won It” front page run by his favourite

tabloid on the morning after the Conservatives unexpectedly won

the 1992 election.

Responding calmly and politely to questions, pausing to

ponder his answers and cracking a few jokes along the way, the

81-year-old projected himself as a shrewd and sensible

businessman with no secret agenda or delusions of grandeur – a

far cry from the bogeyman portrayed by his numerous enemies.

It was only natural in a democracy that politicians should

seek the support of the media, and there was nothing unusual

about his own political contacts, he said.

“He was that version of Rupert Murdoch that is approachable,

engaging, really anything you want him to be,” said Neil

Chenoweth, a Australian investigative journalist who has been

writing about Murdoch for more than two decades.

“I think it must be very reassuring for investors to see him

on top of his material, a little conciliatory but not a lot,”

said Chenoweth, the author of two books on Murdoch.

But Murdoch’s efforts to downplay his own importance were

undermined by events in Westminster, a short distance away from

the courtroom where Judge Brian Leveson’s inquiry was in

progress.

AT THE HEART OF POWER

With excruciating timing, Cameron was in parliament for a

weekly question time that was dominated by attacks on him and

his government for being too close to the Murdoch empire, a

theme that has dogged Cameron since revelations started pouring

out in the hacking scandal.

While Cameron was jeered in a rowdy House of Commons,

Murdoch was gently ducking difficult questions at the Leveson

Inquiry with smiles, one-liners and pregnant pauses as he

appeared to rack his brain for long-lost memories.

A crucial lunch with former Conservative Prime Minister

Margaret Thatcher to gain her backing for his 1981 takeover of

the Times and the Sunday Times? He had no memory of it.

Allegations of interference in editorial matters by former Times

editor Harold Evans? He hadn’t read the book.

Nevertheless, for a self-styled outsider who likes to

portray himself as a scourge of the establishment, Murdoch’s

testimony offered tantalising glimpses of a career that has in

fact unfolded at the very heart of power.

He was probed on his relationship with Thatcher and

grudgingly admitted that they were “on the same page”

politically.

That is putting it mildly, according to many students of

Murdoch’s career who say that under Thatcher’s government in the

1980s he and his papers shared her libertarian and individualist

agenda and offered her support she could only have dreamed of.

“They were engaged in a joint crusade to regenerate Britain,

its culture, its people, its place in the world,” said James

Curran, co-author of “Power without Responsibility”, an

authoritative textbook on the history of the British press.

“MAKING LOVE LIKE PORCUPINES”

But Wednesday’s grilling showed Murdoch’s political

malleability, which analysts say has been one of the hallmarks

of his success.

With the Thatcher era over and her Conservative successor

John Major bogged down in party infighting, Murdoch switched

allegiance to left-of-centre Tony Blair of New Labour, who flew

to Australia as opposition leader to pay homage to Murdoch.

“This was a pragmatic, calculated relationship with an

Atlanticist pro-markets social democrat he could do business

with. It wasn’t a joint crusade, it was a carefully calibrated

mutually advantageous relationship,” said Curran.

The Blair-Murdoch relationship was described in cruder terms

at Leveson. Murdoch was asked if it was true that he had once

told Blair that “if our flirtation was ever consummated, Tony,

then I suspect we will end up making love like porcupines: very,

very carefully.” The response: “I might have.”

The performance showed that the ageing Murdoch has lost none

of his fighting spirit after a tumultuous year that saw him

sacrifice the profitable News of the World, abandon a cherished

bid to take over a satellite TV business and reluctantly let his

son James and his favourite, Rebekah Brooks, resign from their

posts at the British arm of his News Corp conglomerate.

SEX SCANDALS AND BARE-BREASTED GIRLS

These events have transfixed the British media and

profoundly embarrassed the government, but Murdoch’s Leveson

appearance served as a reminder of the many controversies he has

overcome during his long and inexorable rise.

After expanding the family business he inherited in

Australia and New Zealand, Murdoch burst onto the British scene

in the late 1960s with the purchase of the News of the World and

the Sun.

In his first decade as owner of the two papers, they were

transformed into sensationalist scoop machines, serving up a

diet of sex scandals and bare-breasted girls. Circulation soared

to record levels.

When he set his sights on the venerable but struggling Times

and Sunday Times in 1980, his takeover bid prompted cries of

outrage from many critics who said the vulgar style of his

tabloids disqualified him from running respectable papers.

Murdoch prevailed and owned the four newspapers until he had

to close the News of the World amid scandal last year. He

replaced it with a Sunday edition of the Sun and has a

staggering 40 percent share in Britain’s daily newspaper market.

In 1986 came the battle of Wapping, when Murdoch moved his

operations overnight to new facilities with their own printing

press in a direct challenge to powerful unions who opposed the

move because it would lead to massive job losses. After months

of strikes and violent standoffs, Murdoch won.

Asked at Leveson whether one of the reasons why Thatcher,

also a ruthless union-buster, had backed his bid for the Times

group was that she expected him to crush the press unions,

Murdoch was evasive.

“I don’t think she knew there would be trouble with the

unions … I didn’t have the will to crush the unions. I might

have had the desire, but that took years,” he chuckled.