Mandelson cleared of wrongdoing in passport row

Former Northern Ireland Secretary Mr Peter Mandelson has been cleared of wrongdoing in the row over the issuing of passports to Indian multi-millionaire businessmen.

Hammond Report cleared Mr Mandelson of wrongdoing

A report by the Hammond inquiry published this morning says it is "likely" Mr Mandelson telephoned immigration minister Mr Mike O'Brien about Mr Srichand Hinduja's bid for naturalisation but there is "no evidence" of any improper relationship between him and the Hinduja brothers.

Mr Mandelson resigned in January after being accused of interfering on behalf of the Hinduja brothers who were seeking British passports.

Ministers generally and Mr Mandelson in particular acted correctly. From the Hammond Inquiry in relation to the Dome donation

Mr Srichand Hinduja made a passport application on October 20th 1998, six days before the Hindujas donated £1 million to the Millennium Dome in London and he received his passport in March 1999. Mr Gopichand Hinduja applied for his passport in March 1997 and it was granted later that year when Labour came to power.

But Sir Anthony Hammond's report says Mr Mandelson behaved "perfectly properly" saying he did not try to influence Mr O'Brien or his officials at any point.

In relation to the Dome donation the report states: "Ministers generally and Mr Mandelson in particular acted correctly."

Speaking outside his home in Hartlepoole, Yorkshire this morning Mr Mandelson said: "I did not lie, I did not deceive, and I did not set out to mislead."

Britain's Europe Minister Mr Keith Vaz has also been cleared of wrongdoing in the affair.

A spokesman for the British Prime Minister Mr Tony Blair said: "Peter left the Government in January. The circumstances are well known to you. What happened then, happened. It was and is a tragedy for Peter that this happened, as the Prime Minister said at the time."

Mr William Hague, leader of the Conservative Party said: "This whole bizarre chain of circumstances would never have happened at all had the Prime Minister not re-appointed Peter Mandelson to the Cabinet just 10 months after the first occasion when he had to resign in disgrace."

• Full text of Hammond Inquiry