UK passport row snares new minister

British newspapers report that Vaz made inquiries about a passport for Srichand Hinduja

LONDON, England -- British Prime Minister Tony Blair is under new pressure as a second government minister comes under scrutiny for his alleged part in a passports-for-favours scandal.

The crisis, which involves the Hinduja brothers, Indian billionaires who control a global business empire, led earlier this week to the resignation of Blair's closest ally Peter Mandelson as Northern Ireland minister.

The guns of the media and political opposition have now been turned on junior Foreign Office minister Keith Vaz who is responsible for relations with Europe.

Ann Widdecombe, the shadow home secretary from the main Conservative opposition party, told reporters she wanted to know what links Vaz had with the brothers, including Srichand, the oldest of the four and who heads the business empire.

British newspapers reported that Vaz, Britain's first minister of Asian origin, wrote both to Blair and Mandelson in October, 1997, about giving Srichand a passport.

Peter Mandelson resigned on Wednesday

The alleged inquiry was made before Vaz was appointed to his ministerial post.

The family, listed as Britain's richest Asian family and among the 10 wealthiest people in the country, moved many of their business dealings from India to London 20 years ago and have interests ranging from oil and banking to media and trucks.

Mandelson, architect of Blair's landslide 1997 election win and tipped as a key strategist for an expected general election in May, resigned after admitting he had been personally involved in looking into the prospects of getting a British passport for Srichand.

Shortly after Mandelson's intervention, the brothers made a £1 million ($1.5 million) donation to London's ill-fated Millennium Dome project for which Mandelson had been responsible.

The brothers have strongly denied there was any link to Srichand getting a passport.

As Foreign Office minister for Europe, Vaz has been at the forefront of Prime Minister Tony Blair's efforts to fight a long tradition of British euro-scepticism.

Government officials say that Vaz has played a role in building Blair's links with the Asian community, an increasingly large and important group of voters.

The brothers are in New Delhi at present being questioned by Indian investigators over the Bofors arms scandal involving alleged kickbacks.

The case stems from allegations, denied by the brothers, that millions of dollars were paid in kickbacks to Indian officials for the 1986 sale of howitzer guns.

India's Central Bureau of Investigation (CBI) charged the brothers last October under India's Prevention of Corruption Act, alleging they received illegal commissions from Bofors for the artillery deal.

A political outcry over the deal contributed to the downfall of former Indian Prime Minister Rajiv Gandhi's government in 1989. Gandhi, who denied any involvement, was assassinated while campaigning for elections two years later.

Reuters contributed to this report.

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