The terms of the loan set out in an unsigned
memorandum drafted for Mr Mandelson by his solicitors, Messrs
Wegg-Prosser and Farmer
THIS MEMORANDUM is made
the day of October 1996 between GEOFFREY ROBINSON (GR)
and PETER BENJAMIN MANDELSON (PBM) in respect of
9 Northumberland Place, London W2 (the property).
IT IS HEREBY AGREED
1. GR will provide PBM with an unsecured loan
(the loan) not to exceed £373, 500 to enable PBM to acquire
and refurbish the property.
2. PBM will at a time to be agreed between the
parties repay the loan together with simple interest accruing
thereon calculated by reference to the base rate of Midland Bank
plc (or any successor of that Bank) as varied from time to time.
3. This memorandum shall be kept confidential
and shall not be registered at H.M. Land Registry without the
consent of both parties unless GR shall give to PBM 90 days notice
of his intention to register the same so as to enable PBM to take
such steps as shall be appropriate to repay the loan.
4. In the event of the death of PBM GR shall
be at liberty forthwith to register this memorandum at H.M. Land
Registry so as to secure the repayment of the loan.
5. In the event of the death of GR PBM shall
take such action as shall be reasonably required by the Estate
of GR to secure the interest of the estate of GR for the repayment
of the loan but the estate shall not register this memorandum
as a charge against the property for a period of less than 6 months
from the date of the death of GR.
6. The loan together with interest accruing thereon
shall be repaid by PBM to GR upon the sale of the property unless
some substitute agreement shall be reached by GR and PBM.
7. Notwithstanding the terms hereof the loan
together with interest on the amount to be repaid shall be repaid
as to part by PBM out of the net proceeds of sale of [London flat]
after repayment of mortgages secured upon [London flat] and [Hartlepool
8. Other than a first mortgage to the Britannia
Building Society PBM shall not reduce the equity of the property
by securing any other loans upon the property.
15 October 1996 (Received
by the Parliamentary Commissioner for Standards on 13 April 1999)