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Ministers silent on honours probe Brown: Wait for facts on honours
(about 6 hours later)
Downing Street is remaining silent about allegations of a possible cover-up following the arrest of the party's chief fundraiser Lord Levy. Gordon Brown has urged people to wait until the "full facts" of the police cash-for-honours inquiry are known.
He was freed on bail after being held on suspicion of conspiracy to pervert the course of justice. The chancellor said it would be inappropriate to comment on Lord Levy's arrest while the inquiry continued.
Lord Levy was first arrested last year and Tony Blair has also been quizzed during the cash-for-honours inquiry. But asked if there had been some kind of "cover-up", he told the BBC: "I believe when people see the full facts then they will be satisfied."
On Tuesday Labour fundraiser Lord Levy was arrested on suspicion of conspiracy to pervert the course of justice.
Police are investigating whether money was donated to political parties in exchange for peerages - all those involved deny any wrongdoing.
Wrongdoing denied
Lord Levy was first arrested last July, in connection with alleged offences under the Honours (Prevention of Abuses) Act 1925 and Political Parties, Elections and Referendums Act 2000.
He was re-arrested when he answered bail on Tuesday, this time on suspicion of conspiracy to pervert the course of justice. He was not charged and was later freed on bail.
The peer, who is a close ally of the prime minister, said he completely denied any allegations of wrongdoing.The peer, who is a close ally of the prime minister, said he completely denied any allegations of wrongdoing.
Last week Downing Street denied allegations it had a hidden e-mail system from which messages were deleted after the cash-for-honours inquiry began.
Increasingly this sorry affair has the whiff of Watergate about it Ed Davey, Lib Dems Analysis: Probe widens? Lord Levy profileIncreasingly this sorry affair has the whiff of Watergate about it Ed Davey, Lib Dems Analysis: Probe widens? Lord Levy profile
Last week Downing Street denied allegations it had a hidden e-mail system from which messages were deleted after the cash-for-honours inquiry began.
But the BBC's political editor Nick Robinson said the police clearly believed they were not being given all the information they needed - even after searching government computers.But the BBC's political editor Nick Robinson said the police clearly believed they were not being given all the information they needed - even after searching government computers.
This could explain Lord Levy's latest arrest, he said.This could explain Lord Levy's latest arrest, he said.
Liberal Democrat chief of staff Edward Davey said the "sorry affair" had the "whiff of Watergate about it".Liberal Democrat chief of staff Edward Davey said the "sorry affair" had the "whiff of Watergate about it".
'Seismic' development
Conservative MP Nigel Evans said the arrest was a "seismic" development, adding: "It is important, we have to realise that the allegations are very serious indeed."Conservative MP Nigel Evans said the arrest was a "seismic" development, adding: "It is important, we have to realise that the allegations are very serious indeed."
Widening investigation Chancellor Gordon Brown was asked about the arrest in a BBC Scotland interview on Wednesday.
The Scotland Yard team, led by Deputy Assistant Commissioner John Yates, had been due to deliver its file of evidence to prosecutors by the end of this month. He said: "I don't think it's appropriate for me to comment on a police investigation, let the investigation take its course and let it be concluded and then people will see the results of it."
CASH-FOR-HONOURS ARRESTS April 2006 - Des Smith July 2006 - Lord LevySept 2006 - Sir Christopher EvansJan 2007 - Ruth TurnerJan 2007 - Lord LevyCASH-FOR-HONOURS ARRESTS April 2006 - Des Smith July 2006 - Lord LevySept 2006 - Sir Christopher EvansJan 2007 - Ruth TurnerJan 2007 - Lord Levy
Asked whether there had been some kind of cover up he said: "I think the police investigation has got to be completed then people will see the full facts and I believe when people see the full facts then they will be satisfied."
The Scotland Yard team, led by Deputy Assistant Commissioner John Yates, had been due to deliver its file of evidence to prosecutors by the end of this month.
But they warned that would no longer be possible after the arrest of the Ruth Turner, a senior adviser to the prime minister, earlier this month.But they warned that would no longer be possible after the arrest of the Ruth Turner, a senior adviser to the prime minister, earlier this month.
Several other members of Tony Blair's inner circle have been questioned by police.Several other members of Tony Blair's inner circle have been questioned by police.
The inquiry began after it emerged that a number of large secret loans had been made to the Labour Party before the 2005 general election, and that some of those lenders had subsequently been nominated for peerages.The inquiry began after it emerged that a number of large secret loans had been made to the Labour Party before the 2005 general election, and that some of those lenders had subsequently been nominated for peerages.
The investigation has since widened to cover the other main parties, with former Conservative leader Michael Howard being questioned. The investigation has since widened to cover the other main parties, with Mr Blair and former Conservative leader Michael Howard among those questioned.
No-one has been charged and all involved deny any wrongdoing.No-one has been charged and all involved deny any wrongdoing.