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Sleaze investigation over Muslim funds for Labour
Last updated at 09:52am on 27.08.07
The Electoral Commission is investigating one of Labour's donors
Labour is involved in a new "sleaze" probe it has emerged.
It followed allegations that a Muslim businessman used a "front" organisation for secret donations.
The Electoral Commission confirmed it is investigating a group called the Muslim Friends of Labour, which gave the party £100,000 a month between April and June.
It is the first such inquiry since Gordon Brown became Prime Minister in June.
Glasgow-based Imran Khand is alleged to have injected large sums into the organisation. But as his cash did not go direct to Labour, his identity remained secret.
Until recently the organisation donated only small amounts, but it is now the party's second biggest non-union donor.
The probe comes hot on the heels of the ending of the "cash for peerages" inquiry, which saw Tony Blair questioned three times over claims that major donors were promised knighthoods.
The Muslim Friends of Labour - registered to a PO box in South London - is an "unincorporated" association, which it means it does not have to identify people who give it money. But the commission is investigating its status amid allegations that it is actually a members' association, made up "wholly or mainly" of members of a political party.
If so, it would be breaking the law by failing to disclose the details of any donor of more than £5,000.
Labour MPs have repeatedly condemned Tories for accepting cash from the Midlands Industrial Council, another unincorporated association.
A Labour spokesman said: "MFL agreed to register with the Electoral Commission as a matter of best practice.
"It was able to assure the Labour Party that all donations received by it had come from permissible donors."
Mr Khand could not be contacted.
Reader views (6)
Simple, provide funding for elections from tax payers, make sure that parties provide full accounts to show how they have spent their awarded funds. No need for sleezy back handers from unnamed individuals and less corruption. Currently happens in Germany.
- Joshie Smith, London, UK
Yet another enquiry that will go nowhere! I am afraid the whole of the Labour party is just looking out for themselves.
Oh for the old Labour days, at least we thought they were looking out for our interests, now it is just me me me.
- Peter, Herts
Labour are easily bought, they are a modern day Judas, we need to get rid of them.
- Mags, U.K.
Well well well, new Labour up to its old tricks again who would have thought it. I think you will find the party is infested with totally dishonest people whose only thought is to fleece the taxpayers from their money and spinning us more rubbish. How much more of this sleaze is going on that we will never find out about? So many people are involved and so many people have probably got something on their honorable party members that it will never emerge unless someone gets too greedy.
- Stephend, London, England
There's only one way to stop Labour corruption. Boot every last one of them out of office. Maybe then we can start to reclaim our country for our people.
- C M, Llandeilo, Wales
Can't stop doing it can they? The almost primeval urge to deceive and lie is endemic in Labour. I have yet to come across a story which puts this bunch of inept people who have betrayed our country, its values and traditions in a good light. Brown is as culpable as Bliar, maybe the pollsters who come up with the ridiculous Brown bounce should ask the silent majority what they think, that lead will vanish in the dust.
- Albert Hall, Kettering
