NEW YORK: News Corp. Chairman Rupert Murdoch, facing the fallout from alleged phone-hacking at a London newspaper, got a vote of confidence from Saudi Prince Alwaleed bin Talal Al Saud , one of the company's largest shareholders.Alwaleed remains "both supportive and confident in the leadership of Rupert and James Murdoch," he said in an e-mail on Wednesday. The statement came a day after Rupert Murdoch and his son James, who is deputy chief operating officer, were questioned by UK lawmakers during a three-hour hearing on alleged phone-hacking at News Corp.'s News of the World tabloid.The Murdochs answered "all questions" at the hearing with "full honesty and integrity," said Alwaleed, whose Kingdom Holding Co. holds 7% of the voting stock in News Corp, the second-largest after the Murdoch family. He also said he supports the inquiry as "part of a necessary process to address the unacceptable practices that developed at the now closed News of the World."Alwaleed's support comes after governance experts who heard Rupert Murdoch's performance said he may not have done enough to acknowledge his accountability. Jay Lorsch, a Harvard Business School professor, said the company's board may have to replace him as chief executive officer after the appearance.News Corp., owner of the Fox TV networks and the Wall Street Journal, has fallen 12% on the Nasdaq Stock Market since allegations surfaced July 4 that Murdoch's tabloid hacked into the voice mail of a murdered schoolgirl.Bloomberg LP, the parent of Bloomberg News, competes with News Corp. units in providing financial news and information.Alwaleed's support is significant as other shareholders voice opposition to Murdoch. Christian Brothers Investment Services in New York filed a petition with News Corp. on July 15 that seeks to permanently split the CEO and chairman positions, said Julie Tanner, assistant director of socially responsible investing at the organization, which holds 30,755 Class B voting shares on behalf of Catholic institutions.Murdoch's testimony that he isn't responsible for the scandal isn't acceptable, Tanner said."He needs better policies in place and to have a better grasp of what people in the company are doing," Tanner said."The situation is very serious and we're considering our options," Anne Simpson, a senior portfolio manager at the pension fund for state workers, told the Financial Times in an interview. "We don't intend to be spectators - we're owners."Calpers owns 4.87 million non-voting News Corp. shares and 1.49 million voting shares, according to Bloomberg data.Alwaleed, in his statement, said that News Corp. is "a valuable and long term investment". "I commend my friends and partners Rupert and James for addressing these serious issues head on, cooperating fully with the official inquiries and taking the appropriate steps to bring ethical reform to News Corp," he said.