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[cosmosmariner]

No10 takes action over Saudi arms crisis
By Christopher Hope, Whitehall Editor
Last Updated: 1:47am GMT 02/12/2006



Tony Blair is viewing the escalating crisis over a �10 billion Saudi arms deal as more serious than the long-running "cash for peerages" inquiry, according to senior Whitehall sources.

The news came as the Tories said the fraud investigators should drop a slush fund probe if there was no evidence "because British jobs and Britain's economic interest is at stake".

The Daily Telegraph disclosed yesterday that the Saudis have given Britain 10 days to halt a Serious Fraud Office inquiry into arms deals involving the Saudis and companies linked to BAE Systems.

advertisementUnless Mr Blair takes action the Saudis are planning to hand the contract for 72 Eurofighters to the French. Talks with Paris have already started.

One senior source said yesterday: "This is seen as a big embarrassment at Number 10, far more than the selling of peerages.

"A lot of problems will come from this - a massive programme is on the block."

The Prime Minister must balance the need to placate the Saudis, a major ally on the war on terror and a major overseas defence customer, with the necessity not to interfere with a Serious Fraud Office inquiry.

Mr Blair and one other Cabinet minister is understood to have raised the matter with Lord Goldsmith, the attorney general, who is also understood to have discussed the matter with Robert Wardle, the SFO's director.

Yesterday, neither 10 Downing Street nor the Attorney General would comment. However, the Foreign Office issued a statement insisting that the SFO would not be pressured.

A spokesman said: "The Serious Fraud Office is an independent Government department and part of the criminal justice system.

"Other parts of Government cannot and would not interfere in or prejudice its investigations."

[cosmosmariner]

Bye Bye Britania.

[007]

[scot47]

Shocking revelations. I cannot believe that in a defence contract some backhanders were paid.

Surely officers would not stoop to this sort of behaviour ?

[Stephen Jones]

C'est la merde. Mais je peux donner des classes de fran�ais aux professeurs de BAe. Ils peuvent bien payer un bon sou, n'est-ce pas?

[Cleopatra]

[007]

[Cleopatra]

No need to re-train as instructers of francais just yet. Seems that the BAE inquiry has been halted. By the government that came to power pledging to end 'corruption' in British politics, you understand:

http://www.guardian.co.uk/commentisfree/story/0,,1972794,00.html

[Arab Strap]

Even Mr. Blair, it seems, is willing to use 'wasta'...........

[TravellingAround]

Somewhat amusing to see the French willing to ignore all the corruption rumours yet still come away with nothing.

Not that they have ever bothered trying to get on the moral high ground when it comes to their dealings in the Middle East as they have never card what others think. Suppose you have to admire the bare-faced avarice rather than the more sly and duplicitous albeit face-saving Anglo-Saxon approach.

[Cleopatra]

[TravellingAround]

You don't seem to be disagreeing with my post there at all. It was my point that the British or Americans attempt to be all moralistic in approach yet hard cash wins in the end. The French just don't bother with all the insincere handwringing.

Why shouldn't the French ignore rumours? They can do what they like...it's just amusing that's all!

[007]

All, the Americans, British, and the French are the same. At the end, all are using the same 'Mickey Mouse' principle "Political and Economical Interests overrule the ethics"

[veiledsentiments]

Some things never change... I think it is called 'human nature.'

VS

[007]