London: Phone-hacking was widespread in the now defunct News of the World tabloid of James Murdoch, new documents unveiled on Tuesday said, amid indications that British lawmakers may recall him to explain contradictions in his July testimony.

The House of Common's Culture, Media and Sport Committee may ask Murdoch, Chairman of tainted News International to re-appear, Chairman of the committee John Whittingdale said on Tuesday.

A letter written by sacked reporter Clive Goodman in 2007, published was described as 'devastating'.

In the letter, Goodman claims that phone hacking was "widely discussed" at editorial meetings at the paper until former editor Andy Coulson himself banned further references to it. News International had earlier claimed that phone-hacking was not widespread in its titles.

Coulson, a former director of communications for Prime Minister David Cameron, was arrested in the phone-hacking last month.

Goodman also says in the letter that Coulson offered to let him keep his job in the tabloid if he agreed not to implicate the paper in hacking when he came to court.

Moreover, he claims that his own hacking was carried out with "the full knowledge and support" of other senior journalists, whom he named in the letter.

John Whittingdale, Chairman of the committee, on Tuesday said the committee would like to ask James Murdoch about the contradiction in his testimony and statements of former employees of News International, Tom Crone (former legal manager) and Colin Myler (former editor of News of the World).

Whittingdale said the committee had published evidence which appeared to contradict some of what they were told.

The testimony in question refers to the April 2008 payment authorised by Murdoch as part of an out-of-court settlement of more than 600,000 pounds to Gordon Taylor, chief executive of the Professional Footballers' Association, over the hacking of his phone.

He had said at the time he did not know the full extent of hacking that may have been going on at the News of the World. The paper's royal editor Clive Goodman and private investigator Glenn Mulcaire had both been jailed for hacking into phones of the royal household in 2007.

At the committee hearing in July, Labour's Tom Watson asked Murdoch: "When you signed off the Taylor payment, did you see or were you made aware of the full" email suggesting hacking was more widespread than had been admitted.

To which, Murdoch replied: "No, I was not aware of that at the time...There was every reason to settle the case, given the likelihood of losing the case and given the damages – we had received counsel - that would be levied."

In their statement, Myler and Crone said: "Just by way of clarification relating to Tuesday's CMS Select Committee hearing, we would like to point out that James Murdoch's recollection of what he was told when agreeing to settle the Gordon Taylor litigation was mistaken.

In fact, we did inform him of the 'for Neville' email which had been produced to us by Gordon Taylor's lawyers."