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| Blair defends Saudi probe ruling | Blair defends Saudi probe ruling |
| (about 1 hour later) | |
| Tony Blair has hit back at claims a corruption probe into a Saudi arms deal with BAE Systems was dropped after commercial and political pressure. | Tony Blair has hit back at claims a corruption probe into a Saudi arms deal with BAE Systems was dropped after commercial and political pressure. |
| The Serious Fraud Office's sudden decision to wind up a two-year inquiry was in the national interest, he said. | The Serious Fraud Office's sudden decision to wind up a two-year inquiry was in the national interest, he said. |
| Pursuing it would have damaged the UK's relationship with a key ally, he added. | Pursuing it would have damaged the UK's relationship with a key ally, he added. |
| The Lib Dems say the SFO was forced to drop the probe after reports the Saudis were threatening to pull out of another BAE deal to supply Eurofighter jets. | The Lib Dems say the SFO was forced to drop the probe after reports the Saudis were threatening to pull out of another BAE deal to supply Eurofighter jets. |
| The SFO was investigating claims that Britain's biggest defence firm BAE had paid bribes to secure an arms deal with Saudi Arabia in the 1980s. BAE has always denied the claims. | The SFO was investigating claims that Britain's biggest defence firm BAE had paid bribes to secure an arms deal with Saudi Arabia in the 1980s. BAE has always denied the claims. |
| 'Effectively blackmailed' | 'Effectively blackmailed' |
| But in a surprise announcement on Thursday the attorney general said the investigation was to be stopped, because of doubts over whether a successful prosecution could be brought, and on grounds of national security. | But in a surprise announcement on Thursday the attorney general said the investigation was to be stopped, because of doubts over whether a successful prosecution could be brought, and on grounds of national security. |
| It came weeks after reports that the Saudis were threatening to pull out of a deal to buy 72 Eurofighter jets from BAE and deal with France instead. | It came weeks after reports that the Saudis were threatening to pull out of a deal to buy 72 Eurofighter jets from BAE and deal with France instead. |
| Liberal Democrat peer Lord Goodhart told the Today programme: "I think what has happened here is that we have been bounced into this decision by what is effectively blackmail by the Saudi Arabian government. | Liberal Democrat peer Lord Goodhart told the Today programme: "I think what has happened here is that we have been bounced into this decision by what is effectively blackmail by the Saudi Arabian government. |
| Our relationship with Saudi Arabia is vitally important for our country...that strategic interest comes first Tony Blair href="/1/hi/uk_politics/6184209.stm" class="">Blair embarks on Middle East tour | |
| He added: "It is clear it was not the SFO's own decision, and it was not something that was instigated by the SFO. This came from the top." | He added: "It is clear it was not the SFO's own decision, and it was not something that was instigated by the SFO. This came from the top." |
| Speaking at an EU summit in Brussels, Mr Blair was careful to put to one side the effect on "thousands of British jobs and billions worth of pounds for British industry" - basing a decision on this would have potentially put Britain in conflict with international law. | Speaking at an EU summit in Brussels, Mr Blair was careful to put to one side the effect on "thousands of British jobs and billions worth of pounds for British industry" - basing a decision on this would have potentially put Britain in conflict with international law. |
| He said his role as prime minister was to advise on what was in the best interests of the country. | He said his role as prime minister was to advise on what was in the best interests of the country. |
| Prosecution doubts | Prosecution doubts |
| "Our relationship with Saudi Arabia is vitally important for our country in terms of counter-terrorism, in terms of the broader Middle East, in terms of helping in respect of Israel and Palestine. That strategic interest comes first." | "Our relationship with Saudi Arabia is vitally important for our country in terms of counter-terrorism, in terms of the broader Middle East, in terms of helping in respect of Israel and Palestine. That strategic interest comes first." |
| He said the probe would have led to months or years of "ill feeling between us and a key partner and ally and probably to no purpose" and he was certain the right decision had been taken. | He said the probe would have led to months or years of "ill feeling between us and a key partner and ally and probably to no purpose" and he was certain the right decision had been taken. |
| Check BAE's share price | Check BAE's share price |
| Speaking later on the BBC's World At One programme, Lord Goldsmith said the decision had to be made on the merits of the case. | Speaking later on the BBC's World At One programme, Lord Goldsmith said the decision had to be made on the merits of the case. |
| "There were some very big problems with this and my judgment was it [a prosecution] wouldn't succeed," he said. | "There were some very big problems with this and my judgment was it [a prosecution] wouldn't succeed," he said. |
| But Lib Dem leader Sir Menzies Campbell has demanded to see the attorney general's legal advice on the decision, and details of meetings with cabinet ministers. | But Lib Dem leader Sir Menzies Campbell has demanded to see the attorney general's legal advice on the decision, and details of meetings with cabinet ministers. |
| He said: "If the government does not come completely clean about how, when and why this decision was reached, it will be impossible to resist the conclusion that political and diplomatic pressure has carried more weight than a proper legal assessment." | He said: "If the government does not come completely clean about how, when and why this decision was reached, it will be impossible to resist the conclusion that political and diplomatic pressure has carried more weight than a proper legal assessment." |
| Mr Blair also denied accusations he had tried to "bury bad news" by deliberately timing his police interview on the cash for honours allegations to coincide with the SFO announcement, and the publication of Lord John Stevens's report into the death of Princess Diana. | Mr Blair also denied accusations he had tried to "bury bad news" by deliberately timing his police interview on the cash for honours allegations to coincide with the SFO announcement, and the publication of Lord John Stevens's report into the death of Princess Diana. |
| On Thursday, Mr Blair became the first sitting prime minister to be interviewed as part of a criminal investigation - but Downing Street stressed he spoke to police as a witness and not a suspect. | On Thursday, Mr Blair became the first sitting prime minister to be interviewed as part of a criminal investigation - but Downing Street stressed he spoke to police as a witness and not a suspect. |
| Working peers | Working peers |
| On Friday, Mr Blair said it was not "the slightest bit surprising or wrong that the police should want to come and talk to me" as the original complaint, by the SNP, had effectively been made against him personally. | On Friday, Mr Blair said it was not "the slightest bit surprising or wrong that the police should want to come and talk to me" as the original complaint, by the SNP, had effectively been made against him personally. |
| But he repeated Downing Street's claim that he was within his rights as Labour leader to nominate a number of working peers every year. | But he repeated Downing Street's claim that he was within his rights as Labour leader to nominate a number of working peers every year. |
| The rows threaten to overshadow Mr Blair's planned trip to the Middle East. He has arrived in the Turkish capital Ankara on the first leg of tour in which he hopes to make progress on the stalled Israeli-Palestinian peace process. | The rows threaten to overshadow Mr Blair's planned trip to the Middle East. He has arrived in the Turkish capital Ankara on the first leg of tour in which he hopes to make progress on the stalled Israeli-Palestinian peace process. |