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Gordon Brown under pressure as BAE's reputation sinks further

The Prime Minister is facing renewed calls to end the UK's Government's cosy relationship with BAE Systems, as BAE shareholders in the USA announced they were taking legal action against the company. Meanwhile, allegations have emerged that the Home Office is failing to pass information about BAE to investigators in the USA, while corruption investigators in Tanzania appear to be close to bringing charges. In the light of this news, Campaign Against Arms Trade (CAAT) is urging Gordon Brown to start to repair the UK's shattered reputation by reopening the Serious Fraud Office inquiry into BAE's Saudi arms deals.

CAAT spokesperson Symon Hill said:

"BAE has faced public disgust, criticisms from businesses and politicians and now legal action from its own shareholders. It's time to end the abusive relationship between BAE and the UK Government. Britain will benefit if Gordon Brown makes a clean break with Tony Blair's habit of subservience to BAE."

ENDS

Notes

1. Campaign Against Arms Trade (CAAT) works for the reduction and ultimate abolition of the international arms trade.

2. On 14th December 2006, the Government and the Serious Fraud Office announced that they were suspending an investigation into BAE Systems' arms deals with Saudi Arabia. CAAT and The Corner House, an anti-corruption NGO, have lodged grounds for a judicial review of this decision.

3. The City of Harper Woods Pension Fund, a BAE shareholder in the USA, yesterday announced that it was taking legal action against BAE. Today it has been alleged that the Home Office is failing to pass information to the US Department of Justice for its own investigation into BAE's alleged corruption. Investigators in Tanzania , looking into alleged corruption involving BAE, are reported to be close to making charges. BAE continues to deny all allegations of corruption.

4. CAAT spokespeople are available for interview about BAE.

Media Contact

Symon Hill
020 7281 0297 or 07990 673 232