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Labour demands urgent investigation into ‘quagmire of sleaze’ engulfing the Tories

LABOUR demanded urgent investigations into the “quagmire of sleaze” engulfing the Tories today.

The party accused the Conservatives of “taking the public for fools” following reports that BBC chairman Richard Sharpe helped scandal-hit former PM Boris Johnson secure a loan guarantee, weeks before the then-Tory leader recommended him for the role.

The Sunday Times allegations came as Tory Party chairman Nadhim Zahawi faced growing pressure to come clean over claims he dodged tax and had to pay it back as part of a seven-figure settlement with HM Revenue & Customs.

Foreign Secretary James Cleverly was forced into a desperate defence of his Cabinet colleague today, arguing the tax affairs of the ex-chancellor, who denies tax avoidance, are “private matters.”

But Labour Party chairwoman Anneliese Dodds said: “James Cleverly’s excuses and refusal to answer questions over Nadhim Zahawi’s tax affairs and Boris Johnson’s murky deals shows the Conservatives are taking the public for fools.

“Instead of making excuses, the Foreign Secretary should have been explaining why his Cabinet colleague appears to have failed to declare £27 million in taxes at a time when he was in charge of the tax system.”

Ms Dodds, who accused the Tories of “defending the indefensible,” is leading opposition calls for an independent investigation and the publication of Mr Zahawi’s HMRC-related correspondence. 

The Oxford East MP also reported Mr Johnson to Parliamentary commissioner for standards Daniel Greenberg today, demanding an “urgent investigation” into the latest sleaze allegations to hit the disgraced politician. 

The then former foreign secretary was reported to be in financial difficulty in late 2020, when multimillionaire Canadian businessman Sam Blyth — a distant cousin of Mr Johnson — raised with Mr Sharp the idea of acting as the Uxbridge and South Ruislip MP’s guarantor for a £800,000 credit facility.

According to the Sunday Times, Mr Sharp, at the time a Tory donor who was applying to be BBC chairman, contacted then-Civil Service head Simon Case, who instigated a due diligence process.

The Cabinet Office allegedly later wrote to Mr Johnson, telling him to stop seeking the ex-banker’s financial advice, given the forthcoming BBC appointment.

Responding to the allegations, Mr Sharp claimed he had “simply connected” people and there was no conflict of interest, while a spokesman for the former PM denied receiving financial advice from his friend. 

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