Tory accused of smears over Mandy and the oligarch

THE TORIES were accused of running a "smear" campaign against Lord Mandelson today after an MP used parliamentary privilege to highlight his links to a Russian billionaire.

Commons leader Harriet Harman hit out after Tory backbencher Hugo Swire raised claims about Lord Mandelson's dinner with aluminium tycoon Oleg Deripaska this summer when he was EU Trade Commissioner.

The new Business Secretary, who was due to give his maiden speech in the Lords today, denies that his links to Mr Deripaska had any bearing on the EU's decision to cut tariffs on aluminium.

But during Business Questions, Mr Swire asked: "Given the very serious nature of some of these allegations, can we have a debate next week to try and ascertain as to the nature of the relationship between the Secretary of State for Business when he was EU Trade Commissioner, both in relation to an ownership dispute within Russian insurance company Ingosstrakh and the past relationship with the aluminium tariffs situation in Russia?"

Ms Harman replied: "I don't believe that Business Questions should be used and the privilege that attaches to Business Questions for Honourable Members to make smears and allegations which are unjustified."