Probe call over Fox donation claims
Liam Fox faces the prospect of investigations into claims he and close ally Adam Werritty broke the law by soliciting donations and keeping them secret.
Police and the Electoral Commission are being asked to probe allegations that the former defence secretary and Mr Werritty misled donors and failed to declare funding.
Meanwhile, Foreign Secretary William Hague signalled that the coalition Government will be looking at wider problems with the lobbying system in the wake of the scandal.
The latest developments came despite Dr Fox finally falling on his sword on Friday night after a turbulent week.
David Cameron shifted Philip Hammond to take charge at the Ministry of Defence, while Justine Greening replaced him at the Department for Transport.
According to the Sunday Telegraph, the reshuffle was so hastily conducted that Mr Cameron contacted his ministers from a train platform surrounded by morris dancers.
Venture capitalist Jon Moulton is understood to have approached Cabinet Secretary Sir Gus O'Donnell to complain at being "misled" by Dr Fox.
Mr Moulton said the Cabinet minister asked him to donate to Pargav, a not-for-profit company set up by Mr Werritty. He was apparently told the firm helped provide "security and analysis" and was unaware it was funding Mr Werritty's travel to meet Dr Fox on official trips.
There are reports that those giving money to Pargav had been promised anonymity, which could breach tough laws on declaring donations.
Bassetlaw Labour MP John Mann said he had written to police asking for a fraud investigation to be launched.