‘National disgrace if RBS money laundering’

IT would be a “national disgrace” if a majority government-owned bank was found to have laundered millions of pounds’ worth of Russian cash, a Conservative MP has said.

Jake Berry urged ministers to clamp down on money laundering, amid reports by the Guardian that £600m worth of Russian money was laundered through banks in Britain.

Reports allege that the Royal Bank of Scotland processed £91m of this cash. The government owns a 73% stake in the bank.

Fellow Tory MP Jonathan Djanogly said there was “an unwritten deal” between Russians of “dubious or illegal means” who came to this country that they would not be prosecuted if they stayed out of trouble.

Labour former minister Ben Bradshaw, meanwhile, asked whether any of the funds had been linked to the Leave campaign or Donald Trump’s bid to become US President.

Speaking during an urgent question in the Commons on the revelations, Mr Berry (Rossendale and Darwen) said: “If these allegations are proven, particularly against a bank in which the government owns a majority stake, will (Treasury Minister Simon Kirby) commit to using the full powers of the Criminal Finances Bill to clamp down on this type of money laundering which, if proven, will be a national disgrace?”

Former minister Mr Djanogly added: “It seems to me that there is an unwritten deal here.

“Which is that Russians and others of dubious or illegal means come to this country, they send their kids to our schools, they buy our real estate – and this is the other side of the deal – that while they are here, they do no wrong. That is not an acceptable way in which to go forward.”