The Sunday Times is reporting that the Electoral Commission is to investigate whether, in breach of electoral law, Ed Balls continued working for Gordon Brown while on the payroll of the Smith Institute charity before becoming an MP.

Regular readers will know that this allgation was a central part of Guido’s campaign against the Sith. Essentially the Smith Institute was a slush fund for Gordon’s ambitions. The Tories are now convinced that Ed Balls continued working for Gordon Brown when he was on the charity’s payroll. They have been trying for six months to ascertain whether or not he continued to have access to the Treasury with a security pass. Guido has other evidence that Ed Balls continued to act as Gordon Brown’s political adviser during th 2004 / 5 period when he was being paid by the charity. Not only Balls but also Tony Pilch, a former SpAd close to Balls, and Bob Shrum during the same over-lapping period were working for the Smith Institute.

According to the Sunday Times “the Tories are submitting a complaint to the Electoral Commission and John Lyon, the parliamentary commissioner for standards. They want Brown to be challenged over whether Balls had a pass.”

Guido understands that the Electoral Commission is already making inquiries, including in the United States, following a complaint made last July (after the Charity Commission report condemned the Smith Institute for partisan activity) by the Sunlight Centre for Open Politics. That letter of complaint (here) focused on the activities of U.S. pollster Bob Shrum. Shrum was paid by the Smith Institute to advise Gordon Brown, these slush payments are a serious breach of electoral law.