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Donor was 'unaware of illegality' Brown faces new donor questions
(about 2 hours later)
The man at the centre of the Labour donations row has said he had not realised that his actions were illegal. Gordon Brown faces fresh questions over the Labour donation row after the man at its heart said he had received a letter from Labour's chief fundraiser.
Property developer David Abrahams gave more than £600,000 to Labour which was not declared and given via middlemen. Property developer David Abrahams gave £657,000 under other people's names - which is now known to be unlawful.
Mr Abrahams told BBC's Newsnight he did not know "until the weekend" that he must declare donations, adding he would have acted differently if he knew. Mr Abrahams, who says he did not know he was breaking any laws, said he took the letter from Jon Mendelson as an invitation to donate more money.
He also said he had backed Hilary Benn's bid to be Labour deputy leader and personally handed him a cheque. The Tories say Mr Mendelson "must go" if he knew the donations' true source.
The property developer said he could not remember the circumstances that led to an associate backing Harriet Harman with a £5,000 donation in the same election. It suggests knowledge of the unlawful donations may go much wider in Labour than implied when general secretary Peter Watt quit on Monday saying he had known about them but had not realised they broke any laws.
He admitted using intermediaries to make donations, but said he behaved in this way to avoid publicity.
DONORS Ray Ruddick - £196,850Janet Kidd - £185,000 since 2003John McCarthy - £257,125 since 2004Janet Dunn - £25,000Source: Electoral Commission Analysis: Fighting fires Q&A: Donations row Profile: David AbrahamsDONORS Ray Ruddick - £196,850Janet Kidd - £185,000 since 2003John McCarthy - £257,125 since 2004Janet Dunn - £25,000Source: Electoral Commission Analysis: Fighting fires Q&A: Donations row Profile: David Abrahams
Mr Abrahams also revealed that, on Tuesday, he received a letter from the party's chief fundraiser calling him one of Labour's "strongest supporters". Mr Abrahams told the BBC he received a letter from the party's chief fundraiser on Tuesday calling him one of Labour's "strongest supporters".
According to Mr Abrahams, the letter read: "At some point I would like to have the opportunity to talk with you personally about what we are doing and our plans between now and the next general election.According to Mr Abrahams, the letter read: "At some point I would like to have the opportunity to talk with you personally about what we are doing and our plans between now and the next general election.
"I know your diary is very busy, but as one of the party's strongest supporters it is only right that you are kept informed with what we are doing and the priorities that we are assigning to our resources.""I know your diary is very busy, but as one of the party's strongest supporters it is only right that you are kept informed with what we are doing and the priorities that we are assigning to our resources."
However, the property developer said he did not know how many people within the party knew of his donations.However, the property developer said he did not know how many people within the party knew of his donations.
Under the law, those making donations on behalf of others must give details of who is providing the money.Under the law, those making donations on behalf of others must give details of who is providing the money.
'For some years'
Mr Abrahams also told the BBC: "Until the weekend I didn't know it was illegal for a person who hadn't personally donated to have to declare his hand to the Electoral Commission, otherwise I most certainly wouldn't have contributed in this way."Mr Abrahams also told the BBC: "Until the weekend I didn't know it was illegal for a person who hadn't personally donated to have to declare his hand to the Electoral Commission, otherwise I most certainly wouldn't have contributed in this way."
Gordon Brown has said the donations were "completely unacceptable" and would be repaid. On Tuesday it emerged he had used a fourth person's name to give money. When questioned by reporters afterwards Janet Dunn said she had known nothing about it - adding that she was a Conservative supporter.
Gordon Brown, who faces his weekly grilling at prime minister's questions, has said the donations were "completely unacceptable" and would be repaid.
Mr Brown said the money was not lawfully declaredMr Brown said the money was not lawfully declared
Harriet Harman has also pledged to return £5,000 she received "in good faith" for her deputy leadership bid.
Labour's general secretary Peter Watt resigned on Monday after it emerged that Mr Abrahams donated the money to the party over four years, under three associates' names - Janet Kidd, Ray Ruddick and John McCarthy.
It has emerged that a fourth donor was also used. Janet Dunn, the wife of one of Mr Abrahams' employees, donated £25,000 to the Labour Party in January 2003.
But, when questioned, she said she was a Conservative supporter and "knew nothing about it".
Mr Brown said it appeared to have been a practice which had been going on "for some years" - but he was first told about it on Saturday evening.Mr Brown said it appeared to have been a practice which had been going on "for some years" - but he was first told about it on Saturday evening.
Once the facts were established, Mr Watt's resignation was "a necessary first step" but the party would also return the money.Once the facts were established, Mr Watt's resignation was "a necessary first step" but the party would also return the money.
Mr Brown said he had appointed the retired judge Lord McCluskey and the former Bishop of Oxford, Lord Harries, to advise on the changes that needed to be made in relation to donations.Mr Brown said he had appointed the retired judge Lord McCluskey and the former Bishop of Oxford, Lord Harries, to advise on the changes that needed to be made in relation to donations.
The Electoral Commission is investigating whether the donations breached the Political Parties and Referendums Act 2000 and has confirmed it has been "in touch" with the Crown Prosecution Service.The Electoral Commission is investigating whether the donations breached the Political Parties and Referendums Act 2000 and has confirmed it has been "in touch" with the Crown Prosecution Service.
Who gave what?Who gave what?
During the election campaign to determine who would succeed John Prescott as Labour's deputy leader, money was offered to Hilary Benn and Harriet Harman's campaigns, in Janet Kidd's name.During the election campaign to determine who would succeed John Prescott as Labour's deputy leader, money was offered to Hilary Benn and Harriet Harman's campaigns, in Janet Kidd's name.
Ms Harman accepted it but Mr Benn's team turned it down because he was told it was on behalf of Mr Abrahams. He later accepted it when it was donated in Mr Abrahams' name.Ms Harman accepted it but Mr Benn's team turned it down because he was told it was on behalf of Mr Abrahams. He later accepted it when it was donated in Mr Abrahams' name.
Ms Harman said she had no reason to think the money came from Mr Abrahams and she had accepted Mrs Kidd as a "pre-existing Labour donor". Ms Harman, whose husband is the Labour Party's treasurer, said she had no reason to think the money came from Mr Abrahams and she had accepted Mrs Kidd as a "pre-existing Labour donor".
The Conservatives have challenged her to answer a series of questions, including why the £5,000 donation was given to Ms Harman two weeks after she was elected deputy leader, rather than during the campaign.

WHO GAVE WHAT WHEN

UNDER GENERAL SECRETARY DAVID TRIESMAN Janet Dunn 31 January 2003 £25,000 Janet Kidd 06 May 2003 £25,000 Ray Ruddick 18 August 2003 £25,000 UNDER GENERAL SECRETARY MATT CARTER John McCarthy 12 January 2004 £15,000 Janet Kidd 01 April 2004 £10,000 Janet Kidd 27 October 2004 £2,000 John McCarthy 05 February 2005 £25,000 John McCarthy 01 June 2005 £25,000 UNDER GENERAL SECRETARY PETER WATT John McCarthy 22 December 2005 £52,125 Janet Kidd 23 December 2005 £30,000 Ray Ruddick 23 December 2005 £17,850 John McCarthy 21 April 2006 £50,000 Ray Ruddick 24 May 2006 £50,000 John McCarthy 28 June 2007 £35,000 Janet Kidd 29 June 2007 £38,000 Ray Ruddick 29 June 2007 £24,000 Janet Kidd 10 July 2007 £80,000 Ray Ruddick 10 July 2007 £80,000   Total £608,975.00 Source: Electoral Commission

WHO GAVE WHAT WHEN

UNDER GENERAL SECRETARY DAVID TRIESMAN Janet Dunn 31 January 2003 £25,000 Janet Kidd 06 May 2003 £25,000 Ray Ruddick 18 August 2003 £25,000 UNDER GENERAL SECRETARY MATT CARTER John McCarthy 12 January 2004 £15,000 Janet Kidd 01 April 2004 £10,000 Janet Kidd 27 October 2004 £2,000 John McCarthy 05 February 2005 £25,000 John McCarthy 01 June 2005 £25,000 UNDER GENERAL SECRETARY PETER WATT John McCarthy 22 December 2005 £52,125 Janet Kidd 23 December 2005 £30,000 Ray Ruddick 23 December 2005 £17,850 John McCarthy 21 April 2006 £50,000 Ray Ruddick 24 May 2006 £50,000 John McCarthy 28 June 2007 £35,000 Janet Kidd 29 June 2007 £38,000 Ray Ruddick 29 June 2007 £24,000 Janet Kidd 10 July 2007 £80,000 Ray Ruddick 10 July 2007 £80,000   Total £608,975.00 Source: Electoral Commission