This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/world/7904033.stm
The article has changed 9 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| Watchdog probes Tory donor's firm | Watchdog probes Tory donor's firm |
| (20 minutes later) | |
| The official elections watchdog has launched an inquiry into donations to the Tory Party made by the company of wealthy party backer Lord Ashcroft. | The official elections watchdog has launched an inquiry into donations to the Tory Party made by the company of wealthy party backer Lord Ashcroft. |
| The Electoral Commission confirmed reports it was mounting a formal investigation into the donations made by Bearwood Corporate Services. | |
| It is looking into a possible "failure to comply" with the Political Parties, Elections and Referendums Act. | It is looking into a possible "failure to comply" with the Political Parties, Elections and Referendums Act. |
| The Tories have insisted the donations were "legal and permissible". | |
| The probe concerns "a number of donations," said a spokesman for the Electoral Commission. | |
| Lord Ashcroft, the party's deputy chairman, has paid millions of pounds to the party through Bearwood, a UK-registered company. The donations from Bearwood Corporate Services Ltd met [the] tests and were therefore legal and permissible Conservative part spokesman | |
| However Labour MPs have long questioned whether the donations complied with strict laws banning overseas' donations. | |
| Lord Ashcroft was partly brought up in Belize and he reportedly still has extensive business interests in the former British colony. | |
| He has consistently refused to say whether he is resident or pays taxes in the UK. | |
| The Conservatives have insisted that they were satisfied that the donations were both "legal and permissible". | |
| A party spokesman said: "The Conservative Party compliance unit applies two strict tests to all company donations in accordance with Electoral Commission guidance. | |
| "They are: is the company UK registered and is the company trading? | |
| "The donations from Bearwood Corporate Services Ltd met those tests and were therefore legal and permissible." | |
| Financial blow | |
| But John Mann, one of the Labour MPs pressing for an inquiry into the Bearwood donations, welcomed the confirmation that there would now be a full investigation. | |
| He told the Sunday Mirror newspaper: "Tax exiles should not be allowed to give money to influence the results in British elections. | |
| "I'm very pleased this investigation has been launched. It's a significant first step to getting to the bottom of what is going on." | |
| The Electoral Commission began initial inquiries into the donations last year, but the decision to stage a formal investigation was only made on 30 January. | |
| Lord Ashcroft has become a powerful figure at Conservative HQ where he is credited with devising the party's marginal seat strategy, pouring resources into constituencies where Labour MPs are defending small majority. |