Why declare funding? If you are an MP and the public gives you £200k a year and you do what the public wants is that a bad conflict of interest?
If you are a policeman and a criminal gives you £200k a year and you do what the criminal wants is that a bad conflict of interest?
If you are a teacher and a student gives you £200k a year and you give him grades higher than he deserves, is that a bad conflict of interest?
It has transpired, that members of the Shadow Cabinet, have been receiving donations from individuals via Conservative HQ. The donors have specified who the money is to go to and the recipient knows this. But, in order to keep the donation off the register of members interests it is pooled in Conservative HQ and then given to each Shadow Cabinet member as specified. The donation thus appears to come from Conservative HQ funding and not the original donor. The register of members interest was set up to ensure that MP's do the bidding of their constituents, not that of their donors and to ensure transparency in donations. In this instance it appears Conservative Shadow Cabinet members have decided to act in bad faith and find a way around the register.
Returning to my example, if the policeman knows he is to receive £200k from the criminal but it is channelled through a donation to his trade union, does this make it okay? If the teacher knows she is to receive £200k from the student but it is channelled through a donation to the school of which she is the only recipient, does that make it okay?
Peter Hain, famously set up a think tank, which then funded his deputy leadership campaign. The think tank did no thinking and donations were declared under the name of the think tank and not the donors. It appears someone in Conservative HQ thought this was a good idea.
EDIT: See this for a more candid explanation
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