Fox News president Roger Ailes warned Sarah Palin not to launch her controversial "blood libel" defense of herself in the wake of Rep. Gabrielle Giffords' shooting. Palin's refusal to take his advice created a major rift in their important relationship, reports New York magazine. “Lie low,” Ailes told Palin in phone call when she informed him of her plan. “There’s no need to inject yourself into the story.” “The Tucson thing was horrible,” said a source close to Ailes. "Before she responded, she was making herself look like a victim. She was winning. She went out and did the blood libel thing, and Roger is thinking, 'Why did you call me for advice?'”
The fallout could be bad news for Palin, notes the magazine. Fox holds incredible king-making clout among conservative candidates, and is currently paying Palin a $1 million salary as a network commentator. Fox just dumped Newt Gingrich and Rick Santorum, saying it couldn't keep paying pundits once they enter the presidential race.