A criminal investigation has been launched into allegations Lord Peter Mandelson passed market-sensitive information to the disgraced financier, Jeffrey Epstein
A criminal probe has been launched into claims Lord Peter Mandelson leaked market-sensitive information to paedophile financier Jeffrey Epstein. Documents released by the US Department of Justice allegedly revealed Lord Mandelson sharing material with Epstein whilst serving as business secretary under Gordon Brown’s Labour government during the 2008 financial meltdown and its aftermath.
The Cabinet Office handed over material to police following an initial examination of documents from the so-called Epstein files, which were found to contain “likely market-sensitive information” with official handling protocols having been “compromised”.
The Metropolitan Police are anticipated to confirm on Tuesday evening that Lord Mandelson is under investigation for suspected misconduct in public office, The Times reported.
Lord Mandelson is set to resign from the House of Lords on Wednesday, the Lord Speaker announced earlier on Tuesday.
This follows Prime Minister Sir Keir Starmer telling his Cabinet that the alleged sharing of highly sensitive government business with Epstein was “disgraceful” and Lord Mandelson had “let his country down”.
A Downing Street spokesperson said: “It is right that Peter Mandelson will no longer be a member of the House of Lords.”
Former prime minister Mr Brown revealed he had written to Metropolitan Police chief Sir Mark Rowley offering information regarding Lord Mandelson’s “inexcusable and unpatriotic act”. The Prime Minister’s official spokesman revealed that Sir Keir kicked off Tuesday’s Cabinet gathering by expressing his horror at the “appalled by the information that had emerged over the weekend in the Epstein files”.
“He said the alleged passing on of emails of highly sensitive government business was disgraceful, adding that he was not reassured that the totality of information had yet emerged,” the spokesman revealed.
“The Prime Minister told Cabinet that Peter Mandelson should no longer be a member of the House of Lords or use the title, and said he had asked the Cabinet Secretary to review all available information regarding Mandelson’s contact with Jeffrey Epstein during his time serving as a government minister.
“He said he’d made it clear the Government would co-operate with the police in any inquiries they carried out, but he said the Government had to press and go further, working at speed in the Lords, including legislatively if necessary.
“He reiterated that there was a need to move at pace.
“The Prime Minister said Peter Mandelson had let his country down.”
Sir Keir has also instructed officials to prepare legislation stripping the former US ambassador of his peerage – a move not seen since laws were enacted to remove titles from aristocrats who backed the Germans during the First World War. The Cabinet Office has handed over material to the police following an initial review of Epstein files documents, which appear to contain market-sensitive information and suggest that “safeguards were compromised”, according to Downing Street.
It’s understood that the referral was made on Tuesday.
Mr Brown informed the Press Association: “I have today written to the Met Commissioner Sir Mark Rowley with information relevant to his investigation of Lord Mandelson’s disclosure of market sensitive and confidential government information to the American financier, Jeffrey Epstein, an inexcusable and unpatriotic act at a time when the whole government and country were attempting to address the global financial crisis that was damaging so many livelihoods.”
Epstein was privy to details of internal discussions from the heart of the UK government following the global financial crisis.
Lord Mandelson seemed to inform Epstein that he would lobby ministers over a tax on bankers’ bonuses in 2009, and confirmed an imminent bailout package for the euro the day before it was announced in 2010.
In June 2009, he appears to have shared what he referred to as an “interesting note that’s gone to the PM”, an assessment by Mr Brown’s adviser Nick Butler of potential policy measures including an “asset sales plan”.
The financier also received an analysis of business lending in August 2009, compiled by minister Baroness Vadera.
The identity of the message sender to Epstein has been blanked out, though Lord Mandelson was part of the government email chain.
Speaking to The Times before these fresh claims emerged, Lord Mandelson acknowledged a “lapse in judgment” regarding Epstein’s financing of an osteopathy course for his husband Reinaldo Avila da Silva in 2009, whilst the government was grappling with the global financial crisis.
The documents make mention of a £10,000 payment from Epstein.
“In retrospect, it was clearly a lapse in our collective judgment for Reinaldo to accept this offer. At the time it was not a consequential decision,” he stated.
Lord Mandelson dismissed suggestions this made him vulnerable to corruption allegations, with Epstein attempting to influence him over banker bonus regulations.
The peer maintained he had “absolutely no recollection” of receiving payments totalling 75,000 US dollars from Epstein between 2003 and 2004, despite banking records in the files released by the US Department of Justice suggesting otherwise.
A Met Police spokesperson said: “Following the further release of millions of court documents in relation to Jeffrey Epstein by the United States Department of Justice, the Met received a number of reports into alleged misconduct in public office including a referral from the UK Government.
“I can confirm that the Metropolitan Police has now launched an investigation into a 72-year-old man, a former Government Minister, for misconduct in public office offences.
“The Met will continue to assess all relevant information brought to our attention as part of this investigation and won’t be commenting any further at this time.”