Paul was one of the Lords caught up in the expenses scandal that rocked British politics in 2010. Most of the people involved were MPs from the House of Commons, while Paul was one of three Asian members of the House of Lords to be investigated for allegedly claiming expenses against rules.
The other two were Lord Bhatia and Baroness Uddin. Paul was suspended from the House of Lords for four months and resigned from the Labour party.
Speaking to The Guardian, Paul, Chairman of UK-based Caparo Group said: "Let me tell you one thing. In the financial year 2010 alone, I have given 1 million pounds to charity. Does anybody think that for bloody 41,000 pounds I'd loot the country?"
Paul said that he would have no problem if he felt sanctions had been applied consistently, but he is convinced that was far from the case. He points out that the Lords subcommittee chose to look at only four of 20 cases brought to its attention.
He said: "The three people they didn't clear were Asian," and indirectly suggested that racialism may have something to do with this. Paul believes that other peers were jealous when he became a deputy speaker in the Lords, and even more so when he became a privy counsellor.
Paul said: "I have a very high profile in India, and not one person believes it wasn't racialism. They have written to me and said, Lord Paul, you have been saying we have got over racialism in this country. Well, if this isn't racialism, what is?" (More)
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