Nine pays out Rice as Whittington gets set to settle a score

Nine has agreed on a multi-year payout to a former producer, as a rival network plans to tell “the real story”.

Adam Whittington and wife Karin enjoy a family day at a Gold Coast beach during filming for the Seven Network. Picture: Nathan Richter / INF

The Nine Network has agreed to a multi-year payout to settle with former 60 Minutes producer Stephen Rice after he was singled out for dismissal in relation to a ­bungled kidnapping attempt in Lebanon.

While Nine has avoided a long, damaging court battle with Rice, it is believed to have cost the network more than $650,000, which compares with his salary of about $300,000 a year.

However, some sources close to Nine say the payout was considerably lower than that.

Rice appointed high-profile workplace lawyer John Laxon after he was sacked by Nine and portrayed as the most culpable staff member for the disaster, which saw the 60 Minutes crew, led by reporter Tara Brown, spend two weeks in a Beirut jail in April.

The settlement, first revealed by The Australian online yesterday, was reached last week in relation to a potential unfair dismissal case. It caps a costly run for Nine, whose legal fees jumped by $7 million last financial year due largely to the 60 Minutes incident.

“Stephen Rice and Nine Network Australia have resolved their dispute over Mr Rice’s departure from Nine on mutually agreed terms,” Mr Laxon said. “No further comment will be made.”

The news comes as the Seven Network prepares to air an interview with Adam Whittington, the former soldier paid by Nine to orchestrate the Beirut kidnapping attempt. He and his family this week filmed an interview with Seven’s Sunday Night program.

Mr Whittington was not part of Nine’s deal to secure the 60 Minutes crew’s release and spent nearly four months behind bars in Beirut. On his release in July, he said: “Finally, finally the truth is coming out, very soon, don’t worry about that.” His mother, Georgina Whittington, has accused Nine of abandoning him.

It is understood the Rice settlement was subject to a non-compete agreement that prevents him from working with another television network this year.

Rice wrote a diary about the Lebanon events, which he emailed to himself using his Nine address before losing his job.

The diary was to be the basis of a book and Rice will be permitted to pursue this option under the settlement agreement.

Legal talks between the two parties were mediated by John West QC. Rice sought legal advice after Nine’s investigation into the incident found no staff should be dismissed.

Mr Laxon has previously pointed out that several senior executives at Nine were involved in the 60 Minutes incident, which involved an attempt to snatch the children of Brisbane mother Sally Faulkner.

“What’s happened to Stephen is diabolical from my perspective, in circumstances where a number of very senior people at Nine were involved in the story from the ­get- go,” Mr Laxon said in May. “To say Stephen was somehow running the show and ultimately responsible is just nonsense. Stephen Rice is a scapegoat.”