Senior Lib Dem Quits Over New Fundraising Row

The Liberal Democrats have called in a standards watchdog following allegations that a donation "bought" access to Nick Clegg.

The party has referred the matter to the Electoral Commission after it allegedly accepted the gift from the 'stepfather' of a Daily Telegraph journalist posing as a businessman.

It is claimed that Lib Dem peer Lord Strasburger was secretly filmed discussing how to keep the donation secret by sidestepping disclosure rules.

Nick Clegg has also reportedly been filmed by Channel 4's Dispatches programme meeting the undercover reporter.

It comes as the party's former chief fundraiser Ibrahim Taguri stands accused of bypassing party funding laws and has stepped down as an election candidate while the claims are looked into.

A Lib Dem spokesman said: "It is common practice for senior party figures from all parties to meet with potential and current donors.

"Dispatches has raised important questions about one particular donation, which the party is taking seriously.

"The Party had no reason to believe that the donation was made by anyone other than the person who signed the cheque.

"When we were alerted to the claim that this donation may, without our knowledge, have been made on someone else's behalf, we referred this matter to the Electoral Commission, and requested their advice on whether the donation should be handed to the Commission or returned to the donor.

"We shall comply fully with their investigation and any recommendations they may make as a result.

"The party has also introduced an additional level of scrutiny to donations to the federal party, over and above legal requirements. This will apply with immediate effect."

Lord Strasburger has resigned the Lib Dem whip in the House of Lords while an investigation takes place and he has accused Channel 4 of "entrapment".

He said: "In the last few months I have been very active in the House of Lords fighting to protect the freedom of the press, but I never had in mind the sort of cynical and contrived entrapment-style journalism to which I have been personally subjected by Channel 4.

"I am a retired businessman, I am not a career politician... In a purely voluntary capacity, I have been helping the party with fundraising. I have gained no personal benefit in doing so.

"Whatever Channel 4 may say in their Dispatches programme, I do not think I have committed any offence.

"Having said that, I believe that we should all be accountable for what we do, so I have invited the Electoral Commission to carry out an investigation into my actions."