The Conservatives were warned that alleged misuse of party funds by former Conservative MP Mark Menzies may have constituted fraud, but the whistleblower was told there was no obligation to report it
Mr Menzies, Member of Parliament for Fylde in Lancashire, gave up the Tory whip following reports in The Times that he misused party funds. He disputes the accusations.
The allegations emerged after Menzies’ former campaign manager, Katie Fieldhouse, spoke to the newspaper.
On a new interview with The Times Tonight, Fieldhouse, 78, claims she was told the Conservative Party was aware the allegations were potentially criminal.
She says the Conservative Party chief of staff “told me that when they took over the investigation [from the Whips’ Office] they consulted lawyers.”
She added: “He said to me on the phone: ‘the lawyer said it’s fraud but you have no duty to report it because it’s not Conservative Party money’.”
The complainant said she was told that the decision not to inform the police was made because it was donors’ money and not the party’s.
A Conservative spokesman said: “The party is carrying out an investigation into the allegations made and has been doing so for several months.
“We will of course share any information with the police if they believe it would be useful to any investigation they decide to undertake.
“Suggestions that the party has not seriously examined this matter are demonstrably false.”
Lancashire Police said today was “reviewing” information about Mr Menzies after the Labor Party requested an investigation be carried out.
In a statement, the force said: “We can confirm that we have now received a letter detailing the concerns surrounding this matter and are in the process of reviewing the available information in more detail.”
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Party boss Simon Hart was reportedly made aware of the allegations in January when the former campaign manager reported what had happened.
Sky News understands there has been an ongoing investigation by Conservative Campaign Headquarters (CCHQ) since the allegations were first raised, but more information came to light this week and Mr Hart acted immediately.
Menzies, who has served as an MP since May 2010, is said to have phoned his 78-year-old former campaign manager at 3.15am last December, saying he was locked in a flat by “bad people” and needed £5,000 as a matter of life and death.”
The sum, which rose to £6,500, was eventually paid by his office manager from his personal bank account and later repaid with funds raised from donors in an account called Fylde Westminster Group, the paper says.
Speaking to Sky NewsFieldhouse said: “I feel terrible because I am a devout Tory and, as I told everyone else, I reported your actions to the Chief Whip… it is now mid-April.
“Draw your own conclusions [about] what is happening.”
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Asked if she was disappointed with the way the complaint was being handled, she said: “Yes.”
Menzies said on Thursday: “I strongly dispute the allegations made to me. I have fully complied with all the rules for statements. As there is an ongoing investigation, I will be making no further comment.”
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