Greek government in turmoil after Golden Dawn video release

The Greek government was plunged into chaos on Wednesday after the release of a video showing the prime minister's chief of staff having a politically embarrassing conversation with a senior member of the neo-Nazi Golden Dawn party.

Takis Baltakos, cabinet secretary and one of premier Antonis Samaras's closest aides, resigned after a video appeared on the internet showing him claiming that the government had ordered the arrest of Golden Dawn lawmakers without having enough evidence.

Mr Baltakos admitted the film of his discussion with Ilias Kassidiaris, the Golden Dawn party spokesman, was genuine. He said in a statement he was "under pressure" from Golden Dawn lawmakers who claimed he was "conspiring against them".

Mr Samaras denied any knowledge of the incident, saying: "If this is indeed the case, he [Mr Baltakos] has no place in the government."

The incident is likely to cost Mr Samaras's New Democracy party votes at next month's European parliament elections, by revealing the connections between the party's rightwing faction, represented by Mr Baltakos, and the extremist Golden Dawn.

The video, posted on YouTube and Greek websites, was leaked shortly before parliament voted by an overwhelming majority to lift the immunity from prosecution of five Golden Dawn lawmakers, including Mr Kassidiaris. Six others, including the party leader, Nikos Mihaloliakos, are already in jail awaiting trial on charges of organising and running a criminal organisation.

The crackdown on Golden Dawn members has come in response to the fatal stabbing of a Greek rap singer by a self-described supporter of the party.

Panos Kammenos, leader of a rightwing splinter group, Independent Greeks, urged the government to resign. The Pasok socialist party, the junior coalition partner, tried to distance itself from the former cabinet secretary, saying "such relationships with neo-Nazis, racists and the extreme right must be revealed and punished".

In the video, Mr Baltakos appeared to be on friendly terms with Mr Kassidiaris, according to a transcript of their conversation released by Golden Dawn. The video appeared to have been filmed by Mr Kassidiaris in a parliamentary office using a concealed camera.

Mr Baltakos accused Charalambos Athanassiou, justice minister, and Nikos Dendias, public order minister, of ordering the arrests of Golden Dawn lawmakers last October even though "the investigator didn't have a shred of evidence". Both officials denied the accusations.

The remaining seven out of Golden Dawn's 18 lawmakers who have not yet been sanctioned are also expected to have their immunity lifted before the European parliament elections. These are being held at the same time as Greek elections for local government and regional officials.

It is still unclear whether the party will be banned from contesting the elections. Mr Kassidiaris, the party's candidate for mayor of Athens, says he is prepared to run for office from a jail cell.

Golden Dawn members have already registered a back-up party, National Dawn, which is prepared to field candidates for both the European parliament and local government elections if its parent group is officially banned.

Recent opinion polls show support for Golden Dawn has fallen from more than 11 per cent before the rap singer's stabbing but remains stable at around 7 per cent.