Red-faced National to begin inquiry

National will begin an internal inquiry after being rocked by the publication yesterday of personal messages of advice to leader Don Brash by Business Roundtable leaders and Act founders Sir Roger Douglas and Ruth Richardson.

The messages at the time of Dr Brash's challenge to Bill English and afterwards were compiled not just from emails but faxed messages to Dr Brash.

That suggests it was not a hacker but someone who worked in or had access to National Party offices.

Sunday newspapers which published extracts from emails and faxes say the material originated from a National Party source.

It is believed that Dr Brash used to have an email address that went to quite a few people, as well as a more private one.

Some National figures are privately blaming Act.

Others believe the material may have been passed by a National insider to Labour who held on to it, and then timed the leak to try to break any momentum Dr Brash might receive from tax-cuts policy and treaty issues this week.

Prime Minister Helen Clark has made frequent reference lately to former Finance Ministers Ruth Richardson and Sir Roger Douglas, most recently in her campaign opening speech.

Education Minister Trevor Mallard also told TV One's Agenda programme last month that the issue of National's funding was a "developing story", and to "just hang about and wait" for more evidence.

One of the emails cited was from Business Roundtable vice-chairwoman Diane Foreman, who reportedly told Dr Brash that all National MPs be contacted and advised that the party's coffers would dry up if they did not back him.

"Could you contact all your friends in the business community and ask them to lobby their MPs for you i.e. no Brash, no money."

Among the documents given to the newspaper was a copy of Dr Brash's speech to the caucus two days after his victory in which funding was mentioned: "As you and I both know, the party is currently very short of money, with no obvious willingness on the part of those who could do so to write out big cheques ...

"I believe that attracting that money would be substantially easier with me as leader."

Labour Party minister Steve Maharey issued a statement yesterday asking: "Who are the donors that you believed you would attract money from?

"Are some of the donors the likes of Michael Fay and David Richwhite? How much have they given you?

"Can you once and for all put to bed the notion you're getting assistance from overseas?"

Dr Brash described it yesterday as "just another dirty tricks campaign," to divert attention from National's messages.

Asked if he was concerned about security and if National staff would be probed he said: "We are going to [do] an investigation into these matters, no doubt about it".

Dr Brash said as soon as he announced his decision to seek the leadership he had advice from all quarters.

"Everybody wanted to say how to do it, etc."

He said National stood for "mainstream" New Zealand and it had quite different policies to the Business Roundtable.

But Prime Minister Helen Clark said Dr Brash had been helped into the leadership of the National Party "so he can do the work of the hard right, the big money pullers, someone prepared to do that sort of job".

Ruth Richardson, said she was "appalled" that her private emails were "in the public domain".

"I am nobody's pawn," she said.

She had talked to Dr Brash about "statecraft" and was supportive of his taking over the leadership.

- additional reporting by Ruth Berry, Anne Beston and Mathew Dearnaley.