The Live Wire

UKIP faces funding scandal

Bookmark and Share

Member News

25th February 2007

The UK Independence Party has been hit by more allegations over the misuse of funds.

The eurosceptic party's finances came under scrutiny last week, when the Electoral Commission said it must repay £367,697 given by donor Alan Brown.

Brown was not on the electoral register when he made the donation. The watchdog has also launching an inquiry into UKIP's finances.

The Sunday Telegraph reported that a former secretary of the party, Tony Scholefield, is one of a group of senior figures calling for an investigation into allegations that allowances paid by the European Parliament have been spent on activities in the UK.

He suggests that money intended to support the work of the party's 10 MEPs could be funding areas including its press office and website.

The paper reports that a written complaint has been sent by another UKIP official to the Electoral Commission.

The Sunday Times focuses on the actions of UKIP MEP Tom Wise. It reports he is being investigated by European anti-fraud watchdog Olaf for allegedly channelling £39,100 of public funds into his personal account.

The paper said he pretended that his own bank account was that of his researcher Lindsay Jenkins.

MEPs' assistants

From November 2004 to October 2005 he claimed £39,100 from the fund set aside for MEPs' assistants, and paid Jenkins just £13,555.

It also reports some of the £13,555 paid to Jenkins was for work done on behalf of other party members, including UKIP leader Nigel Farage.

And it said the party was flouting the spirit of EU rules banning party workers being paid with public funds.

UKIP has been paying its regional organisers by designating them advisers and assistants to its MEPs, allowing them to draw salaries of up to £40,000 a year, it said.

The paper said former official Denis Brookes, who is making a claim for unfair dismissal, stated he was being paid to do one job while employed doing another.

Current allegations follow reports earlier this month that more than £1m given to UKIP was not recorded in the Electoral Commission's register.

The party filed its most recent accounts more than six months late.

The Sunday Times quotes an email sent last April by Andrew Smith, the party's then treasurer, to senior members.

He wrote: "We need to give the Electoral Commission every reason to believe we are serious about compliance, in order to provide the next party treasurer with a good story to tell when we next fail to meet the statutory requirements."

On Friday Farage, who was elected leader last year, said he felt "that a deliberate attempt is being made by the authorities to put us out of business".

Bookmark and Share





More from Dods