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The BBC's Carole Walker
"The editor of The Times said it was an astonishing outburst to distract from their story"
 real 28k

The Times' Peter Stothard
"We got the information in the absolutely normal way"
 real 28k

The BBC's Carole Walker
"This whole affair appears to be dirty tricks"
 real 28k

Wednesday, 24 November, 1999, 10:45 GMT
Tories in 'foreign donation' storm
Michael Ashcroft is the party's largest donor

The Conservative Party has called in the police to investigate the alleged hacking of its private bank accounts amid revelations about massive donations from the party's treasurer, Michael Ashcroft.

The party denied wrongdoing over the £1m-a-year fund, channelled through the Belize Bank Trust. It argued details in The Times proved that its Royal Bank of Scotland accounts had been seen.

Tory Party Chairman Michael Ancram claimed a "dirty tricks" campaign existed against Mr Ashcroft and the Conservative Party.

Although the existence of the donations had already been widely reported, Mr Ancram said that the new details about how the money had been transferred must have been obtained illegally.

Peter Stothard: Tories have broken their own rules on foreign donations
"The information published by The Times could only have been obtained from our confidential bank statements," he said.

"I am pretty clear in my own mind that can only have been accessed illegally."

The Times says the donations would be in breach of proposed new rules on the overseas funding of parties and flout a 1997 pledge from leader William Hague to outlaw foreign donations.

The newspaper - which was already being sued for libel by Mr Ashcroft - has also denied any wrongdoing.

Editor Peter Stothard said: "This information came in the normal course of our inquiries. We did nothing illegal to acquire it."

Data Protection Registrar Elizabeth France said she had not yet received a complaint asking her to investigate.

"From what I have heard so far it is very difficult to establish whether there has been any offence at all or even any evidence that would give a lead to an investigation," she said.

But the Conservatives, already battered by the Lord Archer controversy, say all Mr Ashcroft's donations were made in full accordance with party guidelines.

Mr Ashcroft is a billionaire who holds dual UK and Belize citizenship, who lives for many months a year as in Central America. A spokesman for the treasurer on Wednesday said he was registered in Maidenhead as an overseas voter.


There is a climate of fear being created in Britain today. Dissidents are being silenced. Opponents are being smeared
Michael Ancram, Conservative Party Chairman
The Conservatives say he is entitled to give money to his party, even though the donations are made via a Belize bank account.

Mr Ancram said the real story was the "politically-motivated conspiracy" which led to the allegations.

"This appears to be but the latest of a series of dirty tricks being perpetrated by those who will stop at nothing in order to keep this government in power," he said in an initial statement.

"There is a climate of fear being created in Britain today. Dissidents are being silenced. Opponents are being smeared.

"Now private bank accounts are hacked into in order to discredit and destroy anyone who stands in the way of this government's lust for power."

Mr Aschroft lives in tax exile in Belize
The Times editor described the Conservative claim as an "extraordinary outburst" to distract from the newspaper's story.

Labour challenged the Tories to provide evidence before insinuating any involvement in the episode by the party.

Cabinet Office minister Ian McCartney said: "The Tory's A-Team - Archer, Aitken and Ashcroft - show the true face of today's Tories. One's in the doghouse, one's in the jailhouse and one's in the counting house."

The latest storm follows a long-running row about party funding in general and particularly donations from Mr Ashcroft, the Conservative's biggest single donor.


William Hague cannot be trusted to put his own house in order
Cabinet Office Minister Ian McCartney
Lord Neill's Committee on Standards in Public Life earlier this year recommended a ban on all overseas funding of political parties.

Legislation outlawing foreign trust donations is expected to be approved by Parliament within the coming year.

In July, Mr Ashcroft issued a libel writ against The Times, over a series of allegations about his business interests which were also raised in the House of Commons.

The move came after one Labour MP used parliamentary privilege - which allows MPs to make statements without fear of libel proceedings - to detail allegations apparently from US agencies' files.

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See also:
16 Jul 99 |  UK Politics
Ashcroft: The Tories' troublesome tycoon
24 Nov 99 |  UK Politics
The rules on foreign cash
27 Jul 99 |  UK Politics
Political donations shake-up
29 Sep 99 |  UK Politics
Increase in Tory donors
21 Jul 99 |  UK Politics
Ashcroft row explodes in Parliament
13 Jul 99 |  UK Politics
Tories defend party treasurer
17 Jul 99 |  UK Politics
Ashcroft denies drug trafficking claims

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