LONDON: British Prime Minister Tony Blair has thanked NRI steel tycoon Lakshmi Mittal for a contribution of two million pounds to ruling Labour Party, saying he was delighted to receive such a sizeable donation from one of the world's most successful businessmen.
Mittal, President and Chief Executive of world's largest steel company Arcelor-Mittal, on Tuesday announced the donation to Labour Party, commending Prime Minister Tony Blair's record since he came to power in 1997.
"I am delighted that Mittal, who is one of the world's most successful businessmen, has made such a generous donation. I thank him for his continued support for the Labour party," Blair said.
Mittal, world's fifth richest men, is a major backer of the party and donated a similar amount in 2005.
"I am a long-term supporter of the Labour party and the work it has done in the United Kingdom to improve the overall prosperity and prospects of the country since coming to office in 1997," Mittal said in a statement.
A previous gift of 125,000 pounds at the 2001 general election prompted a political row when it emerged that Blair later wrote in support of his company, LNM, when it was trying to land a lucrative contract in Romania.
The latest donation comes as the Labour party struggles to avoid a financial disaster in the wake of allegations being investigated by police that several wealthy businessmen who lent Labour money for the last general election were rewarded by being nominated for peerages.
Labour party chairman Hazel Blears also welcomed the donation.
"Mittal has been a committed supporter to the Labour Party for many years. We are grateful to everyone that contributes to the Party and greatly appreciate this very generous donation," Blears said.
News of the donation will come as a relief to Labour chiefs, who have faced difficulties persuading rich supporters to come forward with funds since the launch last year of Scotland Yard's investigation into allegations of the sale of honours.
Metropolitan Police Deputy Assistant Commissioner John Yates is expected to report to the Crown Prosecution Service soon on his inquiries, after interviewing Blair at Downing Street last month.
The cash-strapped party is facing financial crisis as it reaches a series of deadlines to pay back the loans. Documents released in November last year revealed that 7 million pounds was due to be repaid by the end of 2006, with a further 11 million pounds this year.
The party said at the time that acute cash-flow problems were preventing it from paying back loans as they became due.
The Electoral Commission puts Labour's total debt at more than 23 million pounds. But the Labour spokesman said that the new donation would not be used to pay off outstanding loans.
"This money will allow the party to continue to make investments to meet the electoral challenges we face over the next year," he said.
Source : DNA
Mittal, President and Chief Executive of world's largest steel company Arcelor-Mittal, on Tuesday announced the donation to Labour Party, commending Prime Minister Tony Blair's record since he came to power in 1997.
"I am delighted that Mittal, who is one of the world's most successful businessmen, has made such a generous donation. I thank him for his continued support for the Labour party," Blair said.
Mittal, world's fifth richest men, is a major backer of the party and donated a similar amount in 2005.
"I am a long-term supporter of the Labour party and the work it has done in the United Kingdom to improve the overall prosperity and prospects of the country since coming to office in 1997," Mittal said in a statement.
A previous gift of 125,000 pounds at the 2001 general election prompted a political row when it emerged that Blair later wrote in support of his company, LNM, when it was trying to land a lucrative contract in Romania.
The latest donation comes as the Labour party struggles to avoid a financial disaster in the wake of allegations being investigated by police that several wealthy businessmen who lent Labour money for the last general election were rewarded by being nominated for peerages.
Labour party chairman Hazel Blears also welcomed the donation.
"Mittal has been a committed supporter to the Labour Party for many years. We are grateful to everyone that contributes to the Party and greatly appreciate this very generous donation," Blears said.
News of the donation will come as a relief to Labour chiefs, who have faced difficulties persuading rich supporters to come forward with funds since the launch last year of Scotland Yard's investigation into allegations of the sale of honours.
Metropolitan Police Deputy Assistant Commissioner John Yates is expected to report to the Crown Prosecution Service soon on his inquiries, after interviewing Blair at Downing Street last month.
The cash-strapped party is facing financial crisis as it reaches a series of deadlines to pay back the loans. Documents released in November last year revealed that 7 million pounds was due to be repaid by the end of 2006, with a further 11 million pounds this year.
The party said at the time that acute cash-flow problems were preventing it from paying back loans as they became due.
The Electoral Commission puts Labour's total debt at more than 23 million pounds. But the Labour spokesman said that the new donation would not be used to pay off outstanding loans.
"This money will allow the party to continue to make investments to meet the electoral challenges we face over the next year," he said.
Source : DNA