Tony Blair fundraiser arrested

LONDON, Jan. 30 (UPI) -- Michael Levy, British Prime Minister Tony Blair's chief fundraiser, was arrested for a second time Tuesday in connection with the cash for honors scandal.

Scotland Yard said he is under suspicion of perversion of the course of justice, The Observer reported. Levy was arrested last July and questioned under the Honors Act 1925 and the Political Parties, Elections and Referendums Act 2000.

Gulam Noon, who has made millions in the food business, told police Levy suggested he could make an undisclosed loan to the Labor Party.

The arrest was the second in the scandal in two weeks. Ruth Turner, one of Blair's top aides, was brought in on a similar charge and released on bail after questioning.

Levy, who was also released on bail, refused to comment on the case. A spokesman said he denies any wrongdoing.

Blair's office also had no comment.

"Increasingly, the Labor party leadership appears to be in disarray over this issue. The police clearly have suspicions that all the relevant information is not being provided to them," Labor Member of Parliament John McDonnell, who plans to run for party leader, said.