Identifier
Created
Classification
Origin
06LONDON8361
2006-12-15 12:58:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy London
Cable title:  

(U) BLAIR INTERVIEWED BY POLICE IN "LOANS FOR

Tags:  PGOV PINR UK 
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VZCZCXYZ0002
OO RUEHWEB

DE RUEHLO #8361 3491258
ZNR UUUUU ZZH
O 151258Z DEC 06
FM AMEMBASSY LONDON
TO SECSTATE WASHDC IMMEDIATE 0962
UNCLAS LONDON 008361 

SIPDIS

SENSITIVE
SIPDIS

STATE FOR EUR/UBI, INR/EU

E.O. 12958: N/A
TAGS: PGOV PINR UK
SUBJECT: (U) BLAIR INTERVIEWED BY POLICE IN "LOANS FOR
PEERAGES" AFFAIR

REF: LONDON 8143

UNCLAS LONDON 008361

SIPDIS

SENSITIVE
SIPDIS

STATE FOR EUR/UBI, INR/EU

E.O. 12958: N/A
TAGS: PGOV PINR UK
SUBJECT: (U) BLAIR INTERVIEWED BY POLICE IN "LOANS FOR
PEERAGES" AFFAIR

REF: LONDON 8143


1. (SBU) SUMMARY: PM Blair was interviewed by the Police
December 14 as part of the investigation into the so-called
"loans for peerages" or "cash for honors" affair (reftel).
This had been widely expected - indeed it was all but
inevitable given Blair's personal involvement both in
approving loans to the Labour Party and in selecting nominees
for peerages and honors. The interview was not conducted
under caution, let alone arrest; i.e., the Prime Minister was
not being treated as a suspect. Some 90 individuals,
including from all three major political parties, have been
interviewed, among them Michael Howard, who was the leader of
the opposition Conservative Party at the time of the events
under scrutiny. Nonetheless, the media and Blair's opponents
are playing up the fact that he is the first sitting Prime
Minister to be interviewed by the Police in a criminal
investigation. END SUMMARY.


2. (SBU) Prime Minister Tony Blair was interviewed by the
Metropolitan Police December 14 in his study at Number 10
Downing Street. The meeting lasted nearly two hours. Blair
was not placed under caution, let alone under arrest - i.e.
the Police were not treating him as a suspect. He was not
accompanied by an attorney, but a civil servant was present
as notetaker. According to the newsmedia, the Prime Minister
stressed to the Police that the four lenders to the Labour
Party who were subsequently nominated for peerages were put
forward as party nominees, not Government nominees - in other
words, they were being recognized for their services to the
party, not the nation, and it would be absurd to hold it
against them that they had contributed money to the party.


3. (SBU) There had been reports that the PM was trying to
avoid having the Police come to Downing Street, but as it
turned out, the potential embarrassment was mitigated by the
discretion of the Police visit, the fact that Blair flew off
to Brussels later the same day, and the release of the
long-awaited official report into the death of Diana,
Princess of Wales. Another major announcement made the same
day helped to deflect attention further: HMG's decision to
cancel the investigation into corruption in multi-billion
Pound arms sales to Saudi Arabia. Even so, Blair's critics
are playing up the fact that he is the first sitting Prime
Minister to be interviewed by the Police in a criminal
investigation. In fact, it is hard to see how this
investigation could be considered thorough if it failed to
include Blair, given his personal involvement both in
approving loans to the Labour Party and in selecting nominees
for peerages and honors.


4. (SBU) Some 90 people have been interviewed in the "loans
for peerages" investigation: at least 36 from the Labour
Party, 29 from the Conservative Party, four from the Liberal
Democrats, and 22 "non-party" figures. Michael Howard,
leader of the opposition Conservative Party at the time of
the events under scrutiny (around the 2005 general election),
is known to be among those interviewed. Several of the
interviews occurred under caution, and three individuals were
briefly arrested at various times, but no charges have been
filed. The officer heading the investigation has said he
hopes to complete work and submit a report to the Crown
Prosecution Service (CPS) in January, provided he receives
all necessary cooperation. It will be up to the CPS to make
a recommendation as to whether the Attorney General -- who
made the decision not to pursue the allegations of corruption
in BAE's dealings with the Saudi government -- makes the
final decision on whether a prosecution should go forward.
He has said he would seek independent advice in this case.


5. (SBU) At this point it is not at all clear that anyone
from any party broke the law in this affair. But persistent
media coverage has already overturned early expectations that
the "loans for peerages" affair would peter out quickly.

Visit London's Classified Website:
http://www.state.sgov.gov/p/eur/london/index. cfm
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