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Labour checks Alexander donation Labour checks Alexander donation
(about 1 hour later)
The row over Labour Party funding has drawn in the party's Scottish leader Wendy Alexander.The row over Labour Party funding has drawn in the party's Scottish leader Wendy Alexander.
Ms Alexander is checking the source of a donation to her successful campaign to win the leadership in Scotland.Ms Alexander is checking the source of a donation to her successful campaign to win the leadership in Scotland.
A party spokesman in Scotland stressed that Ms Alexander's campaign had acted in good faith at all times. A spokesman said Ms Alexander's team had acted in good faith but the SNP said Labour "sleaze" had come north.
It comes after revelations that a property developer gave £650,000 to the UK Labour party through intermediaries, which may breach electoral law.It comes after revelations that a property developer gave £650,000 to the UK Labour party through intermediaries, which may breach electoral law.
David Abrahams gave Labour the money over four years under other people's names.David Abrahams gave Labour the money over four years under other people's names.
Party checks The Electoral Commission has been kept appraised Tom McCabeMs Alexander's campaign manager
Prime Minister Gordon Brown has described the situation as unlawful and "completely unacceptable".Prime Minister Gordon Brown has described the situation as unlawful and "completely unacceptable".
In Scotland, Ms Alexander's team solicited a donation of less than £1,000 from Paul Green who is based in the Channel Islands.In Scotland, Ms Alexander's team solicited a donation of less than £1,000 from Paul Green who is based in the Channel Islands.
They were assured that the donation was from a UK-registered company.They were assured that the donation was from a UK-registered company.
Now, following media inquiries, the admissibility of the donation is being checked and the party is liaising with the Electoral Commission.Now, following media inquiries, the admissibility of the donation is being checked and the party is liaising with the Electoral Commission.
In a statement, Ms Alexander's campaign manager Tom McCabe denied suggestions that a donation had been accepted and then returned.In a statement, Ms Alexander's campaign manager Tom McCabe denied suggestions that a donation had been accepted and then returned.
Mr McCabe said they had acted in good faith at all times. Labour's funding sleaze has now moved across the border, right into the heart of the Labour leadership SNP spokesperson
Mr McCabe said: "Paul Green was invited by one of thecampaign team to make a donation as a long-standing Labour supporter."
A donation was later received and Mr McCabe said: "The registered donation was a UK corporate one.
"The allegation that a donation was accepted and returned is untrue.
"We acted in good faith at every stage. The Electoral Commission has been kept appraised."
The SNP called on Ms Alexander to make public everything she knew about the affair.
A spokesperson said: "The row over Labour's funding sleaze has now moved across the border, right into the heart of the Labour leadership in Scotland.
"It is essential that Wendy Alexander discloses all the relevant facts about this matter."
Ms Alexander became the leader of the Scottish Labour Party in September after the party failed to hold onto power in May's Scottish Parliament elections.Ms Alexander became the leader of the Scottish Labour Party in September after the party failed to hold onto power in May's Scottish Parliament elections.
Earlier on Wednesday, Mr Brown's competence as PM came under fire during heated Commons exchanges.Earlier on Wednesday, Mr Brown's competence as PM came under fire during heated Commons exchanges.
The prime minister said he had acted immediately to set up two inquiries into Mr Abrahams' donations and said: "All of us on all sides of this House have an interest in integrity in funding to political parties."The prime minister said he had acted immediately to set up two inquiries into Mr Abrahams' donations and said: "All of us on all sides of this House have an interest in integrity in funding to political parties."