Fortescue Metals Group wants federal intervention in Andrew Forrest and Kerry Stokes blue
Fortescue Metals Group has written to communications minister Michelle Rowland, appealing for intervention in the media blue between billionaires Andrew Forrest and Kerry Stokes.
Fortescue Metals Group has appealed for federal intervention in the billionaire media blue between Andrew Forrest and Kerry Stokes, complaining to federal communications minister Michelle Rowland over its treatment by Seven West Media.
In a letter from Fortescue Future Industries chief executive Mark Hutchinson, the company again aired its complaints that critical coverage of the company in The West Australian newspaper has been fuelled by Mr Stokes’ “commercial interests” in the WesTrac caterpillar dealership.
The letter, seen by The Australian, seeks a meeting with Ms Rowland and Fortescue’s leadership to discuss its concerns about “the misuse of The West Australian newspaper to pursue commercial interests”.
“This matter also pertains directly to the issues of diversity of media ownership in Western Australia, and the ability of the community to access balanced, accurate content,” the letter says.
Seven West Media owns both Channel 7 in WA and The West Australian. It swallowed up its only major rival newspaper outlet in WA through the 2016 acquisition of News Corporation publication The Sunday Times – in a deal that was examined but not opposed by the Australian Competition and Consumer Commission at the time.
In an address to Fortescue workers earlier this week, Dr Forrest blamed a series of critical articles about his company in The West Australian on his decision to purchase mine trucks from a rival of Mr Stokes’ WesTrac, which is the Australian distributor of Caterpillar mining equipment.
He labelled The West Australian’s coverage as “biased, inflammatory and above all inaccurate” and accused Seven West of backing Mr Stokes’ “narrow self-seeking commercial interests”.
The West Australian’s stories have focused on Fortescue’s staff retention issues, doubts about its hydrogen ambitions, and its issues with the state’s workplace safety regulator: all stories that have been covered by other outlets.
Mr Hutchinson said on Thursday Fortescue would “not be deterred by The West Australian‘s unjustified and commercially driven attacks”.
“We welcome the scrutiny that comes with a free press, however, The West’s coverage has gone far beyond fair scrutiny and is clearly driven by fossil fuel interests with the aim of damaging Fortescue’s green energy mission,” he said.
“Media integrity is key to our democracy, and the misuse of Western Australia’s only daily newspaper to pursue commercial interests is worthy of examination.”
The letter comes as former WA treasurer Mike Nahan weighed in with support of Andrew Forrest in the iron ore magnate’s public feud with Mr Stokes, accusing the latter of using his media assets to further the interests of his other businesses.
Dr Nahan – who was treasurer during the final years of the Barnett government, and who briefly served as opposition leader after Mark McGowan won the 2017 election – told The Australian on Thursday that Dr Forrest was “spot on” in his concerns about Mr Stokes’ influence.
“My perception is that Stokes is an active publisher and he uses the paper to advance his commercial ends,” he said.
“It doesn’t surprise anybody in the business sector or the political sector that that would be the case.”
Dr Nahan said he had experienced similar treatment to that of Dr Forrest by The West Australian.
“Unlike other media moguls, for instance (Rupert) Murdoch (the major shareholder in News Corp, publisher of The Australian), he has vast interest outside media and entertainment,” Dr Nahan said.
“He has massive allied interests in Western Australia like Caterpillar, gas and oil, agriculture. That therefore provides substantial scope to use the paper to advance his allied commercial interests and I think there‘s evidence of that happening.”
He said Mr Stokes “obviously has a very close relationship” with WA premier Mark McGowan, citing the text messages between the pair that were revealed during last year’s defamation battle between the WA premier and Queensland billionaire Clive Palmer.
Mr Stokes is a major shareholder in Beach Energy, which was given a lucrative exemption to the state’s gas export ban, and a joint venture between the private companies of Mr Stokes and Dr Forrest was also given exclusive rights over the East Perth power station redevelopment on the banks of the Swan River. That joint venture has now collapsed amid the breakdown in the relationship between the billionaires.
“You can see that Mr Stokes has gotten over the years I’d say particularly advantageous deals with the McGowan government,” Dr Nahan said.
“It’s a grave concern when one of the wealthiest business people with massive interests across the board also owns the newspaper.”
The state government on Wednesday confirmed that the Stokes-Forrest joint venture behind the East Perth power station proposal would not proceed. Dr Forrest’s Tattarang is understood to be eager to push ahead with the redevelopment on its own.
Mr Stokes’ son, Seven Group managing director Ryan Stokes, has talked down any feud between the two groups, and denied any editorial interference in its media assets.
“As far as Seven West Media goes, editorial decisions are completely independent as you would expect,” Ryan Stokes said.
In a front-page editorial published on Thursday, The West Australian editor Anthony De Ceglie noted neither Dr Forrest nor his representatives had pointed out any inaccuracies in his paper’s reporting.
“I stand by our reporting, by our journalists, by the stories we choose to pursue and how we do so,” he wrote.
