Thursday, May 29, 2008

Could Labour debt bankrupt Gordon Brown?

The Guardian has an interesting article today on the continuing financial woes of the Labour party and how it may well go bust next month. (Also see this discussion on Politicalbetting)

It goes on to point out that if it does so then members of the NEC would be liable for the debts, including the following MP's.

* Janet Anderson MP (Div. V - PLP/ELP)
* Gordon Brown MP (Leader)
* Angela Eagle MP (Government)
* Harriet Harman MP (Deputy Leader)
* Pat McFadden MP (Government)
* Dawn Primarolo MP (Government)
* Dennis Skinner MP (Div. V - PLP/EPLP)
* Keith Vaz MP (Black Socialist Society)

(Hat tip to Timothy's helpful post here on PoliticalBetting)

My understanding is that if you are an undischarged bankrupt you can't be an MP. So there could be some interesting by elections.

The other interesting point is that the GMB have indemnified their two members on the NEC. Depending on how they have done this, it could leave the GMB liable for all Labour's debt, if the indemnity is to cover all loses. If however the indemnity allows for its members to go bankrupt but then the GMB will, as their "friend" buy out their interest in their assets (such as houses and pensions) then obviously that will not be a problem.

The big question is, however, will Labour go bust?

No. I can't see it happening. No matter how much noise the creditors make something will turn up or some deal will be negotiated. What is clear though is that Labour is in no shape to fight any elections.

1 comment:

aakash said...

My understanding is that if you are an undischarged bankrupt you can't be an MP. So there could be some interesting by elections.
akkirocks
Debt Consolidation