UK anti-corruption minister resigns over ties to ousted Bangladesh PM

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FILE PHOTO: MP Tulip Siddiq attends a news conference in London, Britain October 11, 2019. REUTERS/Peter Nicholls/File Photo

Ms Tulip Siddiq said she was resigning because her position would likely distract from the work of Britain's ruling government.

PHOTO: REUTERS

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LONDON - The British minister responsible for financial services and fighting corruption resigned on Jan 14 after weeks of questions over her financial ties to her aunt Sheikh Hasina,

ousted in 2024 as prime minister of Bangladesh

.

Ms Tulip Siddiq, 42, had repeatedly denied any wrongdoing and Prime Minister Keir Starmer said last week he had full confidence in her.

The resignation of a second government minister in two months is a blow to Mr Starmer, whose approval ratings have plunged since his Labour Party won a general election

in July 2024

.

Ms Siddiq was handed the portfolio for financial services policy after the election, a role that included responsibility for measures against money-laundering.

In a letter to Mr Starmer, Ms Siddiq said she was resigning because her position was “likely to be a distraction from the work of the government”.

The government’s ethics adviser said in his letter to Mr Starmer released at the same time that although Ms Siddiq had not breached the ministerial code of conduct, he found it regrettable she was “not more alert to the potential reputational risks” from her family’s close association with Bangladesh.

“You will want to consider her ongoing responsibilities in the light of this,” he said.

Mr Starmer swiftly appointed Ms Emma Reynolds, who was a pensions minister, to Ms Siddiq’s role.

Ms Hasina, who had ruled Bangladesh since 2009, is being investigated there on

suspicion of corruption and money laundering

. She, along with her party, deny wrongdoing.

Ms Siddiq was named in December as part of Bangladesh’s investigation into whether her family were involved in siphoning off funds from Bangladeshi infrastructure projects.

The anti-corruption commission alleged financial irregularities worth billions of dollars in the awarding of a US$12.65 billion (S$17.3 billion) nuclear power contract, saying Ms Hasina and Ms Siddiq may have benefited.

After facing further scrutiny over the use of properties in Britain linked to Ms Hasina and her supporters, Ms Siddiq referred herself to the government’s independent ethics adviser.

Ms Siddiq lived in a north London property given to her family in 2009 by Mr Moin Ghani, a Bangladeshi lawyer who has represented Ms Hasina’s government, documents filed with Companies House and the Land Registry show.

She also acquired a separate property in London in 2004, without paying for it, from a developer linked to the Awami League, Ms Hasina’s political party, the Financial Times reported earlier in January.

Ms Hasina fled Bangladesh after being toppled following weeks of protests.

Ms Siddiq’s departure follows the

resignation of British transport minister Louise Haigh

in late 2024. Ms Haigh acknowledged a minor criminal offence before she entered government, relating to a mobile phone that she had wrongly reported stolen. REUTERS

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