Labour for Independence fined for breaking spending rules

http://www.theguardian.com/uk-news/2015/sep/15/labour-for-independence-scottish-referendum-fined-for-breaking-spending-rules

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Labour for Independence, a small but energetic campaign set up for last year’s Scottish referendum, has been fined £1,500 by the Electoral Commission for failing to submit any accounts.

The watchdog said the group, which claimed to speak for tens of thousands of Labour voters and some party activists who backed a yes vote on independence for Scotland, was the only registered campaign set up for the referendum which failed to submit any spending report.

It said that was “a serious breach of the rules” by Labour for Independence, which faced accusations from pro-UK campaigners that Scottish National party councillors and officials were heavily involved in its street activities and campaigning. The commission revealed it had previously taken informal compliance action against Labour for Independence for failing to put contact details on its leaflets.

Warning that the fine would rise by 50% if Labour for Independence failed to pay it within 56 days, and then possible court action could follow, the commission said: “Without the report the public has no information as to what donations Labour for Independence accepted, how much it spent, or how it spent that money. In addition, the penalty reflects the commission’s concerns over Labour for Independence’s apparent lack of commitment to compliance.

“The commission took into account that this was not the first compliance issue with this campaigner; leaflets distributed during the campaign by Labour for Independence did not have an imprint, although in that case the commission dealt with the matter without formal action.”

The commission and prosecutors at the Crown Office, Scotland’s prosecution authority, have also been investigating a widely read pro-independence blog, Wings over Scotland, over its spending returns, and the official pro-UK campaign Better Together for failing to file receipts for parts of its travel spending. No decision has yet been issued in those cases.

No one from Labour for Independence was immediately available for comment on Tuesday, but in May a committee member, Deborah Waters, blamed the delay on their bookkeeper falling ill. In July, the commission decided to take no action against another group, the Scottish Jacobite party, after its spending return was late because it said nothing had been spent.

The commission also said on Tuesday it had fined the British Commonwealth party £1,000 for failing to report its donations and loans on time. It has since told the commission it is winding itself up.

“The penalty reflects the commission’s concern that the treasurer is not taking his responsibilities seriously,” the watchdog said. “The commission sought to engage with the party and resolve the matter without the need for sanctions, but the treasurer of the party did not engage with us to enable this. Once a penalty notice was issued the treasurer indicated that they wished to remove the party from the register, but they have not yet done so.”