A PARLIAMENTARY investigation into George Galloway's alleged financial relationship with Saddam Hussein has been postponed until the outcome of Mr Galloway's libel action against the Daily Telegraph has been resolved.

Mr Galloway, the MP for Glasgow Kelvin, had asked the Commons standards and privileges committee to delay the investigation on the grounds that it may be prejudicial, and he welcomed the decision last night. He said: ''I'm glad I asked them to stop. It is clearly

prejudicial.''

The committee was poised to mount an inquiry into claims that Mr Galloway had received (pounds) 375,000 from Saddam's former Iraqi regime, but accepted that it would be inappropriate to progress while the libel action was still outstanding.