Tories mired in funding row as new backer is revealed

David Cameron's honeymoon period with the British public appears to be well and truly over. The most recent Tory leader, who was anxious to reveal the new, kinder face of fascism has run into trouble over what initially appeared to be a problem for the Labour Party.

It was revealed last week, as I reported here, that the Labour Party had received some £14 million in "loans". This was a rather sleazy arrangement as, under current government guidelines, only donations to political parties have to be declared. Loans, apparently, slip under the net.

However, it now turns out the Tories have been "lent" approximately double the amount that's been given to the Labour Party. And, more worrying for Cameron, some of it appears to come from overseas.

Margaret Beckett, the Environment Secretary, has written to Cameron calling on him to name all the lenders. It is illegal for parties to receive donations from foreign individuals ineligible to vote here and, while there is no law stopping foreigners lending, if the loans were given on a non-commercial or preferential basis they could be classed as donations.

Now, I'm sure they're going to argue that donations from overseas are outlawed but that the law mentions nothing about "loans from overseas", and it may help them to wriggle off this particular hook. But it's pedantic nitpicking.

The whole thing stinks.

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UPDATE

This story has just got even worse for Cameron. The Times are reporting that:

THE Tories under David Cameron have accepted £100,000 from the wife of a foreign arms dealer barred from making political donations in Britain.

Wafic Said, a Syrian-born Saudi, and his British wife Rosemary are accused of exploiting a loophole in the rules to fund the Tories, who are under increasing pressure to reveal their financial backers.

Click here for that story.