Corruption inquiry moves closer to No 10
The peerages for cash scandal appears to be moving ever closer to Downing Street with the news yesterday of the arrest of Des Smith, who resigned from the council of the Specialist Schools and Academies Trust (SSAT) in January after telling an undercover reporter that Downing Street would recommend donors "for an OBE, a CBE or a knighthood".
He was released on bail after a day of questioning by officers from Scotland Yard's specialist crime directive.
The arrest was the first since the inquiry began and suggests the investigation, under deputy assistant commissioner John Yates, is going wider than first thought. Until now Mr Smith has not been linked to the inquiry, which was launched following the revelation that four people nominated by the prime minister for peerages had also given loans to Labour.Mr Blair has not been interviewed by police and it is understood that so far neither Lord Levy nor any Downing Street officials have been questioned. No 10 would not comment last night, saying it was a matter for the police.
Mr Smith told an undercover Sunday Times reporter that for a donation of £10m "you could go to the House of Lords".
I'm sure most MP's weren't even aware that the law, on which these charges are being brought, even existed. It's certainly arcane.
Nevertheless, the damage done to Labour the longer and deeper this enquiry goes on, will be real.
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