Guthrie says she discussed punting Alberici
Michelle Guthrie admits she had conversations with ABC news director Gaven Morris about moving Emma Alberici out of her role as chief economics correspondent.
In particular, they had concerns about Alberici's ability to write extended economic analysis.
"One of the issues which Mr Morris and I were discussing … was whether she [Alberici] was well-suited to the role of chief economics correspondent, particularly in relation to the need to write long-form analytical articles," Ms Guthrie tells the Senate inquiry.
She does not deny Justin Milne's claim that the idea of sacking Alberici originated from ABC management, not from him as chairman.
I am still devastated: Guthrie
Former ABC boss Michelle Guthrie gives evidence to the Senate inquiry on Friday.Credit:Dominic Lorrimer
Michelle Guthrie starts by reiterating she remains "devastated" by the ABC board's decision to sack her, and that she believes this had no lawful basis.
She says the events have taken a severe personal toll on her.
Ms Guthrie also repeats her comments from Four Corners that she heard less frequently from Communications Minister Mitch Fifield following Justin Milne's appointment as chairman.
She believes that in Mr Milne, the government had found "their man" with whom they preferred to deal.
As an aside, Mr Milne has now left the inquiry.
Guthrie kicks out the cameras
OK - Michelle Guthrie is up now, with Justin Milne watching from the back of the room. Ms Guthrie was not present while he gave evidence.
Ms Guthrie has started by kicking out the cameras - they were allowed to photograph her quickly at the start of the session, but have all been forced to leave.
You can still watch the broadcast of the session on the official parliamentary stream.
Houston, we have a problem
We've got a bit of a situation here during the morning tea break, it seems.
Michelle Guthrie does not want to see Justin Milne and senators had arranged that they would not cross paths during the inquiry.
But Mr Milne is sitting up the back of the room waiting to hear Ms Guthrie's evidence.
Committee officials just went over to Mr Milne and told him that they will help escort him from the building whenever he wants to leave.
Conflicting claims
Justin Milne has rejected almost every aspect of Michelle Guthrie's account of disagreements about editorial issues at the ABC.
Former ABC chairman Justin Milne.Credit:Dominic Lorrimer
He says her account of a phone call they had about political editor Andrew Probyn was "not real" and simply a "script" she made up.
He has cast doubt on a conversation Ms Guthrie alleges she had with news director Gaven Morris in which Mr Morris expressed frustration about Mr Milne's attempted interventions.
He also denies meeting directly with Triple J staff to try to overturn the network's decision to move the Hottest 100 countdown away from Australia Day.
Ms Guthrie is the next to appear before the inquiry so we'll see what she has to say about those claims.
It was 'the zeitgeist'
Zeitgeist watch: former ABC chairman Justin Milne.Credit:Dominic Lorrimer
Justin Milne is repeatedy asked by Greens senator Sarah Hanson-Young to explain how he came to understand that the Coalition government "hated" reporter Emma Alberici.
He says it was "the zeitgeist" and also the words spoken by Malcolm Turnbull on the floor of Parliament. The then prime minister had been highly critical of an "inaccurate" pair of articles Alberici wrote in February about the government's corporate tax cut policies.
Senator Hanson-Young also questioned the timing of Mr Milne's email in May urging Michelle Guthrie to "get rid of" Alberici. It was sent just a day after receiving a fresh government complaint about Alberici - regarding an article about innovation policy - and before the ABC had evaluated the government's complaints.
The ABC later declared almost all of the government's complaints about the article were spurious.
'External career development opportunities'
ABC reporter Emma Alberici.Credit:ABC
Justin Milne says after the second round of government complaints about Emma Alberici's journalism, he had an exchange with Michelle Guthrie about what to do with their chief economics correspondent.
He says he told Ms Guthrie he thought the ABC was going to suggest "external career development opportunities" - a euphemism for giving her the sack.
According to Mr Milne, Ms Guthrie replied: "We are."
Mr Milne insists the conversation around what to do with Alberici originated from ABC management, and that his views were sought by the ABC's leadership team.
It was later on May 8, in an email exchange, that he told Ms Guthrie: "Get rid of her ... we need to save the corporation, not Emma."
Trust is linked to funding: Milne
Senators are asking Justin Milne about his earlier comments, on Four Corners, that the ABC board must be mindful of the government's opinions about the ABC because it is the broadcaster's banker.
"It does matter what the government thinks," Mr Milne told the program.
Labor senator Kristina Keneally questions former ABC chairman Justin Milne at a Senate inquiry.Credit:Dominic Lorrimer
He clarifies to the inquiry that this is all about journalistic accuracy and how that impacts the public's trust of the national broadcaster.
"The trust of the ABC is important to its funding," Mr Milne says.
"If the people's trust in the ABC declines, then you as elected representatives of the taxpayers who are funding the ABC will find it more difficult to fund an organisation which is not trusted.
"It's naive to think me or anyone else is running around doing the government's bidding. It's just not the case."
Milne accuses Guthrie of fabricating evidence
It's becoming very, very difficult to reconcile the conflicting accounts of conversations between Justin Milne and Michelle Guthrie.
Regarding a phone call between the two on June 15 this year, Ms Guthrie alleges Mr Milne "berated" her about how Malcolm Turnbull hated political editor Andrew Probyn and she should "shoot" him - i.e sack him.
Former ABC chairman Justin Milne appears before a Senate inquiry on Friday.Credit:Dominic Lorrimer
In her submission, Ms Guthrie gave a detailed account of what she recalled of the exchange, and wrote that she was left shaking and nearly in tears.
Mr Milne says this never happened. He says they had a "robust conversation" about ABC funding but barely discussed Probyn. He categorically rejects saying Mr Turnbull hated Probyn.
"That's a script that she's written," Mr Milne says.
This is actually quite a serious charge - Mr Milne is alleging Ms Guthrie has fabricated evidence to this Senate inquiry.
Turnbull 'never suggested anything like that'
Justin Milne says Malcolm Turnbull "never" made any suggestion to him about firing Emma Alberici, Andrew Probyn or any other ABC journalist - whether explicitly or implicitly.
"He never ever required anything of me like that. He never suggested anything like that to me, by implication or anything," Mr Milne tells the Senate inquiry.
He says Mr Turnbull only ever lamented the inaccuracy of some pieces of ABC journalism, such as the notorious taxation and innovation articles by chief economics correspondent Emma Alberici.
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