<p>Coulson, Tories former communications director who has been arrested on suspicion of phone hacking was paid a severance package worth several hundred thousand dollars by the News International-- the company owned by media baron Rupert Murdoch, the BBC said.<br /><br />The former editor also had continued access to health care and as the reports broke the opposition Labour Party said, PM David Cameron faced "serious questions" over the claims.<br /><br />The 43-year-old Caulson was arrested in July in the probe into the phone hacking and was released on bail until October. He edited the NoTW from 2003 to January 2007.<br /><br />BBC said the severance instalments totalled the full entitlement under his two-year contract as editor of the now closed tabloid. The severance package also allowed him to keep hold of his company car, BBC reported.<br /><br />Coulson was hired by the then opposition Conservative party in July 2007 for a reported salary of 275,000 pounds.<br /><br />He continued to be financially linked to News International for several months of his tenure, BBC said.<br /><br />Coulson resigned from his government post in January, saying pressure over phone hacking was distracting him from his role.<br /><br />Labour MP Tom Watson told the BBC he would write to the Electoral Commission to see whether the News International payments complied with British laws. <br /><br />"Given that Andy Coulson resigned in disgrace from the News of the World over the phone-hacking scandal, he took responsibility for what happened on his watch - his words, not mine - it seems remarkable that News International would feel obliged to give him any payments at all," he said.<br /><br />"And if those payments were discretionary then I think in law they would count as a hidden donation."</p>
<p>Coulson, Tories former communications director who has been arrested on suspicion of phone hacking was paid a severance package worth several hundred thousand dollars by the News International-- the company owned by media baron Rupert Murdoch, the BBC said.<br /><br />The former editor also had continued access to health care and as the reports broke the opposition Labour Party said, PM David Cameron faced "serious questions" over the claims.<br /><br />The 43-year-old Caulson was arrested in July in the probe into the phone hacking and was released on bail until October. He edited the NoTW from 2003 to January 2007.<br /><br />BBC said the severance instalments totalled the full entitlement under his two-year contract as editor of the now closed tabloid. The severance package also allowed him to keep hold of his company car, BBC reported.<br /><br />Coulson was hired by the then opposition Conservative party in July 2007 for a reported salary of 275,000 pounds.<br /><br />He continued to be financially linked to News International for several months of his tenure, BBC said.<br /><br />Coulson resigned from his government post in January, saying pressure over phone hacking was distracting him from his role.<br /><br />Labour MP Tom Watson told the BBC he would write to the Electoral Commission to see whether the News International payments complied with British laws. <br /><br />"Given that Andy Coulson resigned in disgrace from the News of the World over the phone-hacking scandal, he took responsibility for what happened on his watch - his words, not mine - it seems remarkable that News International would feel obliged to give him any payments at all," he said.<br /><br />"And if those payments were discretionary then I think in law they would count as a hidden donation."</p>