In the News
Below is a selection of news headlines from around the world from the past month. Please see our disclaimer immediately below the news section.
Asia & Pacific
Copyright Financial Times
1 November 2007
Attempts to clean up private security firms operating in Afghanistan have become bogged down in corruption, according to claims from security companies. Afghan attempts to clean up the industry come following scandals in Iraq surrounding US contractor Blackwater.
Copyright Hindustan Times
11 October 2007
The government of Sri Lanka has proposed a regulation banning Sri Lankans from entering into any arms deals, in-country or abroad. Purchases of arms had allegedly become a lucrative business for middlemen and some persons in power.
Europe
Court to study BAE fraud decision
Copyright BBC
9 November 2007
Corner House and Campaign Against the Arms Trade have won a High Court challenge on the legality of the decision to shutdown the Serious Fraud Office’s investigations into BAE’s contracts with Saudi Arabia. The two organisations had been requesting permission to seek a judicial review.
Related articles
Epitome of old guard leaves as BAE awaits new leader of transformation
Copyright Financial Times
17 October 2007
Chief Executive of BAE Mike Turner resigned earlier than expected this month. Mr Turner has been a senior figure at BAE over periods in which the company has been subject to several corruption investigations, including over dealings with South Africa and Saudia Arabia.
Related articles
Copyright The Guardian
29 October 2007
The likely outcome of the consultation into the role of the attorney-general is that for the bulk of criminal offences, decisions by the director of public prosecutions would be final. However, for a small number of prosecutions in which the ‘public interest’ is at stake, the attorney-general could retain a function. This would include investigations such as the Serious Fraud Office’s into BAE’s Al Yamamah contracts with Saudi Arabia, which was controversially shut down in December 2006.
Copyright The Times
26 October 2007
A Labour peer has admitted taking money from an arms company lobbyist, who was later granted a meeting with the procurement minister at the Ministry of Defence.
Related story:
Copyright The Associated Press
23 October 2007
Former Croatian deputy defence minister should be extradited for trials on charges of embezzling gems used in arms, Vienna’s highest court has ruled. General Vladimir Zagorec has been accused of taking €3.5 million worth of gems later used as collateral for weapons purchases.
Copyright Financial Times
6 October 2007
France's Caisse des Depots has faced public criticism over its role in share dealings in EADS. The state-owned institution often acts as guarantor of French ownership for French companies.
Related article:
Copyright Azeri Press Agency
22 October 2007
Colonel Lieutenant Rasim Muradov was sentenced to eight years in jail for repeated bribery offences.
Americas
Arms dealer implicates Canadian ex-prime minister in cover-up
Copyright Agence France Presse
31 October 2007
Canada's ex-prime minister Brian Mulroney is alleged to have attempted to hide cash payments amounting to $300,000 received from arms dealer Karlheinz Schreiber.
Copyright Los Angeles Times
26 October 2007
A firm which won a $790 million medical services contract from the Defense Department has been accused of having an unfair advantage by rival companies. Three months before the award of the contract, the winning firm had hired an appointee of the Bush administration who had supervised military health programmes at the Pentagon over the preceding 6 years.
Copyright New York Times
1 November 2007
The US Army has been criticised for failing to train enough experienced contracting officers, deploying them rapidly to war zones, and ensuring they properly manage billions of dollars in contracts to supply US troops. These and other shortcomings were said to have contributed to widespread waste, fraud, and other corruption in Iraq and Kuwait.
Copyright Express-News
4 November 2007
The US Justice Department has been accused of trying to keep secret allegations of KBR receiving kickbacks from a subcontractor that helped it inflate food prices for American troops.
Iraq contract fraud focus of Army probe
Associated Press
27 October 2007
US Investigators are set to examine hundreds of Iraq war contracts for evidence of rigged awards. A team of acquisition experts, criminal investigators, and auditors are examining contracts worth $2.8 billion issued by an Army office in Kuwait which is believed by officials to be a centre of corruption activity.
Related story:
Middle East
Copyright Agence France-Presse
9 October 2007
Former Kuwaiti defence ministry official Faisal al-Dawood has been sentenced to life imprisonment and fined $72 million for corruption and profiteering. The official was accused of signing a faulty contract with a company in Hungary and of benefiting from the resulting financial losses to the state.
Africa
09 November 2007
South Africa’s Supreme Court of Appeal has accepted the legality of warrants issued against Jacob Zuma, deputy president of the ANC. This overturns a ruling last year of the Durban High Court.
Copyright The Star (South Africa)
19 October 2007
South Africa’s Justice Department has received a request from German officials in their investigations into kickbacks in a deal involving German sales of warships.
Disclaimer
Transparency International UK takes no position on the views presented by reporters, commentators, organisations and companies in the materials listed in this email or linked to in our website. As with any such resource, our purpose is to provide access to a wide selection of materials representing diverse viewpoints on a matter of obvious public interest. We do not exercise any editorial control over the materials and cannot guarantee their accuracy. The Digest is a free publication of Transparency International UK.
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