EU probes British newspaper cash-for-secrets allegations

(BRUSSELS) - The European Commission said Sunday it is looking into allegations by a British newspaper that a senior EU official gave market-sensitive information to reporters posing as business lobbyists.

The Sunday Times said it had a tape recording of the aide to EU Trade Commissioner Peter Mandelson revealing secrets to the journalists, who offered money from a Chinese businessman seeking insider trade information.

It said that the official had discussed the possibility of accepting payment or taking a job with the businessman, but underlined that he did not agree to accept either.

But it added that his actions appeared to breach EU staff regulations, which state that officials must "refrain from any unauthorised disclosure of information received in the line of duty."

The European Commission, the EU's executive arm, which negotiates global trade agreements on behalf of the 27 member states of the European Union, said it is trying to find out more.

"The commission opened an investigation to establish the facts and the appropriate consequences," it said in a statement, noting that the official alleged to have been involved was on leave.

The statement was issued Friday, after the newspaper contacted the EU executive but before its story was published. Commission officials contacted by AFP were unable to provide more details.

The commission urged the Sunday Times to come forward with any tape recordings and other relevant information it might have on the allegations, published after a six-month investigation by the paper.

"The commission follows a policy of zero tolerance vis-a-vis unethical and illegal behaviour," it said, adding that it "recalls and fully respects the presumption of innocence of persons under investigation or subject to allegations."