Visitors to The Sun's website late Monday (local time) were redirected to a page featuring a story saying Murdoch's dead body had been found in his garden, Stuff reports.
LulzSec, a group which has claimed responsibility for hacking into big business and government websites in recent months, including those of Sony and the CIA, claimed responsibility for the attack, saying it was a successful part of "Murdoch Meltdown Monday.".
The "story" reported Murdoch had "ingested a large quantity of palladium" and died in his garden.
Readers were also directed to Lulz' Twitter feed.