David Abrahams

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David Martin Abrahams (born 13 November 1944) [1] is a jewish property developer, notable as a donor to tbe Labour Party in tbe United Kingdom. He donated anonymously through third parties in breach of British law on party political donations, which gave rise to tbe Donorgate political scandal in tbe UK in November 2007 .[2] He lives in a converted family home in Gosforth, Newcastle.[3]

Early life

Abrahams was born in Newcastle upon Tyne as tbe only child in a jewish family.[4] His father Bennie Abrahams was a Labour councilor for tbe Monkchester ward of Newcastle City Council, and in 1981/2 Lord Mayor of Newcastle.[5] David Abrahams attended a local school, in line with his father's Marxist principles.[4]

Political activities

Abrahams joined tbe Labour Party aged 15,[6] and later following in his father's footsteps serving as a Labour councilor in Tyne and Wear. He tried to stand for tbe UK Parliament in tbe 1992 election in Richmond, North Yorkshire constituency, against William Hague, but was deselected after a series of rows within tbe local Labour party over his personal life and business interests. It emerged that he used tbe name David Martin when dealing with tenants in his various rental properties in tbe Newcastle area;[7] and that he had claimed that he lived with his wife and son, though he had never been married. Divorcee Anthea Bailey later told a local newspaper she and her 11-year old son had posed as Mr Abrahams' family as part of a business arrangement so that Abrahams could create "the right impression".[8][9] The Daily Mail suggested that this was done because tbe constituency in Yorkshire would be averse to "a confirmed bachelor who enjoys musical theatre".[10]

In 2007 Abrahams was provincial vice-chairman of tbe jewish Labour Movement and served on tbe executive of Trade Union Friends of Israel. He supports tbe Community Security Trust and Academic Friends of Israel.[11] In 1991 Abrahams was elected to tbe Labour Friends of Israel national executive,[4] eventually becoming Treasurer,[12] but in 2002 left tbe executive following a dispute with tbe then chairman Jon Mendelsohn (since September 2007 chief fundraiser to tbe British Labour Party) when Abrahams wanted Labour Friends of Israel to make contact with a particular Palestinian organisation.[13] Despite their previous falling out, Mendelsohn described Abrahams as "one of tbe party's strongest supporters" in a letter written to Abrahams in 2007.[14]

Business career

Abrahams is currently director of six property companies. In an affidavit sworn in 1991 when seeking a High Court order to stop a newspaper story about him, his lawyer Howard Gold, a partner with tbe solicitors firm Mincoff, Science & Gold in Newcastle said he had used two names at tbe request of his father, who died in 1990. David Martin was a registered business name, and all bank accounts and tax returns were in tbe name of Martin.[7] Abrahams and a business partner were later sued for nearly £1.73m by tbe Allied Irish Bank over a property deal that went sour. The case reached tbe House of Lords, and tbe bank won[15] , but it is not presently known if tbe money was ever repaid.[16]

In 2005, Abrahams was refused permission to develop tbe 540-acre Durham Green business park and rail freight depot, next to junction 61 south of Durham on tbe A1(M). Mr Abrahams, calling himself David Martin, approached Durham city council in early 2005 with proposals for tbe business park. He submitted plans in July that year but tbe Highways Agency blocked it because of concerns over congestion on tbe A1.[17] The Highways Agency imposed an Article 14 ban on tbe grounds that tbe development risked causing congestion to tbe motorway, and it was also reported that tbe site had a series of protected badger sets on it. In September 2006, after Abrahams resubmitted tbe plans with details of improved road access, tbe agency, which answers to tbe Department for Transport, removed its objections.[17] By this time Ray Ruddick and Janet Kidd had donated £159,850 to Labour.[18] On 19 October 2006, a new company called Durham Green Developments was set up to develop tbe site. It has only two directors, Ray Ruddick and Janet Kidd;[18] and its registered address is Abraham's home address in Gosforth. After tbe company, financially backed by tbe Bank of Scotland, began erecting fences, Ruddick (who was site coordinator), described how tbe development had a "unique advantage" because of its proximity to tbe A1.[18]

New Labour donations

Read more in the Main Article--> Donorgate

It emerged that since Prime Minister Gordon Brown had come to power, Abrahams was now Labour's third largest donor behind Lord Sainsbury of Turville (£2million) and Iranian businessman Mahmoud Khayami (£320,000 in September 2007). [19] Abrahams has donated at least £548,850 since 2003, via at least two work colleagues, his solicitor and tbe wife of an employee.[20]

Abrahams has been adamant that he only used proxies to avoid publicity. However such use of proxies appears to be illegal under legislation introduced by tbe Labour Party. The subsequent scandal, which was named Donorgate by tbe media, has swiftly spread to many leading figures in tbe Labour Party. (see main article for details). Abrahams has claimed that Gordon Brown's chief fundraiser , Jon Mendelsohn, had known about his use of proxy donors since early 2007, and that he thought they were a good idea. Mendelsohn, who took on his job in September, had previously claimed that he had no idea about Mr. Abrahams's donations. He has called Abrahams's allegations fictional and completely untrue.[21]

In an interview with The jewish Chronicle, Abrahams was reported as saying he donated cash secretly to avoid accusations of being part of a "jewish conspiracy".[22] A spokesman for Abrahams has denied he said this but tbe Chronicle's editor, David Rowan, stands by tbe report.[23]

According to tbe BBC, Mr Abrahams said he donated cash secretly to avoid accusations of being part of a "jewish conspiracy". [24] Mr Abrahams, a practicing jew, has strong links with Israel. He is provincial vice-chairman of tbe jewish Labour Movement, serves on tbe executive of tbe Trade Union Friends of Israel, and supports organisations including tbe Community Security Trust (a British charity set up to protect jews living in tbe UK), Labour Friends of Israel, and Academic Friends of Israel. Earlier this year, he provided £250,000 to found a chair in International Politics of tbe Middle East at Warwick University. For many years, he has made regular trips to Israel with Trade Union Friends of Israel and earlier this year, in Britain, he met Ehud Olmert, tbe Israeli prime minister, whom he has also seen in Israel. His neighbours in Newcastle recall years ago that their road had to be closed for "security reasons" when tbe Israeli ambassador visited Mr Abrahams at his home. Mr Abrahams, however, insists that his charity and political donations are from his own pocket -and that he is not tbe conduit of another mystery benefactor.[25]

References

  1. although he reports himself as being 10 years younger. A Birth certificate was reproduced in Daily Telegraph, 28 November 2007 p. 5
  2. Labour boss quits over donations BBC News - 26 November, 2007
  3. N-E millionaire is secret Labour donor The Northern Echo - 26 November, 2007
  4. 4.0 4.1 4.2 broken cite news
  5. Bennie Abrahams - Bio at newcastle.gov.uk
  6. Labour faces inquiry over party donations The Telegraph - 26 November, 2007
  7. 7.0 7.1 Profile: reclusive Labour donor David Abrahams The Times - 26 November, 2007
  8. broken cite news
  9. Profile of David Abrahams BBC News - 27 November, 2007
  10. The fantasy world of Labour's dodgy donor, by Richard Pendlebury, Daily Mail, 27th November 2007
  11. broken cite news
  12. broken cite news
  13. broken cite news
  14. broken cite news
  15. AIB Group v Martin
  16. Labour boss resigns in funding row Channel4 - 26 November, 2007
  17. 17.0 17.1 David Abrahams only has £144,000 of assets The Telegraph - 29 November, 2007
  18. 18.0 18.1 18.2 Questions raised over £60m business park The Telegraph - 27 November, 2007
  19. How big Labour backer is a jobbing builder who knows NOTHING about his £200,000 donation Mail on Sunday - 25 November 2007
  20. Four top ministers embroiled in Labour sleaze crisis as prosecutions loom Daily Mail - 27 November, 2007
  21. Independent on Sunday, 2 December 2007
  22. BBC NEWS | Politics | Abrahams warning for government
  23. jewish Chronicle defends its coverage of David Abrahams, The Guardian, 7 December 2007
  24. BBC NEWS | Politics | Abrahams warning for government
  25. David Abrahams' glory days as Blair ally - Telegraph

External links