By Glenn Campbell BBC Scotland Political Correspondent

The leader of the Scottish Labour Party, Wendy Alexander, has said she will not resign, despite claims that she failed to declare donations to her leadership campaign. We examine the background to the row.

Undeclared donations spell trouble for Scotland's Labour leader

The Scottish Labour leader Wendy Alexander appears to have broken the law not once but twice.

Her leadership campaign has already admitted accepting an illegal donation worth �950.

That came from Paul Green, a Jersey-based businessman, who was not entitled to give money because he's not on the UK electoral register.

This issue is under consideration by the Electoral Commission, which has to decide whether or not to report the matter to the procurator fiscal.

Meanwhile, the head of another watchdog has sent his own report on Wendy Alexander to Scottish prosecutors.

The Scottish Parliament's standards commissioner, Dr Jim Dyer, has referred the Scottish Labour leader for not publicly declaring donations in her register of interests as a Member of Scottish Parliament (MSP).

Investigation

That appears to be a breach of the law which the commissioner is obliged to report to the fiscal.

It is up to the fiscal - Scotland's public prosecutor - to decide if the case merits investigation by the police.

He or she may want to consider Ms Alexander's explanation - that she was badly advised by the Scottish parliament's standards clerks.

The clerks told her in November that public declaration was not required.

The BBC understands the standards commissioner also took this view - before revising his thinking on taking legal advice.

The watchdog told Wendy Alexander on Friday that it was wrong to keep campaign donations secret.

Damaging

He advised that donations worth �520 or more should be declared as gifts in the MSP register.

The following day, Ms Alexander published details of the top ten donors to her campaign.

Political rivals say these circumstances do not amount to a valid excuse.

They point out that by the time she sought advice on what to declare, declaration was already overdue.

Wendy Alexander intends to remain as Labour leader in the Scottish Parliament and to fight to clear her name.

The longer her leadership is dogged by damaging headlines about donations, the more difficult that becomes.