Adviser protests 'cash for peerage' innocence
Adviser protests 'cash for peerage' innocence
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Tuesday, 18, Apr 2006 01:07
A former adviser to the government's flagship city academy scheme has today "categorically" denied any wrongdoing in relation to an ongoing police probe into 'cash for peerages' allegations.
Des Smith, a former council member of the Specialist Schools and Academies Trust (SSAT), was arrested at his home in north-east London last Friday on suspicion of breaching the Honours (Prevention of Abuses) Act, 1925.
He was released on bail on Friday after being questioned by police at a London police station but until today had refused media requests for a public statement regarding his arrest.
However, in a brief statement issued this morning, his solicitor, Peter Black, stressed his client's innocence and his determination to fight "vigorously" to clear his name.
"We have advised our client that in the light of the police investigation it would be quite inappropriate for him to make any statement at the present time, other than to state that he categorically denies the allegations and will be contesting them vigorously," Mr Black said.
"We would ask that the press respect our client's and his family's privacy and any further statements will be released through these offices."
The Met's investigation into the alleged sale of peerages was launched after it received three complaints pertaining to alleged breaches of the act last month.
Angus MacNeil, a Scottish National party (SNP) MP, Elfyn Llwyd, the Plaid Cymru leader, and another unnamed person brought the issue to the police's attention.
The furore surfaced after it emerged that a number of businessmen who had loaned the Labour party money to help fund last year's election campaign had subsequently been nominated for peerages.
Since the allegations emerged last month, both Labour and the Conservatives have revealed the identity of businessmen and women who loaned the parties money in the run-up to last year's general election.
Labour said that it had revealed almost £14 million in commercial loans from individuals during the election campaign, while the Conservatives declared at least £20 million in loans.
Both parties have strenuously denied any wrongdoing with regard to the loans, or their process of nominating peerages.
However, in a conversation with an undercover Sunday Times reporter earlier this year, Mr Smith alleged that the government had told potential city academy donors that it would recommend them for an honour in return for academy funding. Mr Smith later retracted this claim.
The Honours Act was introduced in 1925 after it emerged that the then Liberal prime minister, David Lloyd George, had been selling peerages to party donors.
Under the Act, anyone found to have sold noble titles or accepted them for cash could face a prison term.