from the hip

I always get very suspicious when governments, at whichever level, are eager to block, halt or close down fraud investigations. Now Gordon Brown is eager to close down the fraud investigation against BAE Systems.

It is a strange case. Tony Blair pressed Robert Wardle, the director of the Serious Fraud Office, to drop the investigation into secret payments by the arms company to Saudi Arabia. Then the case was brought before the high court. On Thursday, the high court, according to Guardian, 

rejected claims that the inquiry had had to be closed down for security reasons because “lives were at risk” if Britain no longer received intelligence on national security from Saudi Arabia.
…  Lord Justice Moses, .. with Lord Justice Sullivan attacked the government’s interference as unlawful.
In their ruling, the judges said: “We fear for the reputation of the administration of justice if it can be perverted by a threat … No one, whether within this country or outside, is entitled to interfere with the course of our justice. The rule of law is nothing if it fails to constrain overweening power.”

Gordon Brown and the Conservatives in England are trying to hide something. For the moment it is difficult to know exactly what. But that it is something that would be hard to defend publicly is clear.

I don’t think Gordon Brown will be able to stop the investigation. I don’t like it when politicians place themselves above the law and above the high court.

From freeinternetpress.com:

The court said that the Saudis should have been made to understand “the enormity of the interference with the U.K.’s sovereignty, when a foreign power seeks to interfere with the internal administration of the criminal law. It is not difficult to imagine what they would think if we attempted to interfere with their criminal justice system”.

The high court will reconvene in a fortnight to decide what remedy to award the two groups of anti-corruption activists who brought the judicial review of the Serious Fraud Office (SFO) decision to end the inquiry.

The UK activist groups Campaign Against Arms Trade (CAAT) and The Corner House have done a great job in bringing this before the high court and winning. They deserve support in the continuation of this story as well.

I certainly will support them!

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Here is a little background on the case:

The arms company BAE secretly paid Prince Bandar of Saudi Arabia more than £1bn in connection with Britain’s biggest ever weapons contract, it is alleged today.

A series of payments from the British firm was allegedly channelled through a US bank in Washington to an account controlled by one of the most colourful members of the Saudi ruling clan, who spent 20 years as their ambassador in the US.

It is claimed that payments of £30m were paid to Prince Bandar every quarter for at least 10 years.

No, even that doesn’t bother me very much. Until recently, under UK law, even this was legal. Indeed, it was tax deductible, so legal was it.

This is the bit that does worry me though:

It is alleged by insider legal sources that the money was paid to Prince Bandar with the knowledge and authorisation of Ministry of Defence officials under the Blair government and its predecessors. For more than 20 years, ministers have claimed they knew nothing of secret commissions, which were outlawed by Britain in 2002.

See also: BAE corruption investigation switches to Tanzania