BAE Fraud Investigations To Be Re-examined

BAE’s controversial involvement with Saudi Arabian officials is now likely to continue to be the subject of speculation, with fresh news of a juducial review action raised by an influential pressure group today.

The move by Corner House Research to challenge the validity of a decision to cease investigations into BAE’s alleged dealings with high ranking Saudi officials is set to see the case brought before the High Court, to consider whether there were in fact grounds to continue investigations at the UK’s largest defence contract provider.

The situation surrounds allegations that BAE had made illegal payments to Saudi government executives over 20 years ago, which has been reviewed for some time by the Serious Fraud Office. Pending the High Court judgement, further investigations could commence into the nature of payments made by the company, which it says were perfectly above board.

BAE are thought to have made the dealings in securing a contract worth £40 billion in 1985 for the provision of jets and military supplies to the Saudi government. However investigations into foul play surrounding the transaction were halted after a declaration from the courts that the continuance may be contrary to national security interests.

BAE has in recent years enjoyed significant trade with Saudi Arabia, supplying billions of pounds worth of equipment and machinery to serve the nation’s armed forces. It remains to be seen whether the investigations, halted on grounds of national security, may be reopened in light of the pending court action.

Corner House Research, the group behind the action, works to challenge corruption and enforce legal remedies for global financial misdemeanours. The company will argue on the basis that irrelevant considerations were taken into account when the decision was made, which could render the move by the attorney general last year invalid.

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