UK anti-corruption minister resigns over ties to ousted Bangladesh Prime Minister

After weeks of inquiries over her financial ties to her aunt, Sheikh Hasina, who was ousted last year as prime minister of Bangladesh, the British minister in charge of financial services and combating corruption resigned on Tuesday.

42-year-old Tulip Siddiq had constantly denied any misconduct; Prime Minister Keir Starmer declared last week he had complete faith in her.

For Starmer, whose favor ratings have dropped since his Labour Party won a general election in July, the departure of a second government minister in two months is a setback.

Following the election, Siddiq received the portfolio containing financial services policy; this position includes responsibility for policies against money laundering.

In a statement, Siddiq claimed her situation was “probably a distraction from the work of the government,” even if an inquiry into her financial issues revealed she had not broken the ministerial code of conduct.

“I have thus decided to leave my ministerial post,” she remarked.

Emma Reynolds, a pension minister, was quickly assigned to Siddiq’s post by Starmer.

Having governed Bangladesh since 2009, Hasina is under investigation there on allegations of money laundering and corruption. Hasina and her party deny any misbehavior.

December saw Siddiq named as part of Bangladesh’s inquiry into whether her family participated in fund siphoning from Bangladeshi infrastructure projects.

Saying Hasina and Siddiq may have profited, the anti-corruption commission claimed financial anomalies worth billions of dollars in the granting of a $12.65 billion nuclear power contract.

Following more investigations into the use of properties connected to Hasina and her supporters, Siddiq referred herself to the government’s independent ethics adviser. Documents kept with Companies House and the Land Registry show Siddiq lived in a north London house given to her family by Bangladeshi lawyer Moin Ghani, who has represented Hasina’s government.

From a developer connected to the Awami League, Hasina’s political party, the Financial Times revealed this month that she also obtained a separate house in London in 2004 without paying for it.

Following weeks of demonstrations, Hasina left Bangladesh.

Siddiq’s leaving comes after British transport minister Louise Haigh resigned late last year. Before joining the government, Haigh admitted to a minor criminal violation involving a cell phone she had mistakenly reported stolen.