Fri, Dec 15, 2006 - Page 7 News List

Blair questioned in honors probe

AGENCIES , LONDON

British Prime Minister Tony Blair was questioned yesterday by police investigating allegations that peerages and other honors were bestowed in return for political contributions, Blair's office said

"The prime minister talked to the police today in Downing Street. This was not under caution, nor was he accompanied by a lawyer," Blair's spokesman said.

The fact that Blair was quizzed without having received a police caution about his rights means he was questioned as a witness and not as a possible suspect.

Police have been investigating claims that all three major political parties awarded seats in the House of Lords and other honors in return for secret loans. Several senior Labour Party figures have already been questioned by police, including former science minister Lord Sainsbury and Blair's Middle East envoy, Lord Levy.

Campaign funding rules allow those who offer loans -- but not donations -- to remain anonymous. The Labour Party has said it accepted, but did not disclose, loans of almost ?14 million (US$25 million) from 12 supporters. The Conservative and Liberal Democrat parties have acknowledged they have also received secret loans.

The police probe was launched after the Scottish National Party (SNP) alleged Blair had nominated wealthy businessmen for seats in the House of Lords, in exchange for loans to his Labour Party.

Blair's spokesman said the prime minister had spoken to the police for one-and-a-half to two hours.

The police want to know if ministers were aware that four rich businessmen who helped bankroll Labour's election campaign last year had been nominated by Blair for seats in the House of Lords.

A 1925 law makes it illegal to sell state honors.

Blair has said he knew about undeclared loans from a string of wealthy businessmen who were later nominated for seats in the House of Lords, known as peerages, but he has denied any link.

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