Lawfare and Investigative Journalism

Margaret Hodge Excerpts

Monday 17th October 2022 Commons Chamber

[Mr Davis]

I will come back to that very point in a moment, but as the hon. Gentleman implies, defending oneself against a libel claim, especially by an oligarch or other wealthy person, is often cripplingly expensive. In fact, it is typically cripplingly expensive. The risk is not losing the case, which is improbable in most of these cases. The penalty for exponents of free speech is the sheer cost of a vexatious process, which is what Nazarbayev wants.

[Dame Margaret Hodge (Barking) (Lab)]

I am grateful to the right hon. Gentleman for giving way and congratulate him on securing this debate and on making a fantastic speech. He has been a passionate and effective campaigner on the growing problem of egregious strategic lawsuits against public participation—SLAPPs—and has argued, along with the hon. Member for Isle of Wight (Bob Seely), for urgent action to stop these abuses.

I want to raise the case of Dmitry Leus, a UK resident of Russian-Turkmen origin, who is threatening libel action against Chatham House because of his inclusion in its excellent report, “The UK’s Kleptocracy Problem.” Leus was a Russian banker, convicted of money laundering in Russia in 2004, who arrived in the UK on a Cypriot passport. He has donated to the Conservative party and chaired his local Conservative association. He tried to donate £500,000 to the foundation of the then Prince Charles, but the donation was spurned when the charity learnt of his conviction. In July my right hon. Friend the Member for Birmingham, Hodge Hill (Liam Byrne) said in this House that Leus is “absolutely dependent” on the Russian security services.

[Mr Deputy Speaker (Mr Nigel Evans)]

Order. This is an intervention so it will have to brief.

[Dame Margaret Hodge]

Yes, I will be very brief.

Since coming to Britain, Leus has tried to make us believe that his conviction was overturned, but this is untrue: it was struck off his records so that he could engage in business. After seven months of increasing demands, and due to the costs of defending the case—estimated at some £500,000 before trial—Chatham House has been forced to agree to his meritless claim and excise the report of all mentions of Mr Leus.

Does the right hon. Member for Haltemprice and Howden (Mr Davis) agree that this case appears to be yet another example of a powerful, wealthy Russian abusing the British legal system through lawfare to muzzle important research in the public interest?

[Mr Deputy Speaker]

I was extraordinarily generous.

--- Later in debate ---

[Gareth Johnson]

I am grateful to my hon. Friend for his intervention. This matter will be dealt with by legislation. I cannot promise him that it will be dealt with in the Economic Crime and Corporate Transparency Bill, but it will be dealt with through legislation. I hope the House will forgive me if I do not refer to the substance of the cases that have been raised in this debate, but I want to set out exactly what the Government intend to do. Our aim is to ensure that journalists operating in the UK are as safe as possible, reducing the number of attacks on, and threats issued to journalists, and ensuring that those responsible are brought to justice.

[Dame Margaret Hodge]

We all agree that legislation is necessary, but the problem is that if the Minister does not take advantage of the legislation that is before us, the Economic Crime and Corporate Transparency Bill, he will be arguing behind the scenes on getting time for legislation for years and years. The opportunity is there. The need is there. Please grasp the opportunity and table amendments to the existing Bill that is before the House.

[Gareth Johnson]

I hear what the right hon. Lady is saying. I cannot give her the commitment that we will place that within the Economic Crime and Corporate Transparency Bill. There are two schools of thought on whether it can be placed in another piece of legislation, and thereby limited by the long title of that Bill, or whether it is better off dealt with in isolation, so it has more of a free rein. I can inform her and the House that the legislation is still, at this stage, being drafted. As a consequence, it is not oven-ready to go straight into another piece of legislation that is before the House now.