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13/04/2006
Man arrested in 'cash-for-honours' probe
Police investigating allegations that honours were awarded to wealthy businessmen who lent money political parties have arrested a man.
The 60-year-old was arrested in Redbridge in London under the Honours (Prevention of Abuses) Act 1925 and is currently being held in custody in a London police station.
Scotland Yard has not officially named the man. However, according to reports, the man is believed to be former government advisor Des Smith.
Mr Smith, a headteacher from Dagenham, is a former member of the Specialist Schools and Academies Trust.
The investigation, which is being led by Deputy Assistant Commissioner John Yates, was launched following a complaint by Scottish and Welsh nationalist MPs which alleged that Labour had broken the law regarding the sale of honours such as peerages and knighthoods.
The complaint followed the revelation that the House of Lords Appointments Commission had blocked the appointment of four of Prime Minster Tony Blair's nominations for peerages. All four were wealthy businessmen who had made loans to Labour.
None of the businessmen appeared on the list of working life peers published earlier this week. A Conservative nominee, who had lent the party £2 million, was also not on the list.
The investigation has been widened to cover other political parties.
(KMcA)
The 60-year-old was arrested in Redbridge in London under the Honours (Prevention of Abuses) Act 1925 and is currently being held in custody in a London police station.
Scotland Yard has not officially named the man. However, according to reports, the man is believed to be former government advisor Des Smith.
Mr Smith, a headteacher from Dagenham, is a former member of the Specialist Schools and Academies Trust.
The investigation, which is being led by Deputy Assistant Commissioner John Yates, was launched following a complaint by Scottish and Welsh nationalist MPs which alleged that Labour had broken the law regarding the sale of honours such as peerages and knighthoods.
The complaint followed the revelation that the House of Lords Appointments Commission had blocked the appointment of four of Prime Minster Tony Blair's nominations for peerages. All four were wealthy businessmen who had made loans to Labour.
None of the businessmen appeared on the list of working life peers published earlier this week. A Conservative nominee, who had lent the party £2 million, was also not on the list.
The investigation has been widened to cover other political parties.
(KMcA)
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