The NT News' top brass have been accused of striking a deal with the territory government to monitor emails sent by its then political reporter due to concerns his 'negative' reporting of the government's activities could cost the paper advertising revenue.
The recently departed NT News political reporter Christopher Walsh made the allegation in an unfair dismissal claim lodged in the Federal Circuit Court on Monday.
In his court application, Mr Walsh alleges his editor Matt Williams and the paper's general manager Greg Thomson entered into a "blind copying arrangement" with the Department of the Chief Minister chief executive Jodie Ryan for her to blind copy in Mr Thomson and Mr Williams into all correspondence with the government and public service agencies.
It is alleged the agreement was struck "because Ms Ryan did not like the exposure from articles written by the applicant in which she was held accountable to the public".
The arrangement allegedly ran from July or August until October, when Mr Walsh alleges he was informed of the blind copy agreement by a media adviser to the Labor Gunner government.
It is also alleged that on October 9 last year Mr Williams spiked a story by Mr Walsh that was about NT Department of Housing chief executive Jamie Chalker.
A day earlier, Mr Walsh had revealed in the NT News that Mr Chalker was under investigation for allegedly awarding a plum public service job to a childhood friend.
Mr Walsh alleges the story did not run because Mr Williams was "under pressure from the top", it is alleged.
Mr Walsh's claim also alleges Mr Williams contacted the Chief Minister's office to seek assistance with a contempt of court charge against another NT News reporter - which the office rebuffed because it "violated the doctrine of the separation of powers", according to court documents.
It is claimed that the alleged blind copying arrangement was struck at a dinner between the paper's senior employees, along with News Corp chief operating officer Damian Eales and government officials where a large government advertising campaign was discussed.
Mr Walsh alleges that after he made separate complaints about the alleged interference in a court matter and the blind copying arrangement his relationship soured with the paper's top brass.
On October 13, he was called to a meeting where disciplinary action was discussed after the paper had received a complaint from Mr Chalker.
Mr Walsh alleges he was not made privy to the substance of Mr Chalker's complaint despite asking during the disciplinary meetings for the documents.
The reporter was dismissed on October 19. He is seeking reinstatement, backpay and damages.
Mr Walsh has named Nationwide News - a key subsidiary of News Corp, which also publishes The Australian newspaper - and Mr Williams as defendants in the case.
Mr Walsh and his lawyer John Laxon declined to comment as did Ms Ryan and Mr Chalker.
A spokeswoman for News Ltd said in a statement: "News Corp Australia and the NT News strongly refute the claims made by Mr Walsh who was dismissed."
"As the matter is currently before the Court, we have no further comment," the spokeswoman added.
