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Third 'cash for honours' arrest Third 'cash for honours' arrest
(about 1 hour later)
A third man has been arrested over "cash for honours" allegations, and police have re-interviewed Labour's chief fundraiser Lord Levy.A third man has been arrested over "cash for honours" allegations, and police have re-interviewed Labour's chief fundraiser Lord Levy.
Lord Levy, who denies any wrongdoing, was questioned for a second time at a London police station, and bailed.Lord Levy, who denies any wrongdoing, was questioned for a second time at a London police station, and bailed.
He was initially arrested on 12 July and interviewed by officers from Scotland Yard and later bailed.He was initially arrested on 12 July and interviewed by officers from Scotland Yard and later bailed.
The identity of the third man is not yet known, but it is not understood to be anyone from Downing Street.The identity of the third man is not yet known, but it is not understood to be anyone from Downing Street.
Lord Levy, who was bailed again to return at a later date, has raised millions for Labour. Lord Levy has raised millions for Labour.
His spokesman said only: "Lord Levy returned as requested to meet the police today to help them with their ongoing investigation."His spokesman said only: "Lord Levy returned as requested to meet the police today to help them with their ongoing investigation."
When he was first arrested there were calls him to be sacked from his role as Mr Blair's personal representative in the Middle East, despite not having been charged with any offence in relation to the probe. Low profile Levy
When he was first arrested there were calls for him to be sacked from his role as Mr Blair's personal representative in the Middle East, despite not having been charged with any offence.
And there had been widespread speculation that the prime minister himself may face questioning.And there had been widespread speculation that the prime minister himself may face questioning.
Police are probing claims that Labour-supporting millionaires were nominated for peerages in return for making large loans to the party in the run-up to the 2005 General Election.Police are probing claims that Labour-supporting millionaires were nominated for peerages in return for making large loans to the party in the run-up to the 2005 General Election.
Lord Levy had been maintaining a low profile following his arrest, but appeared to resume his duties in August when he met Israeli government ministers.Lord Levy had been maintaining a low profile following his arrest, but appeared to resume his duties in August when he met Israeli government ministers.
And he accompanied Mr Blair on his visit to the Middle East earlier this month.And he accompanied Mr Blair on his visit to the Middle East earlier this month.
First arrest
Lord Levy was the second person to be arrested in connection with the inquiry.
Head teacher Des Smith, who was arrested and bailed in April, was the first.
Mr Smith was on the council of the Specialist Schools and Academies Trust (SSAT), which helped find sponsorship for city academies.
He resigned from the trust after allegedly telling an undercover Sunday Times reporter it was typical for people who made donations to the project to get an honour.
The trust, which was set up in September 2005, helps the government recruit education sponsors and its president is Lord Levy.