The European Commission has asked the EU’s anti-fraud agency to open an inquiry into Lord Peter Mandelson’s time as trade commissioner in Brussels, in the wake of the release of the Epstein files.
It comes just days after the former Labour peer was arrested in London on suspicion of misconduct in public office, following claims he had leaked sensitive government information to the paedophile financier.
That prompted an extraordinary row when his lawyers claimed that the ex-cabinet minister’s arrest followed a “baseless suggestion that he was planning to leave the country”.
Police in the UK are investigating Mandelson’s contact with Jeffrey Epstein during his time as business secretary in Gordon Brown’s government. Before that, he served as European Commissioner for Trade between 2004 and 2008.
In the recently released batch of Epstein files, Lord Mandelson appeared to confirm a yet-to-be-announced €500bn bailout of the Euro. The documents show Epstein emailed Lord Mandleson “sources tell me 500 b euro bailout , almost complete”.
Lord Mandelson appeared to respond: “Sd be announced tonight.”
A spokesperson for the commission confirmed that it had referred Lord Mandelson to the European Anti-Fraud Office (Olaf).
They said: “Whenever there is any indication of a possible breach of the obligations under the (code of conduct), the commission assesses these possible breaches and takes action on that basis, if necessary.
“On this basis, and as new documents were published recently, we are looking into these and assessing whether there is any breach of the respective obligations.
“Given the circumstances, and the significant amount of documents made available publicly, the European Commission also asked Olaf on February 18 to look into the matter. Pending the ongoing assessment, we are not in a position to comment further.”
A spokesperson for Olaf confirmed that it had been asked to look into Lord Mandelson’s actions, but could not say whether an investigation would take place.
Meanwhile, the government has confirmed the PM cannot overrule parliament’s security watchdog if it wants to publish documents relating to Lord Mandelson’s appointment as ambassador to Washington.
Parliament’s Intelligence and Security Committee (ISC) said officials had confirmed “in writing” that it would have the final say on which papers are released following a meeting on Thursday.
Some of the thousands of documents are expected to be withheld for national security reasons, but that will be up to the ISC, rather than ministers, to determine.
Lord Mandelson, who has denied any wrongdoing, has been approached for comment.
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