THE TELEGRAPH: BAE Systems is ready to plead guilty and accept what is expected to be a record fine in order to bring a swift end to the Serious Fraud Office's (SFO) six-year investigation into allegations of corruption in Africa and eastern Europe.
The Sunday Telegraph can reveal that the company and its lawyers now want the opportunity to review the SFO's case and examine the evidence against it before trying to agree a deal.
Senior sources at the defence giant, Britain's biggest manufacturer, have held talks with the SFO to try to establish common ground on the facts of the case but these have ground to a halt, culminating in last week's statement from the SFO which said it was intending to seek the Attorney General's consent to prosecute the company.
BAE is hoping that the SFO will restart the talks with a view to it gaining a clearer understanding of the evidence against it and the provenance of the evidence. It wants to establish common ground between the two sides. If that process succeeds the company would be willing to plead guilty to certain charges and begin talks about a punishment. However, the company has trenchant views about what would be a proportionate and appropriate fine.
It is expected to refer to past financial penalties levied by the SFO when framing its negotiating position and believes a range of previous fines of £6.6m up to £19m is relevant. However, the SFO is understood to have indicated a fine of £200m to £300m would be suitable. >>> Amy Wilson and Rowena Mason | Saturday, October 03, 3009
