Ex-News International chief executive Rebekah Brooks told the Culture, Media and Sport Select Committee the News of the World used private investigators when she was editor as she claimed did "every newspaper in Fleet Street".
She said her use of private investigators while editor of the News of the World was legitimate and part of the paper's Sarah's Law campaign to track down and identify paedophiles which was in the public interest.
Brooks said she had never met the private investigator Glenn Mulcaire and had not heard his name until he was arrested in 2006.
She also said she felt "sick and disgust" when she heard the allegations that Milly Dowler's phone had been hacked. Brooks said she only knew about it when the story broke in the media in the last few weeks.
"I don't know anyone who would sanction listening to Milly's phone. This is the most shocking thing I've heard about potential journalists at News international."
She said a newsroom was based on trust and editors had to rely on their journalists behaving in a proper manner.
Brooks said she had never authorised a payment to police or gone horse riding with the Prime Minister.
- Brooks said she would like to be invited back by the committee when she was free from legal constraints.
- The Observer; 'Why we used private investigator'