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By Gabe Whisnant
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British police on Tuesday opened a criminal investigation into Labour Party elder statesman Peter Mandelson over alleged misconduct in public office tied to his relationship with convicted sex offender Jeffrey Epstein.
London’s Metropolitan Police said detectives had reviewed reports concerning Mandelson and determined they met the threshold for a full investigation. The case centers on whether Mandelson improperly shared market‑sensitive government information with Epstein more than a decade ago.
Commander Ella Marriott said the force “has now launched an investigation into a 72‑year‑old man, a former government minister, for misconduct in public office offenses.”
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Misconduct in public office carries a maximum sentence of life in prison under British law. Police stressed that opening an investigation does not mean Mandelson will be arrested, charged or convicted.
Epstein Files Prompt Police Action
The investigation follows the release of more than 3 million pages of Epstein‑related documents by the U.S. Justice Department. British officials say the newly disclosed material raises serious questions about Mandelson’s conduct while he held senior government roles.
The files include emails and messages in which Mandelson appears to pass political and economic information to Epstein. The British government assessed that some of the information may have been market‑sensitive and should not have been shared outside official channels.
Prime Minister Keir Starmer told his Cabinet on Tuesday that he was “appalled” by the revelations contained in the Epstein files and concerned that additional disclosures may still emerge.
Starmer’s spokesman, Tom Wells, said the government referred its assessment to police after determining that the documents contained “likely market‑sensitive information” related to the 2008 global financial crisis and its aftermath.
Mandelson told The Times in an article published on Tuesday that Epstein was a “master manipulator: He continued, “I’ve had a lot of bad luck, no doubt some of it of my own making.”
Mandelson Resigns From House of Lords
The investigation has brought an abrupt end to Mandelson’s political career. He said Tuesday that he would resign from the House of Lords, Parliament’s upper chamber, where he had held a lifetime seat since 2008.
The Speaker of the Lords, Michael Forsyth, confirmed that Mandelson had informed officials he would retire effective Wednesday.
The resignation came as the government prepared legislation aimed at ejecting Mandelson from the chamber and stripping him of his noble title, Lord Mandelson. Under current rules, Mandelson will retain the title unless Parliament passes legislation to remove it — a step that has not been taken in more than a century.
Mandelson also resigned from the governing Labour Party over the weekend, saying he did not want to cause the party “further embarrassment.”
Mandelson’s Career and Epstein Ties
Mandelson served in several senior roles under previous Labour governments and was widely regarded as a central figure in the party’s modern history. He also served as the United Kingdom’s ambassador to Washington before Prime Minister Starmer dismissed him in September over his ties to Epstein.
Epstein, a wealthy financier with extensive political and social connections, pleaded guilty in 2008 to state charges in Florida of soliciting and procuring a minor for prostitution. He was sentenced to 18 months in jail. Epstein died by suicide in a New York jail cell in 2019 while awaiting trial on federal sex trafficking charges.
Documents released by U.S. authorities show Mandelson’s association with Epstein continued after the financier’s conviction and prison sentence.
Financial Transactions and Emails Under Scrutiny
Among the disclosures in the newly released files are bank documents suggesting that between 2003 and 2004, Epstein sent three payments totaling $75,000 to accounts linked to Mandelson or his partner, Reinaldo Avila da Silva.
Mandelson has said he does not recall receiving the money and is examining whether the documents are authentic.
The files also show that in 2009, Epstein sent 10,000 pounds — about $13,650 at current exchange rates — to da Silva to pay for an osteopathy course. Mandelson told The Times of London that “in retrospect, it was clearly a lapse in our collective judgment for Reinaldo to accept this offer.”
Emails from the same year suggest Mandelson, then serving as business secretary, discussed with Epstein the possibility of lobbying other government officials to reduce a tax on bankers’ bonuses.
Another message shows Mandelson forwarding Epstein an internal government report on potential measures to raise money following the 2008 financial crisis, including the sale of government assets. Mandelson wrote in the email: “Interesting note that’s gone to the PM.”
Alleged Market‑Sensitive Information
One of the most serious allegations involves a message Mandelson sent to Epstein in May 2010 stating that “sources tell me 500 b euro bailout” was nearly complete. The message was dated just hours before European governments publicly announced a 500 billion euro agreement to stabilize the single currency.
British officials say such disclosures, if confirmed, could amount to misconduct in public office by sharing confidential or market‑sensitive information with a private individual.
Political Reaction and Condemnation
Health Secretary Wes Streeting said Mandelson’s continued association with Epstein after his conviction amounted to “a betrayal on so many levels.”
“It is a betrayal of the victims of Jeffrey Epstein that he continued that association and that friendship for so long after his conviction,” Streeting told the BBC.
Streeting added that Mandelson also betrayed political leaders who trusted him, including former Prime Minister Gordon Brown and current Prime Minister Starmer.
Updates: 2/3/26, 6:40 p.m. ET: This article was updated with new information and remarks.
This article includes reporting by the Associated Press.
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