Switzerland Begins Criminal Investigations into BAE Amid Suspicions of Money Laundering
TIMESONLINE: THE Swiss authorities have begun a criminal investigation into allegations of bribery and corruption surrounding Britain’s biggest defence firm.

The federal prosecutor’s office said a probe is under way into suspicions of money laundering involving BAE Systems. A spokeswoman for the office, said the inquiry was the result of a report received from the Swiss money-laundering authority.

The move will prove highly embarrassing to the British government, which decided to halt a two-year criminal inquiry by the Serious Fraud Office (SFO) into the £40 billion Al Yamamah contract to sell fighter jets and Hawk trainers to Saudi Arabia.

The spokeswoman declined to give further details. Now Switzerland launches bribery probe into BAE (more) By David Leppard

NZZ: Schweiz ermittelt in Affäre um britischen Rüstungskonzern: Verdacht auf Geldwäscherei

Mark Alexander

Leading Governments of Europe Want Wolfowitz Out

Photo of Paul Wolfowitz courtesy of SpiegelOnline International

SPIEGELONLINE INTERNATIONAL: Leading governments of Europe signaled that they were willing to let the United States choose the bank's next chief if Paul D. Wolfowitz stepped down soon, officials said.

Leading governments of Europe, mounting a new campaign to push Paul D. Wolfowitz from his job as World Bank president, signaled Monday that they were willing to let the United States choose the bank's next chief, but only if Mr. Wolfowitz stepped down soon, European officials said. Deal Is Offered for Chief’s Exit at World Bank (Read on)

Mark Alexander

BAE closely examined by US in the alleged bribery of Saudi officials case
FINANCIAL TIMES: Congress is stepping up its scrutiny of the UK government’s move to halt a bribery investigation into BAE as the British company increases its US profile with the $4.1bn purchase of Armor Holdings.

The deal – for the biggest maker of armour for Humvee transport vehicles – cements BAE’s status as the Pentagon’s largest foreign contractor.

Washington issued a formal protest in January after the UK Serious Fraud Office prematurely terminated an investigation into allegations that BAE might have bribed officials in Saudi Arabia to secure defence contracts. US steps up scrutiny of BAE case (Read on)

Mark Alexander

Wolfowitz’s Aide Steps Down

Photo of Wofowitz courtesy of Google Images

BBC: A senior aide to embattled World Bank president Paul Wolfowitz has announced his resignation.

Kevin Kellems said an ongoing scandal surrounding his boss made it difficult for him to remain effective in his role at the Washington-based institution. Senior Wolfowitz aide steps down (Read on)

Mark Alexander

US Department of Justice might launch formal inquiry into allegations of bribery and corruption by BAE Systems
TIMESONLINE: The US Department of Justice (DoJ) is in talks to establish whether it can launch a formal inquiry into alleged bribery and corruption in BAE Systems, The Times has learnt.

Mike O’Brien, the Solicitor-General, acknowledged that the UK’s Serious Fraud Office (SFO) has met the DoJ to discuss allegations of corrupt practices by BAE.

The DoJ is understood to be looking into whether it has the jurisdiction to pursue BAE over payments allegedly made to win defence contracts from foreign governments. The British Government terminated a similar investigation by the SFO in December amid fears that it would cause a breakdown in relations with Saudi Arabia.

The SFO has six continuing investigations into BAE, involving contracts won from South Africa, Chile, Romania, Tanzania, Qatar and the Czech Republic. Last week it emerged that an official at the US Embassy in London had complained formally to the British Government over the decision to stop the SFO’s Saudi investigation. US seeks to pursue BAE over claims company paid bribes (Read on) by David Robertson

Mark Alexander

US Protests Britain’s Dropping of Fraud Investigation into Alleged Bribery of Saudi Officials by BAE
FINANCIAL TIMES: The US issued a formal diplomatic protest to the British government over its decision to drop a fraud investigation into alleged bribery of Saudi officials by arms manufacturer BAE Systems.

The verbal protest was delivered in January by a US embassy official in London to the UK Foreign Office within days of the contentious decision being taken in December. Several governments, including the US, had raised the issue at a meeting of the anti-bribery working group of the Paris-based Organisation for Economic Co-Operation and Development.

The demarche, though discreetly delivered, was nonetheless strikingly forceful for a key military and security ally.

Diplomatic insiders told the Financial Times that Washington said the British decision put the Blair government in breach of both the spirit and the letter of the OECD anti-corruption convention that requires member states to have a “level playing field” in which to conduct commercial relations.

It is also embarrassing for BAE, whose corporate responsibility report, published this month, plays down the controversy surrounding the ditching of the investigation. US protested at axing of BAE probe (Read on) by Jimmy Burns and James Boxell

Mark Alexander

OECD to investigate Britain’s commitment to clean deals
Britain's commitment to fighting bribery is to be investigated by a prominent anti-corruption group.

The Organisation for Economic Co-operation and Development's move is prompted by the UK's decision to drop a probe into defence firm BAE Systems. Fresh criticism over BAE inquiry

Al-Yamamah Scandal

BAE System’s Dirty Dealings

Al Yamamah Bribery

’Government should be stripped of power to halt prosecutions’

Aljazeera on Britain's dropping of BAE Systems fraud inquiry


BAE: Al-Yamamah and National Security


Al Yamamah III


Mark Alexander