This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/7384937.stm
The article has changed 7 times. There is an RSS feed of changes available.
| Version 3 | Version 4 |
|---|---|
| BAE review seeks bribery controls | BAE review seeks bribery controls |
| (about 2 hours later) | |
| A review into business practices at defence firm BAE Systems has called for tougher anti-bribery measures. | A review into business practices at defence firm BAE Systems has called for tougher anti-bribery measures. |
| The study by Lord Woolf, former Lord Chief Justice of England and Wales, set out 23 recommendations for the firm. | The study by Lord Woolf, former Lord Chief Justice of England and Wales, set out 23 recommendations for the firm. |
| Lord Woolf said the report provided a "route map" for BAE to ensure it was a leader for its ethical standards. | Lord Woolf said the report provided a "route map" for BAE to ensure it was a leader for its ethical standards. |
| The review began after accusations that BAE made multi-million-pound payments to help win a deal from Saudi Arabia - though all parties deny any wrongdoing. | The review began after accusations that BAE made multi-million-pound payments to help win a deal from Saudi Arabia - though all parties deny any wrongdoing. |
| The report said the firm should publish a global code of ethical business and strengthen its anti-bribery measures in the appointment, management and payment of certain advisers. | The report said the firm should publish a global code of ethical business and strengthen its anti-bribery measures in the appointment, management and payment of certain advisers. |
| The document also proposed a range of measures to strengthen board oversight of ethical issues through the Corporate Responsibility Committee. | The document also proposed a range of measures to strengthen board oversight of ethical issues through the Corporate Responsibility Committee. |
| Business wide? | |
| The BBC's business editor Robert Peston said that the report's finding, that in the past BAE did not pay sufficient attention to ethical standards in the way it conducted business, was an embarrassing admission. | |
| He added that in the past, it had always been argued that defence companies could not be cleaner than clean if they wanted to win the biggest contracts and promote employment. | |
| Is there any sensible reason why reforms that are right for BAE shouldn't apply to the rest of British industry? Robert Peston,BBC business editor Read Peston's thoughts in full | |
| However, because BAE has committed to implement Lord Woolf's measures, there will now be a very real test of whether commercial success and ethical conduct can be bedfellows. | |
| The BBC's business editor explains that while the implications for BAE are serious, there are also implications for all big British multinationals. | |
| Lord Woolf's proposals for BAE go much further than what most companies do to ensure that they do not stray into the moral dark side. | |
| As a result, other companies may now find it harder to argue that the reforms facing BAE should not also apply to the rest of British industry. | |
| 'High standards' | |
| The High Court ruled recently that it was unlawful for the Serious Fraud Office to have ended an investigation into BAE's al-Yamamah deal with Saudi Arabia. | |
| The £43bn deal was signed in the 1980s but continued into the 1990s. It involved BAE selling Tornado and Hawk jets, as well as other weapons, and also included long-running maintenance and training contracts. | The £43bn deal was signed in the 1980s but continued into the 1990s. It involved BAE selling Tornado and Hawk jets, as well as other weapons, and also included long-running maintenance and training contracts. |
| SEE THE FULL REPORT Ethical business conduct in BAE Systems [2.06MB] Most computers will open this document automatically, but you may need Adobe Reader Download the reader here | |
| The fraud office said the probe would have undermined national security and it has been given permission to appeal against the court ruling. | The fraud office said the probe would have undermined national security and it has been given permission to appeal against the court ruling. |
| BAE has maintained that it acted lawfully. | BAE has maintained that it acted lawfully. |
| Following the allegations, BAE Systems charged the Woolf Committee with looking into how the company did business and asked it to publish a public report into the defence firm's practices. | Following the allegations, BAE Systems charged the Woolf Committee with looking into how the company did business and asked it to publish a public report into the defence firm's practices. |
| Lord Woolf said BAE had accepted it had no alternative "but to continue along the route of taking all practicable steps to ensure that the circumstances that gave rise to allegations of past misconduct do not reoccur in the future". | Lord Woolf said BAE had accepted it had no alternative "but to continue along the route of taking all practicable steps to ensure that the circumstances that gave rise to allegations of past misconduct do not reoccur in the future". |
| He added that the report made a number of observations to the UK government, which "could and should do more to promote high standards of ethical business conduct and help protect the global reputation of all British businesses". | He added that the report made a number of observations to the UK government, which "could and should do more to promote high standards of ethical business conduct and help protect the global reputation of all British businesses". |