LONDON (Thomson Financial) - BAE Systems will recruit an independent panel to investigate its conduct of foreign arms sales in an attempt to draw a line under allegations of corruption in its dealings with Saudi Arabia, according to reports in The Sunday Times and other papers.
Senior defence industry sources said BAE had already begun talks with potential candidates to chair the investigation, The Sunday Times said. It is understood to be looking for a senior political or business figure with a legal background.
It is not yet clear how many people BAE will recruit or what the inquiry's remit will be, it said.
BAE and the UK government have been dogged by allegations of bribery stemming from the Al-Yamamah arms deal with Saudi Arabia.
BAE issued a fresh rebuttal last week after the BBC and The Guardian newspaper alleged that payments totaling more than 1 bln stg were made to Saudi prince Bandar bin Sultan, the Gulf country's former ambassador to Washington, with the full knowledge of the Ministry of Defence as part of the deal.
A Serious Fraud Office investigation into the contract was called off last year after the government said it would damage relations with Saudi Arabia. paul.sandle@thomson.com ps/wj COPYRIGHT Copyright AFX News Limited 2007. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.
© 2007 AFX News
