U.S. newspapers fraudulently inflated circulation figures to scam advertisers

• American newspapers were embroiled in another scandal yesterday following the resignation of two publishers prompted by an investigation into fraudulent circulation figures intended to increase advertising revenues.
• The publishers of New York Newsday and its Hispanic sister paper, Hoy, stepped down when an investigation exposed deceit stretching back several years.
• On Monday, Newsday published a 4,000-word two-page mea culpa with a headline stating: "Pressure fed the problems," and a subhead saying: "A relentless drive to hit circulation goals and a sell-at-any-cost attitude has led to a crisis at Newsday and calls for industrywide reforms."
• Yesterday, Newsday's own report described how Mr Jansen was stepping down "amid a spreading circulation scandal that some have called the worst to hit the newspaper industry in decades".
• Federal and local authorities have begun investigations and several months ago advertisers filed suit claiming the paper's circulation was fraudulent.
• According to the inquiry, efforts to inflate the figures ranged from the crude practice of sending people the paper who had never asked for it, to manipulating industry rules, and fabrication.
• A former employee in the circulation department said: "There were times when they would start home delivery for a thousand people or more for customers who never requested it."
• Newsday's fall from grace is the latest in a long list of scandals to have blighted US journalism over the past year.
• The New York Times recently published an extended correction over its coverage of the run-up to the Iraq war and last year lost its two most senior editors in a scandal over deceit by a reporter, Jayson Blair.
• We could not get customers off the records.