Labour Party candidate Steph Booth said she suffered verbal abuse and her family were "sneered at".

Mrs Booth said staff at non-profit-making Cool UK, which offers vocational training for young people, were buying and downloading porn on the premises.

She joined the Burnley-based outfit in April 2008 and was made redundant early last year. She was initially employed as a teacher and later as development director.

Mrs Booth, of Todmorden, told the Manchester hearing she had no formal teaching qualifications but had experience as a supply teacher.

Mrs Booth, stepmother to Cherie Blair, claims she was discredited by company boss Gareth Binding after making complaints over working practices, breach of contract and victimisation.

She alleges Mr Binding wrote letters, including one to the national executive of the Labour Party, intending to harm her chances as an MP.

Mrs Booth said Mr Binding ignored her concerns about staff difficulties as well as funding, safety and child-protection issues. In 2008, she said she was asked to raise concerns with Mr Binding whose behaviour was "aggressive".

Later, signed off with stress, she received a letter informing her of her redundancy.

Under cross-examination, Mrs Booth said she did not appeal against her dismissal as she no longer wanted to work for them.

Proceeding