Tory Peer Found Guilty OF Expense Fraud

Ex Tory Peer Re-Arrested On Suspicion Of Fraud

Tory peer Lord Hanningfield has been found guilty of six counts of false accounting, relating to House of Lords expense claims.

The 70-year-old had denied the charges during a two-week trial at Chelmsford Crown court.

He told the jury he was "horrified" to be facing prosecution for false accounting.

He admitted that he paid very little attention to the House of Lords expense claim forms, spending around a minute every month filling them in.

The former pig farmer explained he "quite honestly assumed" that it was common practice in the House to be claiming full expenses.

Asked for his reaction after the verdict was handed down, Hanningfield told Sky News he was "devastated" and likely to appeal.

Prompted on if he had any regrets, the disgraced peer said: "No. Because I am innocent."

During the trial the jury were told that between March 2006 and May 2009 he claimed for overnight stays in London when in fact he had often been chauffeur-driven to stay at his home near Chelmsford, Essex.

The prosecution alleged that on one occasion he was on board a flight to India whilst claiming for an overnight stay in London.

Hanningfield was previously a Conservative business spokesman and for a decade served as leader of Essex County Council.

He told the court that he had remortgaged his home to pay his lawyers to fight the charges and had not applied for legal aid.

The peer also explained in court that the allegations had triggered various health problems for him including an episode when he "almost had a breakdown".

Mr Justice Saunders said he would pass sentence in three weeks at Chelmsford Crown Court.

As well as claiming overnight allowances, Hanningfield also wrongfully claimed £382 in train fares and £147 in mileage by doubling the seven-mile distance from his house to the train station.

A frontbench spokesman on education until he had the Tory whip withdrawn following the allegations, Hanningfield told the court 85% of Lords who claimed expenses were claiming the maximum allowance possible.

Referring to the overnight allowance, he said: "You could sleep in a park bench and claim the money."

He said he felt entitled to claim the allowance as he had needed to return to his home to look after his Burmese mountain dog Jefferson.

As a result he incurred costs, including £20 a day for a dog walking and housekeeping service which he could not claim.

During his evidence he produced a picture of his dog and said it was his closest friend.