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SFO appeals Saudi deal decision SFO contests Saudi deal decision
(about 2 hours later)
The Serious Fraud Office (SFO) is to begin an appeal against the ruling that it acted unlawfully in dropping its investigation into a Saudi arms deal. The Serious Fraud Office (SFO) has begun an appeal against the ruling that it acted unlawfully in dropping its investigation into a Saudi arms deal.
The SFO argued that national security would have been undermined if it had continued with its corruption inquiry.The SFO argued that national security would have been undermined if it had continued with its corruption inquiry.
But the High Court decided the SFO had given in to Saudi threats that it would end co-operation on security matters.But the High Court decided the SFO had given in to Saudi threats that it would end co-operation on security matters.
The inquiry had centred on allegations - since denied - that BAE Systems used illegal payments to get the contracts.The inquiry had centred on allegations - since denied - that BAE Systems used illegal payments to get the contracts.
At the centre of the investigation was the giant £43bn al-Yamamah deal which involved selling Tornado and Hawk jets, other weapons and long-running maintenance and training contracts to Saudi Arabia.At the centre of the investigation was the giant £43bn al-Yamamah deal which involved selling Tornado and Hawk jets, other weapons and long-running maintenance and training contracts to Saudi Arabia.
'Surrender''Surrender'
In December 2006, the then Attorney General Lord Goldsmith announced that the SFO was suspending its inquiry into the deal, saying it would have caused "serious damage" to UK-Saudi relations and, in turn, threatened national security.In December 2006, the then Attorney General Lord Goldsmith announced that the SFO was suspending its inquiry into the deal, saying it would have caused "serious damage" to UK-Saudi relations and, in turn, threatened national security.
The Saudi government had threatened to withdraw its co-operation on diplomatic and intelligence matters if the inquiry continued. It was also reported that a further £23bn order could be in jeopardy.The Saudi government had threatened to withdraw its co-operation on diplomatic and intelligence matters if the inquiry continued. It was also reported that a further £23bn order could be in jeopardy.
The High Court ruled in April this year that the decision to end the investigation represented an "abject surrender" to pressure from a foreign government.The High Court ruled in April this year that the decision to end the investigation represented an "abject surrender" to pressure from a foreign government.
According to the Campaign Against Arms Trade and the Corner House, who had both campaigned for a judicial review of the decision, the director of the SFO had failed to convince the court that he had done all in his power to resist the Saudi threat and uphold the rule of law.According to the Campaign Against Arms Trade and the Corner House, who had both campaigned for a judicial review of the decision, the director of the SFO had failed to convince the court that he had done all in his power to resist the Saudi threat and uphold the rule of law.
They believe the SFO's appeal will be unsuccessful.They believe the SFO's appeal will be unsuccessful.
"We remain confident of the strength of our case in the House of Lords. The principle that no one is above the law is fundamental to justice," said Nicholas Hildyard of the Corner House."We remain confident of the strength of our case in the House of Lords. The principle that no one is above the law is fundamental to justice," said Nicholas Hildyard of the Corner House.
The appeal will be heard by the Appellate Committee of the House of Lords and the hearing is expected to last two days.The appeal will be heard by the Appellate Committee of the House of Lords and the hearing is expected to last two days.