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Tories seek inquiry into Blunkett's dealings with DNA company

Ben Russell,Political Correspondent
Wednesday 26 October 2005 20:08 EDT
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Mr Blunkett, the Secretary of State for Work and Pensions, disclosed that he had bought a 3 per cent shareholding in DNA Bioscience, the trading name of DNA Structures, which was held in trust for his three elder sons. He told Chris Grayling, the shadow Leader of the Commons, that he had informed the Permanent Secretary at the Department for Work and Pensions and the Registrar of Members' interests.

He said the company had no contracts with the DWP nor the Child Support Agency, and insisted that he would play no part in decisions were the company to seek Government contracts.

But Mr Grayling said yesterday questions remained unanswered and demanded an independent inquiry. BBC Newsnight claimed last night it had information that the company was likely to floatnext year, with a valuation of up to £10m. David Blunkett's sons could therefore receive a profit of up to £285,000 on his initial investment of £15,000.

Mr Blunkett briefly worked as a director of the company before he was reappointed to the Cabinet.

Mr Grayling added: "He has failed to deny that discussions are taking place between his department and the company over possible future business."

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