Report in the London Times:

For a decade the dark clouds of suspicion have hung over public figures from the worlds of politics and law enforcement who were rumoured to be part of the North Wales paedophile ring. They were linked to allegations not only of routine rape and child battering, but also claims of an extravagant national network of abusers in positions of power.

As the inquiry widened the great and the good became part of a perceived conspiracy of paedophiles involving children's homes in North Wales and beyond. There was also a suggestion that some of the perpetrators were Freemasons protected by their powerful contacts in the organisation.

Sir Ronald Waterhouse, QC, ended their agony yesterday when he said: "There was no evidence presented to the tribunal or North Wales Police to establish that there was a wide-ranging conspiracy involving prominent persons and others with the objective of sexual activity with children in care."

But when William Hague, then the Welsh Secretary, ordered the country's biggest inquiry into child abuse in 1996 he knew that he risked a major scandal in the Establishment. When he discussed it with junior ministers, they had heard rumours that a senior politician was linked to paedophile activity in Wales.

They believed his name might emerge during hearings. The man was a prominent figure in another political party. A source said: "It was basically decided that it wasn't a problem for us. The Prime Minister [John Major] hated [the rival politician] anyway." Throughout the inquiry the identity of some of the unnamed suspects has become known to a widening circle. Now their names will never be publicly exposed.

It was only the strict reporting restrictions imposed by Sir Ronald that prevented any names entering the public domain. They were common knowledge in certain circles. Publication of the Waterhouse report will come as an enormous relief to the policemen and leading figures in the community who had also been secretly named as sexual abusers.

About a dozen other men, including an executive with a local authority, a senior probation officer and a director of a major company, were named. They all denied it through evidence to the tribunal or through their lawyers.

When the tribunal was established it was assumed that the press would be able to report proceedings by using the laws of privilege which allow them to name names in court proceedings without fear of defamation actions.

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