British minister quits over funding row

A British minister announced his resignation yesterday over a funding row clouding the governing Labour Party, in a new blow to embattled Prime Minister Gordon Brown.
Works and Pensions Secretary Peter Hain, who has resisted growing pressure over recent weeks, said he wanted to clear his name over the funding row, which has added to a string of woes for Brown.
His announcement came minutes after the electoral commission referred a probe into alleged funding irregularities in the contest for Labour's deputy leadership to the police.
"In view of the electoral commission decision today, I will be resigning to clear my name and I will be making a statement shortly," said Hain, formerly a Northern Ireland minister.
Brown's Downing Street office said: "The prime minister has accepted Peter Hain's resignation."
Kenya-born Hain, 57, is the first minister to resign from Brown's government since he succeeded Tony Blair as British prime minister last June.
Hain faces the prospect of suspension from parliament if complaints are upheld that he failed to declare more than 100,000 pounds (137,000 euros, 202,000 dollars) to the electoral commission.
The main opposition Conservative Party says he broke parliamentary rules, which require donations to be registered. But Hain, who is also the Welsh secretary, has blamed "poor administration" rather than a cover-up.
London's Metropolitan Police confirmed it was taking over the probe.
"We can confirm that the Met has today received a formal referral from the Electoral Commission in connection with potential offences under the Political Parties and Referendums Act 2000 regarding donations received," it said.