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The chair of a men-only 'slimeball's' fundraising dinner' has quit his Government jobs, over claims that "women were bought as bait by rich men" at the event.

It follows a surge of outrage over the Presidents Club event, held at the Dorchester Hotel, which where women were hired as 'hostesses', ordered to wear skimpy dresses and "paraded" in front of wealthy guests.

In an undercover investigation by the Financial Times revealed women's claims of guests "putting hands up their skirts”. One said “an attendee had exposed his penis to her during the evening.”

In an urgent question in the House of Commons, furious Labour MP Jess Philips said: "I notice that the organisation wants to put it onto the individual members, but what actually happened was that women were bought as bait for men.

“Rich men, not a mile from where we stand, as as if that is acceptable behaviour.

“It is totally unacceptable.”

She also raised concerns over Children's Minister Nadhim Zahawi having attended the dinner, though he insists he left the event early because he was "uncomfortable."

A senior No 10 source said the “Prime Minister was uncomfortable at the reports that she read this morning” - and said businessman David Meller was “asked to step down”.

(Image: PA) (Image: PA)

Education minister Anne Milton confirmed David Meller, the chair of the charity that ran the annual event, had stepped down from two government jobs following reports of "inappropriate and lewd behaviour" at the event.

She said: "Allegations of this kind of behaviour are completely unacceptable."

Great Ormond Street Hospital has already vowed to return donations raised at a men-only 'slimeballs charity event' after allegations of sexual harassment of female workers.

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(Image: PA)

A senior Number 10 source stressed Mrs May “read” reports, pointing out: “Clearly this is an event to which she would not be invited because she is a woman.”

Downing Street sources said Education Minister Nahdim Zahawi “clearly did attend the event briefly and he has himself said that he felt uncomfortable at it, leaving at the point at which the hostesses were introduced by the host”.

The PM has not spoken to Mr Zahawi and has no plans to, No 10 said.

But the source added: “I think it is probably safe to say Mr Zahawi will not be attending this event in the future.

“He himself has said he was uncomfortable at what begun to happen during that evening, I think he himself probably regrets the decision to go.”

Jeremy Corbyn’s spokesman said: “What has been reported about this event is appalling.

“Women clearly felt threatened there. It’s a gross example of sexual harassment under this organisation’s umbrella.

“What took place there is outrageous and should be condemned.”

Reporters from the Financial Times went undercover at the dinner, among the 130 working hostesses for the evening.

According to the FT, they were told to wear skimpy black outfits with matching underwear and black “sexy” shoes.

Hostesses were paid £150 and given wine before being sent out to attend to guests.

(Image: Financial Times)

Last night, FT journalist Madison Marriage, who went undercover as a hostess at the event, told BBC Newsnight: “I was groped several times, and I know there were numerous other hostesses who said the same thing had happened to them.”

She added: “Hands up skirts, hands on bums, hands on hips, hands on stomachs, hands going round your waist suddenly … This event has been running for 33 years.

"We knew from women who have worked at it over the last decade that such things go on, which is why we wanted to go in there and see it for ourselves. But there were plenty of women there who had absolutely no idea that was the kind of event it would be.”

Hostesses were told two days before the event that their phones would be “safely locked away” for the evening.

And the selection criteria for women to work at the event required them to be “tall, thin and pretty”.

(Image: Financial Times)

They were paid £150 for the night, plus £25 for a taxi home - and were required to sign a five-page non-disclosure agreement before starting work.

She said: "As honourable members will know, David Meller has been a non-executive board member in the Department for Education, and the chair of the Apprenticeship Delivery Board.

"The government expects board members to adhere to the code of conduct for board members of public bodies. This quite clearly states that they should adhere to the seven principles of public life.

"David Meller is stepping down as non-executive member for the Department for Education and the Apprenticeship Delivery Board, and I know that my Right Honourable Friend the Secretary of State is absolutely clear that this is the right thing to do."

Labour's Jess Phillips secured the urgent question about the seedy dinner in the House of Commons today.

And Tory MP Margot James sent a tweet to Lib Dem MP Jo Swinson, asking to be added to a letter she was preparing to the Charities' Commission, describing the event as a "slimeball's charity event".

Lunch with Foreign Secretary Boris Johnson was among lots up for grabs in a charity auction held at the exclusive London bash.

Newly-appointed children’s minister Nadhim Zahawi says he did attend, but left early.

He told ITV News: "I didn't stay long enough to really comment on the occasion."

There's no suggestion of any wrongdoing on the part of Mr Zahawi.

A Department for Education spokesman said: “This charity event was attended in a personal capacity. It was not official departmental business and as such we are unable to comment further.”

David Meller, a Tory donor and non-executive director at the Department for Education, who was made a CBE in the new year’s honours list, is chair of the charitable trust that runs the event.

(Image: Getty)

Mr Meller has donated more than £63,000 to the Conservative Party, and directly to Tory MPs including Michael Gove and Robert Halfon, since 2009.

A spokesperson for Great Ormond Street Hospital said: "We are shocked to hear of the behaviour reported at the Presidents Club Charitable Trust fundraising dinner. We would never knowingly accept donations raised in this way.

"We have had no involvement in the organisation of this event, nor attended and we were never due to receive any money from it.

"All moneys raised in our name go to support vital work. However due to the wholly unacceptable nature of the event we are returning previous donations and will no longer accept gifts from the Presidents Club Charitable Trust."

When contacted by Mirror Online, a spokesperson said: "The Presidents Club recently hosted its annual dinner, raising several million pounds for disadvantaged children.

"The organisers are appalled by the allegations of bad behaviour at the event asserted by the Financial Times reporters.

"Such behaviour is totally unacceptable. The allegations will be investigated fully and promptly and appropriate action taken."

The Dorchester Hotel told the Financial Times: “We are unaware of any allegations and should we be contacted we will work with the relevant authorities as necessary”

A spokesperson for Artista, the agency that hired the women, said: “There is a code of conduct that we follow. I am not aware of any reports of sexual harassment, and with the caliber of guest, I would be astonished."