November 26, 2007

ARMS DEALING: BAE CASE STUDY, PART 2

British millionaire linked to BAE commission payments in papers

David Leigh, Rob Evans and Mark Milner
Thursday February 22, 2007
The Guardian

A little-known British millionaire has been named as a confidential agent for BAE, the embattled arms company facing worldwide corruption investigations. Brigadier Tim Landon, one of Britain's richest and most secretive men, provides a conduit for BAE commission payments, according to documents obtained by investigators.

Known as the "White Sultan", Landon has a fortune estimated at £500m. He earned his nickname as the power behind the throne in Oman, a Gulf oil state. He returned to England to purchase a Hampshire estate with village and a string of grouse moors. His lawyers describe him as "intensely private". Czech police investigating BAE's arms deals are alleged to have found secret payments were made through Valurex, an offshore company controlled by Brig Landon. According to the documents, Valurex was used in turn to engage an Austrian count, who promoted controversial BAE fighter sales to the Czech government.

According to the documents published this week from Czech sources, Brig Landon's company Valurex is also promoting sales by BAE throughout eastern Europe, to Hungary, Bulgaria and Slovakia. More than £4m was allegedly paid to Valurex, starting in 2003.

"We are not guilty of corrupt practices,"

Brig Landon's lawyers said yesterday. It is not alleged that he or his company was involved in any improper payments themselves. Czech police, along with the Serious Fraud Office in Britain, are investigating BAE's use of the Austrian agent, Count Alfons Mensdorff-Pouilly. The deals he was promoting, to lease Anglo-Swedish Gripen fighters to Prague for £400m, have been the subject of bribery allegations. Count Alfons denies he was linked to Valurex, and that he paid any bribes.

A Swedish TV programme this week published documents it said implicated Count Alfons and two other prominent Czech agents in receiving secret payments from BAE. The US government protested to Britain when allegations of bribery were made. But Sir Kevin Tebbit, permanent secretary at the British Ministry of Defence, refused to investigate.

The Czech deal is being scrutinised in three countries: by the Serious Fraud Office, by Czech police, and by the Swedish authorities. Yesterday, Christer van der Kwast, the Swedish chief prosecutor, said he had requested documents from Saab, BAE's partner in the deal, and will decide "in short time" whether to launch a full-scale investigation. He has also obtained documents from SFO investigators after meeting them in London this month.

BAE, which is due to announce its annual results today, has cancelled its traditional press conference because of "time pressures", a spokeswoman said.

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I. Powers and Rights Reserved To We the People, Never Delegated or Violated Without Consent

A. The People are expressly defined as human beings and does not refer to corporations or contractual relationships.

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M. The Executive Branch and Presidents and subordinate agency head, contractor, and employees are expressly denied any assurance any conversation he has related to illegal activity, war crimes, unlawful acts, or other threats to the US Constitution shall remain secret behind any shield, scheme, agreement, or technology. Any order a President or anyone gives to anyone to hide, destroy,not provide, or conceal evidence of illegal activity may be construed as a subsequent war crime, punishable by the death penalty. This restriction against following illegal orders may not be bypassed by claiming the order was from a non-person, electronic device, or other non-Constitutionally recognized entity, database, policy, guide, or other document.

N. The Presidents are denied the power to use any combat force, technology, or other military weapon or plan against American civilians, except in cases of internal rebellion which only the Congress shall approve in writing. When the Congress fails to act, or abuses its authority, the State Governors may lawfully use deadly combat force to detain and enforce the laws of war prohibiting illegal use of force against American civilians.

O. The Presidents are denied the power to induce any civilian to take any action that might deny them on any Geneva protections as a civilian. Any order, ruse, scheme, propaganda, or unreliable information to induce anyone to wage war, information warfare, or any action to harass civilians is punishable by the death penalty, and may be enforced as a violation of the laws of war.

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November 26, 2007

British millionaire linked to BAE commission payments in papers

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