Bruce joins calls for new Saudi arms inquiry

2.45.19pm UTC (GMT +0000) Fri 8th Jun 2007

Allegations of high level corruption have threatened Britain's credibility in tackling bribery

Gordon MP, Malcolm Bruce has joined Liberal Democrat calls for a new inquiry into arms deals between Saudi Arabia and the British arms manufacturer BAE Systems, after allegations emerged over secret payments made to a Saudi prince who negotiated a £40bn deal.

Mr Bruce, a member of the Parliamentary Quadripartite Committee, which scrutinises the role of the British Government in arms export controls, is to write to the Prime Minister about his concerns. Speaking from Westminster Mr Bruce said:

"These are serious allegations of high level corruption. Considering the Prime Minister has accepted responsibility for cutting short the Serious Fraud Office inquiry into Saudi arms deals last year, Britain now stands in a parlous state in terms of anti-corruption.

"I was amongst those that gave evidence to the OECD's anti-bribery convention peer review in 2004 which raised serious concerns then that Britain was not doing enough to investigate bribery. The emergence that the government may yet be exposed as perhaps even acquiescing in large-scale corruption is even more damaging its reputation.

"This also calls into question the reasons why the Serious Fraud Office was forced to abandon its investigation last year, despite the Prime Minister's claims that it was a matter of national security. It is therefore imperative that the investigation be re-opened as soon as possible.

"It takes my breath away to hear the Prime Minister defend his decision unequivocally. Either Britain believes in the OECD and UN stance against corruption or it does not. If bribery and corruption are justified for major arms contracts we have no credibility in taking a high moral stance on governance with developing countries."