Police are investigating money laundering allegations over the Liberal Democrats' acceptance of £2.4m from a donor later convicted of fraud.
Michael Brown's donation hugely boosted the party's 2005 election campaign, the BBC's Newsnight programme said.
Mr Brown was convicted of fraud in 2008 but vanished before being sentenced to seven years in jail last month.
The party said its auditors were "satisfied that we do not need to make provision for repayment".
Mr Brown's victims say the Liberal Democrats were using their stolen money.
Friday, June 19, 2009
Police examine Michael Brown donation to Lib Dems
Michael Crick was trying to make Liberal Democrat blood run cold on Newsnight earlier this evening, and now the story is on the BBC News website: