I don't think it was banned. In fact, when Palast's first(?) book came out (The Best Democracy Money Can Buy), the US version had more in it, named more names (including G Bush Snr's role in a mining murder scandal in Africa) etc than did the UK version that I own. This is because there are far stricter laws in Britain concerning libel and defamation of character. So I doubt that if this was shown on primetime UK tv (which it was on BBC Newsnight, the top political news shown in the UK) that it could be banned under any law in the US.
However. It probably was 'banned' for all intents and purposes in that no major network or cable channel ever showed it (they still haven't to the best of my knowledge), no major publication reviewed it and no pundits ever talked about it. Which is essentially censorship, but no official enough to be called as such.
Palast is probably one of the most popular investigative journalists in the UK. Too bad fuck all people stateside have ever heard of him (and he's from the US).
