PM urges Osborne donation investigation

George Osborne faces fresh accusations he discussed possibility of donation from Russian billionaire Oleg Deripaska
George Osborne faces fresh accusations he discussed possibility of donation from Russian billionaire Oleg Deripaska
 

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Gordon Brown has called on the relevant authorities to investigate accusations George Osborne discussed a potential donation from Russian billionaire Oleg Deripaska.

Earlier today the shadow chancellor came under fresh attack when his university friend Nathaniel Rothschild named a new witness to the discussions, which Mr Osborne denies he participated in.

Speaking during prime minister's questions, Mr Brown said: "This is a very serious matter indeed and I hope it is investigated by the authorities."

The new front opened just hours after Mr Osborne released a full account of his dealings with Mr Deripaska.

Mr Rothschild said James Goodwin, a guest at his Corfu villa, was present during conversations between him, Mr Osborne and Andrew Feldman, Tory chief executive, about the donations, which then continued once the men boarded Mr Deripaska's boat.

The donations would have been contributed through Mr Deripaska's British company Leyland Daf.

It is legal for a British company with an international owner to donate money to a British political party, but not if the company is being used a cover for the owner's donations.

In practise, it's extremely difficult to show this causal chain, but with discussions raised on the owner's actual yacht, it would be difficult for Mr Osborne to get through the ensuing coverage with his reputation intact.

Mr Goodwin is strongly connected to the rich, powerful circles that characterise the controversy. He is a former adviser to US president Bill Clinton and prospective non-executive director of Rusal, Mr Deripaska's aluminium company.

The Tories have already denied the new allegations.

David Cameron told reporters last night: "It was the right judgment not to ask for any money, it was the right judgment for the Conservative party not to take any money and it was the right judgment today to come out and explain very clearly all the conversations that took place."

But senior Tories are ill-at-ease over the controversy, which has highlighted serious questions over the shadow chancellor's judgement and once again associated the Tory brand with hints of sleaze.


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