Mystery donor is North millionaire
Nov 26 2007 by Paul Loraine, The Journal
A NORTH-EAST millionaire property developer yesterday admitted being the source of a series of large donations to the Labour party made in other people’s names.
David Abrahams, 53, also known as David Martin, claimed he made payments to the party through “friends and colleagues” because he wanted to protect his privacy.
According to the Electoral Commission, Newcastle builder Ray Ruddick and secretary Janet Kidd, from Whickham, Gateshead, have donated almost £400,000 between them.
Labour has launched an internal inquiry after doubts were raised about whether the money had come directly from the pair, who are both connected to Mr Abrahams through their respective jobs.
A national newspaper reported that Mr Ruddick initially denied any knowledge of the donations, admitting he “couldn’t stand” politicians.
He later changed his mind, saying he and Mrs Kidd had each given £80,000 to Labour on the same day in July this year.
According to the Electoral Commission, Mr Ruddick has donated £196,850 to Labour and Mrs Kidd £185,000 since 2003.
Between them, they are listed as having given the party £222,000 since Gordon Brown became leader in June, making them his third biggest donors after Lord Sainsbury and businessman Mahmoud Khayami.
But yesterday, Mr Abrahams, the son of a former mayor of Newcastle, explained that he was the source of the money and his reclusive nature dissuaded him from putting the donations in his name.
He said: “The money was gifted to Ruddick and Kidd for them to make perfectly legal donations to the Labour party.
“I’m a private person and I’m not someone who relishes the spotlight.
“I’m a simple, humble individual and I want to remain so.
“Donors to the Labour Party get a lot of publicity and I did not want that.”
Mr Ruddick, 55, of Cyncopa Way, Blakelaw, yesterday said little about his role in the payments adding: “I have nothing else to say about the Labour party donations apart from that I’m off to the bingo to try and win the kind of money they say I have.” Mrs Kidd, of Lindale Avenue, Whickham, was too upset to talk.
Meanwhile, a Labour spokesman yesterday confirmed that the party’s General Secretary Peter Watt had been asked to look into the donations.
“It is important that the Labour Party is beyond reproach in this matter,” said the spokesman.
“The General Secretary has therefore been asked to investigate this issue and report his findings to the Party’s treasurer.”
Justice secretary Jack Straw also spoke of his concern over the lack of transparency surrounding the gifts.
Opposition politicians said they had concerns over Mr Abraham’s intentions and called for greater transparency in the Labour party’s finances.
Conservative MEP Martin Callanan said: “It just seems an unbelievable story. If his purpose was to avoid publicity it clearly didn’t work.
“Secondly, why did the guy who made the donation claim to not know anything about it and also say he didn’t like Labour?
“It asks a whole series of questions – it’s an extremely murky matter indeed.”
Conservative front bencher Chris Grayling agreed, demanding a full explanation from Labour.
He said: “There is clearly something extremely unusual about all of this.
“Given the fact that Gordon Brown promised to bring a fresh approach to British politics, he and the Labour Party need to give a pretty clear explanation of the circumstances surrounding these donations.”
Mr Abrahams lives in a £900,000 house in Gosforth, Newcastle, and neighbours yesterday spoke of his secretive nature.
It is thought he uses two names – one of which he uses entirely for business.
One man said: “I’ve lived here five years and in that time I have met him once.
“He’s the perfect neighbour in that sense – he’s never any noise or trouble.
“He’s not married as far as I know. He’s been extending the house for years and years now – there’s usually a builder in and their cars outside.”
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Double identity hidden in the past
In March 1991 he gained a High Court order restraining a newspaper from publishing claims that he acted dishonestly by concealing that his full
name was David Martin Abrahams in order to prevent his business interests from being known to voters in Richmond.
Mr Abrahams, then aged 46, hoped to be elected as the Labour Party candidate for Richmond, North Yorkshire, at the 1992 General Election.
His potential constituents knew him as David Abrahams, but at the time he was a landlord managing scores of properties in Newcastle, known to his tenants as David Martin.
He lodged a sworn affidavit before Mr Justice Brooke which explained why he used two names.
The statement was made by solicitor Howard Gold, a partner with the firm Mincoff, Science & Gold, Newcastle.
Mr Gold said in the statement that in all his dealings with Mr Abrahams, he had always used the name David Martin as opposed to David Abrahams.
The statement said: “The reason for this was that his late father, Bennie Abrahams, was a leading local politician and was Lord Mayor of Newcastle.
“He was therefore a well- known local public figure.”
Mr Gold said that Mr Abrahams’ father, who died in January 1990, had insisted that his son use the name David Martin.
“He did not think it right that the well known surname of Abrahams in Newcastle was used by his son and that he wanted his son to be entirely independent of him.”
Mr Gold added that following the death of Bennie Abrahams, his son had not reverted to the name Abrahams because his business had been established in the name of David Martin.
In the same month of the same year, a former marketing consultant claimed to have acted as Mr Abrahams’ wife.
Anthea Bailey said she acted as Mr Abrahams’ wife at meetings in Richmond, North Yorkshire, during his fight for the Tory held marginal seat.
He was eventually deselected by the Labour Party in 1992 after his agent, press officer and the entire local party executive resigned.
