The fallout from using fake documents

What happens when your newspaper gets caught using fake FBI documents?

It's simple: Your paper loses credibility with its readers. And it loses credibility with respected members of the journalism community.

Oh, and the other big papers/media entities get to do a whole bunch of fun reporting on the subject, showing exactly where your paper and the reporter goofed up.
It can't be fun working for a big paper that is getting smacked up by the competition like the New York Times and Washington Post.

Links to coverage of the Philips/L.A. Times debacle:
http://www.nytimes.com/2008/03/27/business/media/27hoax.html

http://www.nytimes.com/2008/04/08/business/media/08paper.html?_r=2&ref=media&oref=slogin&oref=slogin

http://www.washingtonpost.com/wp-dyn/content/article/2008/03/27/AR2008032700879.html

http://www.reuters.com/article/entertainmentNews/idUSN0744173320080407?feedType=RSS&feedName=entertainmentNews


But the big question: Should the reporter who uses fake documents and gets caught keep his job? Apparently, the L.A. Times think so.
This came from one of the New York Times articles listed above:
"A spokeswoman for the newspaper said Mr. Philips, a Pulitzer Prize winner, would remain with the newspaper as an investigative reporter."