UPDATED: Labour's Liu hypocrisy


The Labour Party has been busted for hypocrisy. After several months of beating up on National over businessman Donghua Liu, look what the Herald reports this morning:


A wealthy Auckland businessman, whose links to the National Party led to a minister's resignation, also made a secret $15,000 donation to the Labour Party - and hosted a Cabinet minister at a lavish dinner in China.
The Labour Party has previously accused the Government of "cash for access" deals with Donghua Liu, who received citizenship after lobbying from National minister Maurice Williamson and whose hotel was later opened by Prime Minister John Key.
But the Herald can reveal Liu, 53, also paid $15,000 at a Labour Party auction in 2007 for a book signed by Helen Clark, the Prime Minister at the time, according to a party source.
The source said Liu also hosted Rick Barker, the then Internal Affairs Minister, at a dinner in his hometown of Chongqing.
Mr Barker, who is now a regional councillor in Hawkes Bay, confirmed he was a guest at the dinner and also visited Liu's cement company while on holiday in China.
But he said he was not aware Liu was a Labour donor and he was not in China on official business as a minister.
"I went to China to catch up with some friends of mine, see some sights ... and I made a side trip to Chongqing - I had not been to the city before.
"I was in the city a short time. Mr Liu showed me his business and that night, I attended a dinner which seemed to be a dinner he had put on for all his staff."
However, Mr Barker could not remember how he came to be invited to visit Liu in Chongqing.
He said it was "probable" he also had dinner with Liu in New Zealand.
"I am trying to recall events of over seven years ago, so it's a little challenging. But it can't have been a regular event, because if it was I would recall that. In fact my contact with Liu fell away quite quickly."
Political donations made at fundraising auctions or dinners are not recorded individually, but the total amount raised is declared.

Rick Barker was also at the centre of allegations of impropriety over the other Liu, Bill Liu. But this revelation is far more damaging.

Trevor Mallard got ejected from Parliament on 8th May for suggesting that Immigration Minister Michael Woodhouse was offered cash by Liu at a meeting on immigration policy. Labour's deputy leader Grant Robertson has accused the Government of cronyism over Donghua Liu. And David Cunliffe himself has accused the Government of a conflict of interest over Liu. 

Now it emerges that Donghua Liu also made a substantial donation to the Labour Party, and befriended the then Internal Affairs Minister. Any moral high ground that Labour had on this issue has just subsided.

There's one more question that must be asked; was Donghua Liu one of the anonymous donors to David Cunliffe's secret trust? Until Mr Cunliffe comes clean and identifies his donors, questions like this are legitimate, and will continue to be asked.

Once again, the Labour Party has been exposed as hypocritical on political donations. Who would have ever thunk it?


UPDATE: Whaleoil comes up with a headline we wish we'd thought of at 5.30am this morning - Labour's credibility "down the Liu"

And DPF notes that Labour appears to have breached the Electoral Act as it stood in 2007 by not having declared this donation. Will Graham McCready prosecute Labour? 
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