Michelle Mone could be interviewed under caution by specialist cops investigating a £200m contract to supply personal protection equipment (PPE) during lockdown.
The Scottish Conservative peer is reportedly in line to be quizzed by officers from the National Crime Agency (NCA) as part of a fraud investigation into PPE Medpro, which received contracts worth millions from the UK Department of Health in 2020.
Mone, who grew up in the east end of Glasgow before becoming a successful lingerie entrepreneur, has denied any wrongdoing.
The 50-year-old was made a member of the House of Lords seven years ago by former Tory prime minister David Cameron.
PPE Medro, set up in 2020, was awarded two contracts to supply medical gowns and face masks despite being virtually unknown.
Mone had referred the firm to the UK Cabinet Office via a so-called “VIP lane.”
It came at a time the UK Government was desperate to source protective equipment for NHS staff during the first lockdown.
Edward Argar, a health minister, later told MPs: "Departmental records indicate that Baroness Mone identified Medpro as a potential supplier on May 7, 2020, and highlighted this opportunity by email on May 8, 2020."
PPE Medpro was only incorporated in the UK on May 12, 2020, according to Companies House filings.
An affiliated company with the same name was set up on the Isle of Man on May 11.
The 25 million medical gowns the firm supplied from China were never used by the NHS after a quality inspection.
It was reported last week that Mone’s London home had been raided as part of a NCA fraud probe into PPE deals relating to the firm.
Cabinet ministers last week refused to hand over papers relating to the deal.
The UK Government claimed the files are “commercially sensitive” and that it’s now in mediation about products supplied by PPE Medpro.
Angela Rayner, Labour’s deputy leader, said: “The Government’s failure to come clean about the millions of taxpayers’ money awarded to Tory-linked Medpro reeks of a cover-up.
“The fact that Medpro is in mediation for providing useless PPE is no excuse for failing to be transparent with the public. It only strengthens the need for clarity about how this eye-watering waste was allowed to happen.”
Martin Jelley, the Lords standards commissioner, announced in January he was investigating whether Mone should have registered an interest in the company or if she broke any lobbying rules.
In response, Mone said: "I completely refute these allegations. I was asked to help at a time of national emergency. I declared all necessary interests and have done nothing wrong.
"I will co-operate fully with any investigation."
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