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Jack Straw
In the mire: Jack Straw

Straw is dragged into peers for hire mire

Nicholas Cecil, Chief Political Correspondent
27 Jan 2009


JUSTICE Secretary Jack Straw was today dragged into the Lords-for-hire scandal.

The Standard can reveal that he has received payments through the peer at the heart of the damaging sleaze row.

One was a personal gift from Lord Taylor of Blackburn, who has boasted he can earn £100,000 a go as a paid lobbyist.

The other was a £3,000 donation, solicited by the peer from a firm which is paying him as an adviser as it seeks to open a new gas storage centre.

The Standard can reveal that Lord Taylor has had to apologise in Parliament for failing to declare an interest in this company when intervening in a debate on energy. Details of the close financial links between Mr Straw and Lord Taylor will raise fresh questions over the relationship between lobbyists, big business and politicians.

The Cabinet minister has been rapped by the Commons watchdog for failing to register a £3,000 donation from Canatxx Energy Ventures in 2004 which has been seeking to overcome local opposition in order to build a gas storage plant in the Wyre estuary, close to the MP's constituency.

Lord Taylor is an adviser to Canatxx Energy Ventures which made the gift for a party at Blackburn Rovers' stadium to celebrate Mr Straw's 25th anniversary as an MP.

During questions on 22 October last year on winter energy supplies, Lord Taylor intervened. He said: "My Lords, does my noble friend agree that planning officers should be more aware of the national need for gas storage and that they should not take into account certain objections brought forward by certain residents in certain areas?" Six days later, however, the peer was forced to apologise. He said: "On 22 October...I asked a supplementary question about gas storage.

"On reflection, I should have declared an interest, which appears in the register of non-parliamentary interests, in a company called Canatxx Energy Ventures Limited. I humbly apologise to the House."

Mr Straw has admitted in correspondence with the parliamentary sleaze watchdog that it was Lord Taylor who "approached" Canatxx and invited them to the dinner.

The peer has also financially supported the Cabinet minister through donating to the Blackburn Labour Party's election expenses for his parliamentary candidature. Lord Taylor denies any wrongdoing in his business dealings. Liberal Democrat leader Nick Clegg today stepped up the pressure on the Government by demanding new legislation to allow peers to be expelled from Parliament.

Mr Clegg said: "This case exposes the extraordinary protection enjoyed by the political classOne rule for lawmakers and another for everyone else. The most the accused peers will have to do if the Lords investigation finds them guilty is to apologise. That is why I am also now calling on the Government to introduce urgent new legislation to change the rules so that peers found guilty of wrongdoing are expelled from Parliament."

Yesterday, Lord Taylor told the Upper Chamber: "If I have done anything that brought this House into disrepute, I humbly apologise." He added: "Within my own conscience I have followed the rules".

The donation from Canatxx was paid into a "petty cash" account and the local Labour party treasurer was unaware of it. Mr Straw denies seeking to influence any decision in favour of the firm. The company also rejects allegations that it is seeking to get planning permission through lobbying of politicians.

The other Labour peers involved in the furore are Lord Snape, former defence minister Lord Moonie and former energy minister Lord Truscott. All deny any wrongdoing.

Labour backbencher Bob Marshall-Andrews told Radio 4's Today programme: "If it is true, it is making a secret profit out of public office, which seems to me to tick those necessary boxes for corruption. I would have thought there is sufficient, if it is true, to put this up to the new Director [of Public Prosecutions]."

Reader views (18)

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Jack Straw !......Justice Secretary !

New Labours very own OXYMORON.

It's time for a GENERAL ELECTION folks.

- Silent Hunter, Stirling, 27/01/2009 21:51
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Mi oh Mi
Just to think this Goverment got in on ANTI SLEEZE?
Maybe the Most Corrupt Goverment Ever in History

- Bill Williams, Bagnoles France, 27/01/2009 18:28
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HOW CAN SUCH A "MAN" BE IN CHARGE OF JUSTICE???

- Jacqueline, Hampstead, London, 27/01/2009 18:17
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The Justice Minister of the country involved in fraud - no problem her in Britain surely not.

- Georgie, Islington, London, 27/01/2009 16:30
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And Straw's 'entrusted' with modifying Britain's 'parliamentary process and constitutional changes'!!!

Quick, somebody telephone the police, before they're 'modified' too.

- Dave, cumbria, 27/01/2009 15:20
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Perhaps both houses should vacate Westminster and transfer all business to H.M.P. Peterhead they might feel more at home there. Possibly taking the Bankers with them. Alas poor Democracy.

- Jim Henderson, Dundee, 27/01/2009 14:58
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If I have brought this house into disrepute I apologise to my right honourable friends. I was, after all, just following the example of my learned lords - and about 90% of parliamentarians

- Ross, Yorks, UK, 27/01/2009 14:09
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Why do we actually need a justice secretary to start with,that in itself is another NuLabour gravy train that should be halted.

- Nigel, w, 27/01/2009 14:03
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If we had any sense we would get rid of the lot of them, Lords, MP's and MEP's. None of them are concerned with this country they all want to make a fast buck, its self self and has been for a long time, they will seel us all down the river and retire to a nice fat pension, at our expense. Its time we all woke up to the fact that we are being royally ripped off by those and we are paying for a civil service that is probably twice the size it should be.

- David Bryant, Newmarket, England, 27/01/2009 14:01
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How many more of these "genuine mistakes" do we have to put up with from this corrupt administration before they give us a democratic chance to comment - via an election!!

- Malcolm, London, 27/01/2009 13:42
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Like the country and the economy they have systematically ruined, these politicians and their ilk are rotten to the core.

- Helen, norwich, 27/01/2009 13:14
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"On reflection, I should have declared an interest"

Translation: "If I had realised that I would have been caught, I would have declared an interest".

- Casper Slides, France at the moment, 27/01/2009 12:25
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This was NOT the fault of Labour Peers. This is a Global problem which started in America and is the fault of the Banks!

- R Jones, Bristol UK, 27/01/2009 11:51
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As if the financial and economic situation this wretched Prime Minister and his hapless Government have landed us in is not enough.

- Ian Glen., Durham. England., 27/01/2009 11:39
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Isn't it time there was a vote of no confidence in these New-Labour?

- David, Banbury UK, 27/01/2009 11:13
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The BIG question is how much, if any, Income Tax is declared on these payments.?
It should show up on their Tax Returns,
or does it??.

- Frank Murray, Bristol UK, 27/01/2009 11:03
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Unfortunately there's no chance of an election until the very last day of Labour's misrule because they need as much time as possible to fill their pockets.

- Ian, London, 27/01/2009 10:35
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In any other organisation people accused of such serious maters would be immediately suspended until an urgent investigation was concluded. If such an investigation confirmed that criminal activity was suspected then it would be reported to the police. What makes our politicians so superior to the rest of the community that they escape the rules that we have to keep to?

- Martin Berridge, London, 27/01/2009 10:30
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