Princess Diana: BBC apologises and pays 'substantial' sum to her private secretary

The BBC apologises ‘unreservedly’ to Princess Diana’s former private secretary, Commander Patrick Jephson, for the manner in which journalist Martin Bashir obtained the infamous 1995 Panorama interview. The BBC has also paid a ‘substantial sum’, reportedly around £100,000, in damages to Jephson.

Deceitful behaviour

According to an independent investigation by former high court judge Lord Dyson last year, Bashir used deceit to obtain the much-criticised interview. Bashir reportedly commissioned fake bank statements to show that Jephson and another palace colleague were receiving substantial payments into an off-shore bank account.

He commissioned the forged bank statements to suggest that the Princess was being bugged by the security services and that two senior aides were being paid to provide information about her. He showed the statements to Diana’s brother, Charles Spencer, in order to earn their trust.

After seeing the apparent payments to Jephson, one of Diana’s closest aides, Earl Spencer said it was the ‘absolute clincher’ that convinced him to introduce Bashir to his sister. This ultimately resulted in her decision to participate in the on-the-record interview with Panorama.

Bashir has always rejected allegations of forging Jephson’s bank statements. However, he has admitted to commissioning a graphic designer to create other fake documents in order to secure the exclusive interview.

'Woeful incompetence'

A BBC spokesperson said:

The BBC apologises unreservedly to Cmdr Jephson for the harm caused to him and has paid his legal costs. The BBC has also paid Cmdr Jephson a substantial sum in damages, which he intends to donate in full to British charities nominated by him.

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Jephson, who was Diana’s private secretary for eight years, said:

After more than 25 years, it is a relief finally to reach a conclusion to this painful episode.

I am grateful to Lord Dyson and the journalists whose tenacity has brought the truth to light, and I now look forward to donating the damages I have been awarded to Ty Hafan, the hospice for children in Wales, in memory of the late Diana, Princess of Wales.

Following the publication of Lord Dyson's report, Prince William accused the BBC of ‘woeful incompetence’ and said that the interview had ‘contributed significantly to her fear, paranoia and isolation’ in Diana’s final years. He called for the episode to never be broadcast again.

In his own statement, Prince Harry, said:

The ripple effect of a culture of exploitation and unethical practices ultimately took her life.