FINLAND:FINLAND'S RANKING as the world's least corrupt country may take a hit after revelations that politicians pocketed over €400,000 in undeclared donations last year.
Opposition politicians are demanding a re-run of the 2007 elections after it emerged that over half the money landed in the coffers of prime minister Matti Vanhanen's Centre Party.
The funds came from Kehittyvien maakuntien Suomi (KMS or Finland of Evolving Regions) which, far from an interest in regional development, was most concerned with bypassing election fundraising laws which force all MPs to name names behind donations greater than €1,700.
The KMS, reportedly backed by leading Finnish business figures, passed on donations of between €10,000 and €20,000 to politicians, who did not report the funds.
The scandal came to light when one of the beneficiaries, Centre Party chairman Timo Kalli, mentioned on television that he had wittingly broken Finnish law by not divulging his biggest donors in the 2007 campaign.
He was not alone: other high-profile politicians with incomplete financial reports included the prime minister, his deputy Jyrki Katainen and the defence minister Jyri Häkämies.
The growing scandal reached breaking point when the Helsingin Sanomat newspaper reported that the KMS was founded in the Centre Party headquarters shortly before the election, and that up to 70 of Finland's 200 MPs have irregularities in their campaign filings.
Finland's Christian Democrat opposition is calling for the last election, in which the Centre Party gained 10 seats, to be struck out and another poll to be held alongside municipal elections in October.
"A number of ministers and leading politicians of the ruling parties have given rise to an extremely serious confidence crisis," said the Christian Democrats in a statement, warning Mr Vanhanen of parliamentary disruptions if an election is not called.
Mr Vanhanen retorted that it is "intolerable" to suggest that last year's election result was bought.
"I simply cannot swallow these claims," he said.
Mr Vanhanen denied that the money had strings attached and pointed out that some opposition politicians took KMS money too.
The Finnish leader said he is prepared to hold a parliamentary debate on the need for fresh elections.
The controversy has drawn attention to a little-heeded Council of Europe report published last December which found political financing in Finland to be "sparsely regulated, as opposed to other areas of public administration".
Independent supervision of donations was "purely a formality", the report said, noting that inadequate sanctions "may open up possibilities for abuse".
