Wal King demands apology from Fairfax over bribe claims FORMER Leighton Holdings chief executive Wal King has written to Fairfax Media to demand it publishes an apology for reports alleging he approved the payment of a bribe in a deal in Iraq. The letter from Mr King's lawyers Atanaskovic Hartnell is the first formal response by the high-profile executive to the string of articles published by Fairfax yesterday and today. Fairfax reported yesterday that it had obtained hundreds of confidential Leighton documents, including a handwritten note allegedly written by then-acting chief executive David Stewart in November 2010 that in turn alleged his predecessor Mr King had approved $42 million in kickbacks to a firm in Monaco nominated by Iraqi officials for a $750m oil pipeline contract. In the letter to Fairfax sent today, Mr King's lawyers argue the memo purporting to support the claim was based on a "double hearsay which would not be in admissible in court." Yesterday Mr King issued a formal denial, also through his lawyers, with the implied threat of legal action against the company. Fairfax Media has shifted its focus in today's articles to Mr King's substantial compensation, which saw him pocket close to $100 million in cash during his last few years in the company. The stories have sent Leighton's share price down some 14 per cent in the past two days, wiping over $900 million in value from its market valuation. Most recently the stock was trading at $16.80. The articles have raised new concerns over the Australian Securities and Investment Commission's (ASIC) treatment of the alleged corporate governance abuses. The matters are being currently investigated by the Australian Federal Police, which negates the need for any ASIC action at this stage.