Countering Russian Aggression and Tackling Illicit Finance

Andy McDonald Excerpts

Wednesday 23rd February 2022 Commons Chamber

[Andy McDonald (Middlesbrough) (Lab)]

I want to make a few short remarks in favour of the motion and expressing my solidarity with our Ukrainian friends, who, as the Prime Minister rightly said,

“threaten no one and ask for nothing except to live in peace and freedom.”—[Official Report, 22 February 2022; Vol. 709, c. 175.]

Of course, that is the plight of so many across the globe who find their lands illegally occupied by their neighbours. I applaud our Front-Bench team for bringing this motion to the House, and I endorse entirely the remarks of my right hon. Friend the Member for Tottenham (Mr Lammy) in his excellent exposition on this Government’s failures to better regulate, control and monitor the influx of Russian oligarch moneys, among other things.

I have three brief points to make. First, the measures announced by the Prime Minister have been widely criticised as insufficient, and we heard from the hon. Member for Basildon and Billericay (Mr Baron) on that very point, so the criticism is well-founded and widespread. The current extent of the sanctions to three individuals and some banks—we have been told that they are not the major players—is hardly the punitive sanctions that we were led to believe would be imposed.

Time after time, we have seen some Government Members cuddling up to powerful Russians, many of whom have benefited from the break-up of state-owned industries in Russia to the detriment of the Russian people, and it is those Tory politicians who have had direct financial benefit. It seems more than a bit rich for the governing party of this country to talk about sanctioning the sorts of people who have been filling their party political coffers. We have heard mention of Alexander Temerko. It is true that not every Government Member has had funds from that individual, but I ask the vast legions who have had that benefit: what do they think he wants or expects of them?

Secondly, and worse still perhaps, we have just had the Elections Bill go through this House. One of the most dangerous provisions within it, as pointed out by Opposition Members, was the open door to political donations from overseas. This dual citizen route to influencing politics in our country will come back and bite the governing party for some considerable time to come. The Government should understand that there is great scepticism out in the country that they really mean it when they talk about being tough on Russian oligarch money or any other dodgy money coming into British politics.

Finally, I will finish on regulation and control. Undoubtedly, there needs to be a major overhaul of company law, which allows 761 companies to be registered above a takeaway in Somerset, with directors declaring themselves to be “Jesus Christ” or “Adolf Hitler”. Until recently, I though a slap was a form of physical violence, but it is also a SLAPP—strategic lawsuits against public participation. It is a type of litigation, or threat of litigation, that is used, as the name suggests, strategically by claimants against organisations and individuals, including NGOs, activists, academics, whistleblowers and journalists, to shut down free speech. We are not going to settle the appropriate mechanisms here and now, but as we cannot give into Putin, we cannot give into the bully boy tactics of oligarchs or anyone else who wants to abuse their power and wealth.

Perhaps the Government can give some thought to protecting investigative journalists, as raised by the hon. Member for Isle of Wight (Bob Seely), who have the courage to take on people, and to ensuring that agencies of the state are properly equipped and protected and have the capability and capacity to take on such people through unexplained wealth orders and other measures. We could all do with rereading the Treasury Committee’s report on economic crime. Certainly, the single enforcement body that it alludes to would go some way to providing the real teeth that are clearly necessary but sadly absent.

[Bob Seely]

On a point of order, Madam Deputy Speaker. In my speech, I was going to name another Member of the House of Lords—I will not do so—who has recently taken leave of the House of Lords to work for Russian interests but does not want to declare what he is doing. Because that person has taken leave, could one mention them in a speech—or despite them taking leave, is one still not allowed to mention them?