AN ASIAN billionaire who gave a donation to the Labour Party before gaining the party’s approval to buy a Romanian steel plant has seen his wealth increase by £400 million, according to a survey.
Lakshmi Mittal was embroiled in controversy after it emerged he had donated £125,000 to the party shortly before Tony Blair, the Prime Minister, wrote a letter to the eastern European country’s government supporting the bid.
Aides to the Prime Mi
nister subsequently denied the two were linked following the episode, which became known as "Steelgate" when it broke in February last year.
Now a report by Philip Beresford, a financial journalist, compiled for the Asian Xpress newspaper, shows that Mr Mittal’s wealth has increased from £900 million last year to £1.31 billion this year.
Mr Mittal, who owns the LNM corporation, has moved up from being the eighth biggest steel producer in the world to the second.
A spokeswoman for Asian Xpress said: "Mr Mittal’s group has far-reaching worldwide financial interests which have only been bolstered by his new interests in Romania."
In this year’s report, which documents the UK’s 300 most wealthy Asians, there have been a number of changes, particularly since the Hinduja brothers left the country and returned to India.
The two men left Britain following controversy over Srichand Hinduja’s bid for a passport, which ultimately led to the resignation of Peter Mandelson, the then Northern Ireland secretary, after it emerged he had telephoned the Home Office in support of the application.
As the Hindujas were second place on the list, with a wealth of about £800 million, this has led to a number of changes from last year.
Scotland’s multi-millionaires, Afzal and Akmal Khushi, who own Jacobs & Turner, a Glasgow-based sportswear firm, have seen their fortune rise from £30 million to £49 million, meaning they have risen from 51st to 34th place.
However, as Anil Chandaria, the owner of Comcraft and Mainetti, has moved from Hawick to London, there are now no longer any millionaires from Scotland in the top ten.
Though Mr Chandaria has remained static, with his wealth estimated at £200 million, he has now moved from seventh to sixth place as a result of the Hindujas’ move.
Others from Scotland include Munawar Hayat, the owner of Sher Brothers, in Glasgow, who has gone from 51st to 24th place with a £27 million fortune, while Raju and Sunny Tuli, the founders of Jean Scene, have leapt from 93rd to 54th place with a total of £27 million. Mohammed Sarwar, the Labour MP for Govan, who owns United Wholesale, a cash-and-carry firm, has moved from 130th to 105th, with an estimated wealth of £19 million.
In total, since the move south by the Chandarias, Scotland’s Asians are worth £199 million, with the majority of the money, as in the rest of the UK, being invested in food, retailing or the clothing industry.
However, there are some further down the ladder connected with the media industry and, for the first time this year, three Asian celebrities are included on the list with a combined wealth of £14 million. These are Meera Syal, the star of the BBC comedy Goodness Gracious Me, who is in joint 286th place with £4 million along with Gurinder Chadha, the director of the film, Bend It Like Beckham.
Sir Ben Kingsley, who played the role of Ghandi in the film of the same name, is in the list for the first time, at 226th with £8 million.
Sarwar Ahmed, the publisher of the list, said: "The Asian Xpress list highlights the success of the Asian community in the UK and their contribution to the economy. These entrepreneurs have created enormous wealth for themselves, but have also supported the communities by creating jobs and investment.
"Over the years there has been a definite broadening of the industries that Asians are investing in, and although the traditional businesses of fashion, food and retailing are strong, up-and-coming generations are moving into the fields of media, pharmaceuticals, mobile phones and technology."
Britain’s ten richest Asians: 1. Lakshmi Mittal - LNM Group - £1.31 billion
2. Mike Jatania and family - Lornamead International - £570 million
3. Vijay and Bhikhu Patel - Waymade Healthcare - £350 million
3. Jasminder Singh and family - Edwardian Group -£350 million
5. Tom Singh - New Look - £250 million
6. Anil Chandaria and family - Comcraft - £200 million
7. Sir Anwar Pervez - Bestway - £167 million.
8. Gulu Lalvani - Binatone - £150 million
9. Bharat and Ketan Mehta - Necessity Supplies - £118 million
10. Navin and Varsha Engineer - Chemidex Pharma - £111 million
Five richest Asians in Scotland (overall UK placings in brackets):
1. (34) Afzal and Akmal Khushi - Jacobs & Turner - £49 million
2. (54) Munawar Hayat - Sher Brothers (Glasgow) - £27 million
3. (79) Raju and Sunny Tuli - The Jean Scene - £24 million
4. (89) Maq Rasul - Global Video - £20 million
5. (105) Mohammad Sarwar - United Wholesale - £19 million
The full article contains 853 words and appears in The Scotsman newspaper.
