[caption id="attachment_69572" align="alignleft" width="215" caption="Educators are calling for New York state to cancel Wireless Generation's no-bid contract."][/caption]

The phone-hacking scandal that erupted over Rupert Murdoch's News Corp. in the United Kingdom last month took a new turn this week when the heads of the New York state and New York City teacher unions sent a letter demanding that the state controller and department of education throw out a $27 million no-bid contract pending with the News Corp. subsidiary Wireless Generation.

"We have become increasingly concerned with the proposed contract," the...

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