BAE Inquiry - Government rebuffed by OECD

2.00.00pm UTC (GMT +0000) Fri 19th Jan 2007

There are "serious concerns" about the UK dropping a fraud probe into a Saudi arms deal, says the Organisation for Economic Co-operation and Development. The OECD, which drew up an anti-bribery treaty signed by Britain, has been reviewing the Serious Fraud Office decision announced last month, and has said it will take "appropriate action" against the UK.

Sir Menzies Campbell said "Any government other than Mr Blair's would be deeply embarrassed by this criticism. Whenever British ministers argue the case for a hard line on corruption elsewhere, for example in developing countries, they will be rightly accused of double standards. We need an unequivocal commitment from the Prime Minister that other allegations with regard to contracts in countries such as Tanzania and South Africa, will be thoroughly investigated."