Labour MP Tom Watson says he will ask the police to investigate evidence given by News International chairman James Murdoch after it was called into question by two former executives.
Mr Murdoch told the culture committee he had not been "aware" of an email suggesting the practice went wider than a "rogue" News of the World reporter.But ex-NoW editor Colin Myler and legal manager Tom Crone said they told him.
Mr Murdoch later said he "stands by his testimony" to the committee on Tuesday.
Mr Watson said he was going to formally bring it to the attention of Deputy Assistant Commissioner Sue Akers, who is leading Operating Weeting, the investigation into phone hacking.
He told the BBC: "This is the most significant moment of two years of investigation into phone hacking."
Mr Watson said: "If their statement is accurate it shows James Murdoch had knowledge that others were involved in hacking as early as 2008, it shows he failed to act to discipline staff or initiate an internal investigation, which undermines Rupert Murdoch's evidence to our committee that the company had a zero tolerance to wrongdoing."
The West Bromwich East MP added: "More importantly it shows he not only failed to report a crime to the police but because there was a confidentiality clause involved in the settlement it means that he bought the silence of Gordon Taylor and that could mean he is facing investigation for perverting the course of justice."
He said: "There is only going to be one person who is accurate. Either James Murdoch, who to be fair to him is standing by his version of events, or Colin Myler and Tom Crone."
"Myler and Crone will have to answer for themselves. They are clearly concerned that they have effectively been hung out to dry by James Murdoch in the evidence session earlier in the week."
At the committee hearing on Tuesday, Labour's Tom Watson asked Mr Murdoch: "When you signed off the Taylor payment, did you see or were you made aware of the full Neville email, the transcript of the hacked voicemail messages?"
Mr Murdoch replied: "No, I was not aware of that at the time".
He went on: "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 issued on Thursday Mr 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."
In a statement issued by News Corporation, James Murdoch said: "I stand by my testimony to the select committee."
Meanwhile, the BBC has learned the FBI plans to contact actor Jude Law following claims his mobile phone was hacked during a visit to the US.
It is alleged a story published by the News of the World in 2003 was based on information obtained from his voicemail which, if proved, could lead to charges in the US because his phone would have been operating on a US network. News International denies the claims.
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