Corruption is a Crime

Last night’s Panorama on BBC One alleged that the Ministry of Defence “directly administered payments of more than £1bn to Prince Bandar of Saudi Arabia”, according to The Guardian.

According to the BBC, MoD officials in Whitehall themselves processed quarterly “invoices” from the Saudi prince, who was seeking payment for “support services” for his role in the al-Yamamah arms deal. The invoices were passed on to BAE executives, who would then wire the latest instalment of cash to accounts at Riggs bank in Washington.

The transfers from an account held at the Bank of England went in batches of £30m a quarter for at least a decade.
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Last night as Lib-Dem politicians renewed their questioning, Lord Goldsmith remained silent on whether he had advised that information about the Bandar payments be concealed from the OECD - the world’s anti-corruption organisation.

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Liberal Democrat Leader Ming Campbell has demanded a statement from the Prime Minister following an investigation by the BBC’s Panorama. The programme found evidence that BAE has secretly paid £1bn to Prince Bandar of Saudi Arabia in connection with Britain’s biggest ever weapons contract, known as the Al Yamamah deal. The payments were made with the full knowledge and authorisation of Ministry of Defence.

Campbell said:

“When I questioned the Prime Minister about this issue in the House of Commons, he took full responsibility for the decision to discontinue the investigation into BAE. In light of BBC’s allegations, the Prime Minister must make a full and detailed statement to the House of Commons.”

The Liberal Democrats’ Deputy Leader, Vince Cable, has called for a parliamentary inquiry. He said:

“If it is indeed true that the British Government has been complicit in enormous under the counter payments to Prince Bandar there must be a full investigation by Parliament, and the Public Accounts Committee must be reconvened to pursue the al Yamamah investigation. My colleagues and I will not rest until there is proper ministerial accountability for what appears to be totally unacceptable conduct which completely undermines anti-corruption legislation.”

The Panorama edition on Al Yamamah will be broadcast on Monday 11 June at 8.30pm on BBC One.