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Despite this evidence the government was largely cleared of any wrongdoing by Hutton. In large measure this was because evidence to the Inquiry indicated that the government had not known of the reservations in the intelligence community: it seemed they had been discounted by senior intelligence assessors (the Joint Intelligence Committee) — thus Gilligan's claim that the government "probably knew" the intelligence was flawed, was itself unfounded. Furthermore, the Inquiry had heard that these were not the words used by Gilligan's source, but his own inference. Meanwhile, Hutton determined that any failure of intelligence assessment fell outside his remit, and the Intelligence Services thus also escaped censure.
Instead the report placed a great deal of emphasis on evidence of the failings of Gilligan and the BBC, many of which had been explicitly acknowledged during the course of the Inquiry.
Davies had then told the BBC Board of Governors that he was happy with the story, and told the Prime Minister that a satisfactory internal inquiry had taken place. The Board of Governors, under Davies' guidance, accepted that further investigation of the Government's complaints were unnecessary. In his report Hutton wrote of this:
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