By Martin Banks - 4th June 2008
A senior UK Conservative MEP may be asked to repay parliamentary funds if it is proved they were misused, it emerged on Thursday.
It follows allegations that Giles Chichester, who leads the British Tory delegation in parliament, channelled thousands of euros of allowances into a family company.
Parliament’s financial authorities have now asked Chichester to explain how it was that allowances intended to pay assistants came to be paid into a company of which he is a director.
A European parliament official said that if it is proven that the assistant’s allowance was ‘misappropriated’ the MEP may be asked to re-pay part or the entire undisclosed amount.
MEPs are allowed to claim up to €16,000 per month to pay their assistants, both in Brussels and their home constituency.
Parliamentary rules state that deputies can legitimately use what is known as a ‘service provider’, or third party, to arrange for the employment of staff and it is thought many MEPs do this.
However, deputies are strictly forbidden from using a company for this purpose with which they have a connection.
“In Chichester’s case, it is seems there may have been a conflict of interest over this aspect. It is not yet known exactly how much is involved but it is possible he will be asked to repay some or part of this particular allowance,” said the official.
Chichester, 61, who took over leadership of the Tory group in parliament last autumn, was not available for comment.
Parliament’s press office declined to comment pending the outcome of “ongoing discussions” between the MEP and the assembly’s financial authorities.
But Chichester, first elected an MEP in 1994, is reported in the UK press as saying that he had acted in “good faith”.
The Times reports him as saying, “I recognise that it was my responsibility to have learned about the change in the rules in 2003 relating to service providers but I confirm that there has been no misappropriation of any funds.”
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