Recently in Lord Levy Category

The Times reports the arrest of the former City Academies advisor Des Smith:

The Times
April 14, 2006

Tycoons face police on cash for honours
By Andrew Pierce, Rajeev Syal and Rosemary Bennett

  • Head teacher arrested over city academies
  • 12 millionaires face questions

    MILLIONAIRE businessmen who secretly lent money to the Labour Party have been warned that they will be questioned by Scotland Yard in the criminal investigation into allegations of peerages for sale.

    The Times has learnt that 12 businessmen, including four whose peerage nominations were blocked by the House of Lords Appointment Commission, have been told by Labour to expect the police to approach them after Easter.

    The revelation comes after detectives yesterday arrested Des Smith, 60, a head teacher and former adviser to the Specialist Schools and Academies Trust (SSAT), which recruits sponsors for the city academies, specialist schools partly funded by the private sector.

    Mr Smith resigned after being taped by an undercover reporter apparently promising potential donors OBEs, knighthoods or peerages in return for funding an academy.

    [...]

  • Thw original Sunday Times story of 15th January 2006 "Revealed: cash for honours scandal" which led to Des Smith's resignation from the Specialist Schools and Academies Trust

    Other bloggers such as Guido Fawkes have made the obvious link with Lord Levy, the NuLabour fundraiser, who was the chairman of this Trust..

    However, we seem to remember that the Downing Street Special Advisor who was the architect of the City Academies scheme was Andrew Adonis.

    Asttonishingly, immediately after the May 2005 General Election he was enobled by Tony Blair and made Lord Adonis into the Parliamentary Under-Secretary of State for Schools: whose Ministerial duties include "Delivery of the Academies programme".

    Surely Lord Adonis must have been involved in this City Academies funding and honours / peerages scandal ?

    Will the police also be interviewing Lord Adonis ?

    Journalist David Ostler has posted a chapter of his 2002 book "Labour Party Plc: New Labour as a Party of Business" with some interesting details of how the NuLabour fundraiser Michael Levy operated, the dubious blind trusts etc. which led to the current legislation on Party Political Donations. Rremember the previous Labour donor funding scandal involving tobacco sponsorship and Formula 1 racing supremo Bernie Ecclestone's £1 million donation which had to be refunded ?

    These blind trusts apparently funded Tony Blair's private office, including spin doctor Alistair Campbell and Jonathan Powell, the chief of staff., whilsy Labour was in opposition.

    Given how long Lord Levy has been raising funds for the Labour party. it doe seem strange that Jack Dromey the official Labour party Treasurer and husband of Cabinet Minister in charge of Constitutional Affairs Harriet Harman kept in the dark about the £ 14 million of "loans". Especially since Harriet Harman's portfolio of responsiblities included Electoral Law and reforms, including those dealing with political party funding.

    As he says, David Ostler hardly got any media attention when his book came out in September 2002, but on the basis of this chapter entitlef "Taking it on trust", it looks to be required background reading for people who are interested in the current "loans" scandal.:

    The chapter is split into part one, and, apparently due to a post length limition in Blogger, also a part two which contains references to sources.

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