Conman Foster denies trying to sting Blairs

CONVICTED fraudster Peter Foster yesterday portrayed himself as the victim of a blackmail plot and media character assassination — and said he had never set out to “sting” the Blairs.

The Australian conman who has been jailed in America, Britain and his home country, took the opportunity to reveal in a long-awaited statement he was writing his autobiography and would include final chapters on the "Cheriegate" affair.

Mr Foster spoke out about his part in buying two flats for the Blair family, after becoming the boyfriend of Cherie Blair's confidante Carole Caplin, following more than two weeks of claim and counter-claim which have paralysed Downing Street.

His "final" account did contradict several aspects of Mrs Blair's own versions of events, but No 10 said they had nothing to "add or subtract" from what officials had said before.

Mr Foster said he had spoken to Mrs Blair on three occasions, maintained he had negotiated a £69,000 discount on the flats for her and said she had given him "innocent advice" on his deportation case.

All these aspects appeared at odds with either Mrs Blair or No 10's past statements, but Prime Minister Tony Blair's official spokesman said: "We have nothing to add or subtract from any of the thousands of words and minutes of briefings that have been devoted to this subject."

Mr Foster read out a prepared statement saying: "I have been the subject over the last few weeks of the most extraordinary character assassination. It has indeed been, as others have said, a media frenzy.

"I met Carole by chance on July 8 and was smitten. The very idea that this was part of a sinister plot by me to target the prime minister and his family is risible."

It was three months after he met Ms Caplin that he became involved in the flat purchase in Bristol.

He was asked to help in the deal "because of my business background".

Mr Foster said: "Yes, I managed a £69,000 discount. This was nothing to do with using the Blair name or working an angle. As far as I was concerned I was simply a friend helping a friend.

"I did not seek anything in return ... Cherie simply passed on to me a professional view of where I stood on the case.

"The notion I was attempting some elaborate sting on the Blairs is laughable. As everybody around me knows I had many opportunities and invitations to meet Tony and Cherie. I consistently turned them down aware my background could cause embarrassment.

"I only met Cherie once and as she said that was by chance. We spoke on the phone three times and corresponded by email."

But then Mr Foster said he was confronted by a demand for £75,000 from ex-footballer Paul Walsh a fellow shareholder in his slimming aids firm Renuelle who threatened to reveal he had helped Mrs Blair buy the two flats in Bristol.

Mr Foster said: "On November 27 I received an email from Paul Walsh, a fellow shareholder in a company called Renuelle. He was demanding £75,000 or, he threatened, he would reveal that I had been party to the flat negotiations. With my record, he said this would hurt the Prime Minister.

"We immediately told Downing Street of this threat. This email also made claims I had been boasting about the Blair relationship. I had not.

"Any information in connection with the flat negotiations that Paul Walsh obtained was I believe from my driver, who coincidentally is Paul Walsh's father-in-law.

"It was also Paul Walsh who went to the media. His actions are now subject of a police investigation following a complaint by me."

He added: "I apologise to Tony and Cherie for the mess a little help from your friends can get you in to. I know that intentions on both sides were always honourable."