Rozanne Duncan was expelled last month after chiefs of the UK Independence Party revealed she had made the “jaw dropping” remarks to a BBC documentary maker, but the party refused to say what she had said, the Daily Mail reported.
Duncan, 68, allegedly said she had a problem with black people because there was “something about their faces”.
The remarks were allegedly passed to UKIP bosses forcing the party to expel her shortly before Christmas, the report said.
Duncan made the comments during filming for a TV documentary about UKIP in South Thanet in Kent county — the seat where UKIP leader Nigel Farage is standing for election in May.
She allegedly insisted she was “not a racist” because she had “many Asian shopkeeper and local business friends”.
Duncan, a former Conservative who represents Cliftonville East ward on Thanet district council as an independent, refused to confirm or deny that she had made the remarks attributed to her, the Times reported Thursday.
“I was not expelled for having an ‘association with or membership of an organisation incompatible with membership of the party’, nor have I links with a far-right or any other group,” she said.
“The only group I’ve ever belonged to is the Conservative party — unless you count Mensa, the Women’s Institute or the Order of Women Freemasons.”
A UKIP spokesman said the party was “shocked and appalled” by her alleged comments, adding: “As soon as we were made aware of them, we took immediate action to expel her from the party.”
The controversy is just the latest row over racism to hit UKIP after Farage last month defended a disgraced party candidate taped referring to a Chinese woman as a “Chinky bird”.