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Labour donor reveals his identity Concern over secret Labour donor
(about 2 hours later)
A wealthy North East property developer has told the BBC he is the mystery donor responsible for giving more than £400,000 to the Labour Party. A wealthy North East property developer has admitted being behind a series of large donations to the Labour Party.
David Abrahams said he gave the money to "friends and colleagues" Janet Kidd and Ray Ruddick to give to the party. David Abrahams gave more than £400,000 to the party through "friends" Janet Kidd and Ray Ruddick because, he said, he did not want to "seek publicity".
Justice Secretary Jack Straw has said he is concerned about the arrangement, which was "plainly not transparent".Justice Secretary Jack Straw has said he is concerned about the arrangement, which was "plainly not transparent".
The Electoral Commission has asked Labour to explain the donations, which may breach electoral law.The Electoral Commission has asked Labour to explain the donations, which may breach electoral law.
Mr Straw said: "Whether these arrangements are within the letter of the law they are plainly not transparent. I am concerned about them.Mr Straw said: "Whether these arrangements are within the letter of the law they are plainly not transparent. I am concerned about them.
"I shall ask both the Electoral Commission and my officials for immediate advice on what action should be taken.""I shall ask both the Electoral Commission and my officials for immediate advice on what action should be taken."
I can't stand Labour - I can't stand any politicians Ray RuddickLabour donorI can't stand Labour - I can't stand any politicians Ray RuddickLabour donor
Under electoral law, people making donations on behalf of others must give full details of the person providing the money.Under electoral law, people making donations on behalf of others must give full details of the person providing the money.
According to the commission, Mr Ruddick has donated £196,850 to Labour and Mrs Kidd £185,000 since 2003. According to Electoral Commission records, Mr Ruddick, a builder, who drives an old Ford Transit van and lives in a former council house in Newcastle, is Labour's third biggest donor.
When he was contacted by the Mail on Sunday newspaper he initially told it he knew nothing about the donations - apart from a payment of £80,000 made in July.
He told the paper's reporter: "I can't stand Labour. I can't stand any politicians."
'Private person'
Mr Abrahams told BBC News it was he who had funded the donations by his "friend and colleague" Mr Ruddick and Mrs Kidd, who is reported to be his secretary.
Gordon Brown needs to come clean quickly and explain what has been going on Chris Grayling, shadow work and pensions secretary
Mr Abrahams said: "I'm a member of the Labour Party and have been for nearly 40 years, since I was 15.
"I have always been fortunate enough to be able to make donations to worthwhile causes including the Labour Party."
He said he had "gifted funds to my friends and colleagues" so they could make donations on his behalf.
He said he had not donated the money under his own name because he was "a very private person" who "did not seek publicity".
Labour inquiry
According to the Electoral Commission, Mr Ruddick has donated £196,850 to Labour and Mrs Kidd £185,000 since 2003.
They are listed as having given the party £222,000 between them since Gordon Brown became leader, making them Mr Brown's third biggest donors after Lord Sainsbury and businessman Mahmoud Khayami.They are listed as having given the party £222,000 between them since Gordon Brown became leader, making them Mr Brown's third biggest donors after Lord Sainsbury and businessman Mahmoud Khayami.
Janet Kidd is also listed as making a donation to Harriet Harman's successful campaign to be Labour deputy leader, while Mr Abrahams is listed, under his own name, as a donor to Ms Harman's defeated rival Hilary Benn.Janet Kidd is also listed as making a donation to Harriet Harman's successful campaign to be Labour deputy leader, while Mr Abrahams is listed, under his own name, as a donor to Ms Harman's defeated rival Hilary Benn.
According to the Mail on Sunday, Mr Ruddick, who is a builder, drives an old Transit van and lives in a former council house in Newcastle.
When he was contacted by the newspaper he initially told it he knew nothing about the donations - apart from a payment of £80,000 made in July.
He told the Mail on Sunday reporter: "I can't stand Labour. I can't stand any politicians."
Mr Abrahams has now told BBC News it was he who funded the donations by Mr Ruddick and Mrs Kidd.
He said he had been a Labour member for 40 years and had "gifted" money to "friends and colleagues" over the years to donate to the party.
Labour inquiry
He said he had not donated the money under his own name because he was "a very private person" who "did not seek publicity".
Gordon Brown needs to come clean quickly and explain what has been going on Chris Grayling, shadow work and pensions secretary
The Labour Party earlier confirmed that its General Secretary Peter Watt had been asked to look into the donations.The Labour Party earlier confirmed that its General Secretary Peter Watt had been asked to look into the donations.
"It is important that the Labour Party is beyond reproach in this matter," said a spokesman."It is important that the Labour Party is beyond reproach in this matter," said a spokesman.
"The general secretary has therefore been asked to investigate this issue and report his findings to the party's treasurer.""The general secretary has therefore been asked to investigate this issue and report his findings to the party's treasurer."
Commenting on the latest development, Conservative frontbencher Chris Grayling said: "This is all extremely mysterious. Commenting on the donations, Conservative frontbencher Chris Grayling said: "This is all extremely mysterious.
"It is bound to generate suspicions about what the Labour Party has been up to."It is bound to generate suspicions about what the Labour Party has been up to.
"Gordon Brown needs to come clean quickly and explain what has been going on.""Gordon Brown needs to come clean quickly and explain what has been going on."