STOCK MARKET WATCH - Tuesday, 31 January 2012

[Ghost Dog]

20. Lord Ashcroft accused of hiding business links to 'corrupt' islands

Michael Ashcroft, the billionaire peer who for years bankrolled the Conservative Party, has been accused of hiding his business involvement in a Caribbean state whose government was brought down by corruption scandals...

... The islands, a British overseas territory, have been under direct rule by the Foreign Office since August 2009, when the then Prime Minister, Michael Misick, became embroiled in corruption allegations. Panorama reported that one of the allegations being investigated by the police is how Mr Misick could afford a luxury home, valued at $16m, which was built in 2006 by Johnston International.

The programme stated that Lord Ashcroft announced on the London Stock Exchange in 1999 that he had sold Johnston International, and has repeatedly asserted that he has had "no interest whatsoever" in the company since that date. But Panorama showed fax messages which it said were exchanged between Lord Ashcroft and the chief executive of Johnston International, Allan Forrest.

The faxes suggest that Mr Forrest repeatedly sought and got Lord Ashcroft's instructions or advice, despite the peer's denials that he was running the company. One fax said: "Dear Michael, a short note to thank you for the salary increase. Much appreciated."

In another, written after Mr Forrest had visited Belize, where Lord Ashdown originally made his £1.1bn fortune, refers to Johnston International's parent company, Oxford Ventures. Mr Forrest wrote: "The perception in Belize is that you are still in full control of Oxford's assets (which you are of course)." ...

/... http://www.independent.co.uk/news/uk/politics/lord-ashcroft-accused-of-hiding-business-links-to-corrupt-islands-6297313.html