The Labour Party fears it could face bankruptcy if the equalities watchdog finds it is institutionally antisemitic, it has been reported.
The Independent reports that members of its ruling body, the National Executive Committee (NEC), have privately voiced fears that the party could face legal action from Jewish members if the Equalities and Human Rights Commission concludes the party is racist.
Labour is the second party, after the far-right BNP, to face a probe from the EHRC over allegations of racism.
The paper reported the prospect of legal battles if the EHRC found the party is racist - and who would be financially responsible for them - were raised at a recent NEC meeting but the conversation was shut down by allies of Jeremy Corbyn.
