BAE Systems AGM 2007

CAAT's first 'Control BAE' campaign action took place at BAE Systems' Annual Shareholder meeting in May. CAAT supporters hold a number of 'token shares' in BAE Systems which enables them to attend the company's AGM. The AGM is the one time in the year when board directors face shareholders to discuss the company's activities, and provides CAAT supporters with a chance to directly challenge the board about BAE's deadly trade.

This year, the top dogs tried desperately to dodge a barrage of questions from campaigners which focused on the dropping of the SFO investigation. Despite a smooth and often choreographed performance by BAE's chairman Dick Olver, it was clear that he was avoiding the real issues. Sprinkling his answers with the words 'ethical', transparent', 'open' and 'fulsome', it was clear that Olver was trying a little too hard to get rid of the bad taste of the word Corruption.

The view from inside: Anna Jones, CAAT's Actions and Events Coordinator, describes the day

Around 50 CAAT 'Token Shareholders' attended the AGM, from all over the country and from all walks of life. From pensioners to students to nurses to an ex-MP from South Africa, we were a formidable bunch for the board to contend with.

The AGM took place in the vast auditorium of the Queen Elizabeth II Conference Centre, just over the road from Parliament, and a regular host to the rich and powerful. Looking up from my front row seat at the white middle-aged board (all men apart from one woman, who was stepping down after the AGM), high on their podium and accompanied by graphs and diagrams detailing this year's profits from conflict, it was difficult not to at first feel slightly sick. How is it that these people can sit here and get away with talking about selling arms as if it's a normal business activity? I thought to myself. How can we live in a world where people can justify selling weapons to kill other human beings in order to make profit?

But of course, not letting them get away with behaving as if it's business as normal is exactly why we were there. And making it clear that profiting from killing is totally unacceptable and challenging these powerful men is exactly what we did.

In the news

In his introduction to proceedings, Chief Executive Officer Mike Turner tried to pre-empt criticism surrounding the SFO investigation, saying that press reports had 'seriously distorted' perceptions of the situation. However, his attack on the press didn't deter most of the national broadsheet newspapers from reporting on the AGM, reminding the British public of the corruption allegations and highlighting that Olver had dodged numerous questions from shareholders. Even The Times advised that 'until the company comes clean on exactly who it has paid and for what, the allegations of bribery and corruption will not go away' (Times, 10.05.07). Extensive news reports the next day were also accompanied by photos of CAAT's peaceful protest outside the meeting which highlighted the role of Mike Turner and Tony Blair in the dropping of the SFO investigation. See the pictures here.

Dodging the questions

After smooth introductions from the board, Dick Olver invited questions from the floor, saying that he wanted this to be a chance to ask questions and give them ideas about 'your company'. We took him at his word. The question and answer session was dominated by questions from CAAT token shareholders, and we certainly gave him a run for his half a million pound salary. Could he assure us whether BAE had ever paid bribes, yes or no? Why did you lobby to end the SFO investigation? Why was it necessary for BAE to use off-shore companies? Could he give explicit assurance that not one penny went to the South African Government when BAE was striking its deals?

With most of the questions related to corruption, Dick Olver resorted to waving around a copy of BAE's ethical policy document – which, he assured, is rigorously enforced and proves that BAE has a 'zero tolerance' approach. He also repeatedly grasped at the straw of the Attorney General Lord Goldsmith's words in justifying the dropping of the SFO investigation saying that Goldsmith had said that it was 'doomed to failure' . When it was pointed out that Lord Goldsmith's opinion was irrelevant when it came to the due process of the investigation and rather that it was the opinion of the heads of the SFO themselves that mattered, Olver, in a true politician style, simply didn't answer the question and looked for another hand amongst the sea of shareholders.

'Real' shareholders drop them in it

A just perceptible expression of relief would come across the face of Dick Olver on the few occasions when he realised he'd managed to invite a 'real shareholder' to ask a question. But even they were on their feet asking the board about corruption and questioning why BAE had lobbied to have the SFO case dropped. The only moments of true support from a real shareholder turned Olver's expression to one of acute embarrassment. One gentleman rose to his feet to applaud the company on how they were conducting their business, which in his opinion was clearly 'not corrupt'. 'When you sit and have dinner with a client', he said, 'that's not corruption... When you have a case of wine and you offer one bottle to the person you're trying to do business with, that's not corruption.' Really?, we all thought. And what about the next logical step in this argument, when the bottles of wine turn into cuts of a few billions of pounds, holidays and prostitutes, did this man still not think it was corruption? Chairman Dick Olver didn't wait to find out where this gentleman was going with his praise and tried desperately to cut short his trusted shareholder's acclamations. Evidently this example of 'real' company shareholder values was something he didn't wish to have highlighted in quite such a public way.

Judges making a stand

Towards the end of the question and answer session, myself and five others made a final symbolic stand against the board. Pulling on judge's wigs, we stood in front of the wall of suits, calling out 'we find you guilty'. If the Government isn't going to let justice be done, we thought, well we'll just have to sit in judgement of the company ourselves.

This was a great action but we continue to need your help if the SFO is to reopen the corruption investigation.

Find out more about Control BAE activities
There are details of Stop the Arms Trade week; the Christian Network's Day of Prayer and a parliamentary Early Day Motion you can ask your MP to sign.

Order Control BAE campaign materials
Postcards, leaflets and petitions are now available to help your campaigning locally.

Donate to our judicial review fund
Extra funds are needed to support the legal challenge and to make full use of the campaigning opportunities it affords. By following this link you can make an online donation to help.