Allegations that the Treasury helped the head of a Russian mercenary group to “circumvent sanctions” and take a British journalist to court will be looked into carefully, a minister has suggested.

Oxford West and Abingdon MP Layla Moran raised allegations made by media website openDemocracy that a Treasury team gave Wagner Group boss Yevgeny Prigozhin’s lawyers licence to sue a Bellingcat journalist in the UK while the Russian oligarch was subject to sanctions.

The Liberal Democrat MP told the Commons: “He might be aware of the revelations this morning from openDemocracy about the UK Government helping the head of the Wagner Group to circumvent sanctions already imposed on them to sue a British journalist working for Bellingcat.

READ MORE: Layla Moran writes to Evri about 'appalling service'

“Is he aware of this story? Has there been an investigation done into this story?

"And would he take this opportunity to condemn what would seem to be a very egregious – how should I put it? – this is sanctions that we imposed, and yet somehow we are not imposing them in practice. This isn’t right.”

Business minister Kevin Hollinrake replied: “I think it would be wrong to make any representations on any particular case, but anybody who seeks to enable somebody to avoid sanctions, clearly that is entirely unacceptable.

“I am sure those allegations will be looked into very carefully and we should definitely make sure there is a proper review before we come to any firm conclusions.”