Dismiss Notice
You are browsing this site as a guest. It takes 2 minutes to CREATE AN ACCOUNT and less than 1 minute to LOGIN

Vijisenti

Discussion in 'International Forum' started by Lekanjobe Kubinika, Mar 15, 2010.

  1. Lekanjobe Kubinika

    Lekanjobe Kubinika JF-Expert Member

    #1
    Mar 15, 2010
    Joined: Dec 6, 2006
    Messages: 3,067
    Likes Received: 14
    Trophy Points: 135
    Sent: Sun Mar 14th, 2010 7:33 PM PDT
    Subject: [TAFESAssociates] Confirmed: Radar billions destined to local charities

    In the wake of British Aerospace Engineering System's agreement recently to
    pay $400million(Sh540billion) in fines after admitting that its arms deals,
    including the controversial radar sold to Tanzania, the UK based company has confirmed that the compensation billions won't be paid to the government's coffer.

    In an email sent to this paper on Saturday, BAE confirmed that the
    $47million which is a penalty for over-pricing the radar price won't be paid to the government as claimed earlier, insisting that the billions would be given to local charities dealing with humanitarian aid.

    The BAE's confirmation ends high hopes that Tanzania would finally get its
    stolen billions which, were swindled by the radar brokers, some government
    officials as well as BAE officers during the controversial deal.

    "We have decided that the fine for accounting error for Tanzania radar will
    be paid to selected charities not the government." Read part of the email
    sent to The Guardian on Sunday yesterday.

    In January the British arms firm accepted guilt and agreed to pay penalties
    in the US and the UK totalling several hundred million dollars to settle the long-running corruption allegations against it. Under the deal, announced simultaneously in London and Washington, BAE will pay $400m (£255) in the US and $47m (£30m) in the UK. In its comprehensive investigation, UK's Serious Fraud Office named Andrew Chenge, Sailesh Vithlani, Tanil Somaiya, and Dr Idris Rashidi as the key suspects linked to suspicious payments amounting to $12million doled out by the BAE System broker in Dar es Salaam.

    The deal with the SFO in the UK covers one arms contract only, under which
    overpriced military radar was sold to Tanzania. The SFO said some of the
    cash would become "an ex gratia payment for the benefit of the people of
    Tanzania".

    According to details from the SFO's investigation, the actual price of the
    military radar sold to Tanzania at that time was $12million, but Tanzania
    paid about $40million with the extra $28million going into the pockets of
    those involved, both government officials and private individuals.

    Under the new deal between the SFO and BAE System announced on Friday,
    Tanzania may get a refund of $28 million (Sh37.8 billion)-an amount that
    could pay for 9,500 students to pursue their undergraduate studies for two
    years or provide 7.4 million families with treated mosquito nets at a cost
    of Sh5,000 per net.

    In 2006, the UK investigators established that BAE System had secretly paid
    a $12m commission into the Swiss bank account of Sailesh Vithlani in a deal
    that led to Tanzania, one of the world's poorest countries, buying a
    military radar system with only nominal justification.

    The back-door payment to the Tanzanian middleman represented 30 percent of
    the contract value. Tanzania had to borrow to finance the deal, which
    critics said was unnecessary and overpriced.

    Recently, Minister for Foreign Affairs Benard Membe, insisted that the $47
    million compensation should be paid to the government's coffer and not
    otherwise, but the BAE's stance confirmed yesterday is expected to create
    another conflict between Dar es Salaam and London.

    It's not clear why BAE is not willing to pay $47million directly to the
    government of Tanzania.

    However, some legal analysts believe that BAE has chosen that path to avoid
    any legal implications that may arise if Tanzania finally chose to arrest
    and prosecute the key radar suspects.

    By paying the billions to charity organisations, it would look like donation donated by the company through its corporate social responsibility.

    Suzan Hawley of Corruption Watch, a UK based anti graft watchdog currently
    pursuing the BAE corruption scandal, said: "This is a trick chosen by BAE to avoid being implicated directly by third party, but it's an old style that won't get them off the hook."

    Corruption Watch has filed an application at UK court seeking the review of
    the SFO and BAE settlement agreements reached few months ago. The Guardian
    on Sunday has also learnt that last week the UK court issued an injunction
    barring BAE from proceeding with any settlement agreements pending the
    hearing of the main suit.

    SOURCE: GUARDIAN ON SUNDAY (
    http://www.ippmedia.com/frontend/index.php?l=14439)





    ----Forwarded Message----

    From: mtuive@yahoo.com
    To:
    To:
    Sent: Sun Mar 14th, 2010 7:33 PM PDT
    Subject: [TAFESAssociates] Confirmed: Radar billions destined to local charities



    In the wake of British Aerospace Engineering System's agreement recently to pay $400million( Sh540billion) in fines after admitting that its arms deals, including the controversial radar sold to Tanzania, the UK based company has confirmed that the compensation billions won't be paid to the government's coffer.
    In an email sent to this paper on Saturday, BAE confirmed that the $47million which is a penalty for over-pricing the radar price won't be paid to the government as claimed earlier, insisting that the billions would be given to local charities dealing with humanitarian aid.
    The BAE's confirmation ends high hopes that Tanzania would finally get its stolen billions which, were swindled by the radar brokers, some government officials as well as BAE officers during the controversial deal.
    "We have decided that the fine for accounting error for Tanzania radar will be paid to selected charities not the government." Read part of the email sent to The Guardian on Sunday yesterday.
    In January the British arms firm accepted guilt and agreed to pay penalties in the US and the UK totalling several hundred million dollars to settle the long-running corruption allegations against it. Under the deal, announced simultaneously in London and Washington, BAE will pay $400m (£255) in the US and $47m (£30m) in the UK. In its comprehensive investigation, UK's Serious Fraud Office named Andrew Chenge, Sailesh Vithlani, Tanil Somaiya, and Dr Idris Rashidi as the key suspects linked to suspicious payments amounting to $12million doled out by the BAE System broker in Dar es Salaam.
    The deal with the SFO in the UK covers one arms contract only, under which overpriced military radar was sold to Tanzania. The SFO said some of the cash would become "an ex gratia payment for the benefit of the people of Tanzania".
    According to details from the SFO's investigation, the actual price of the military radar sold to Tanzania at that time was $12million, but Tanzania paid about $40million with the extra $28million going into the pockets of those involved, both government officials and private individuals.
    Under the new deal between the SFO and BAE System announced on Friday, Tanzania may get a refund of $28 million (Sh37.8 billion)-an amount that could pay for 9,500 students to pursue their undergraduate studies for two years or provide 7.4 million families with treated mosquito nets at a cost of Sh5,000 per net.
    In 2006, the UK investigators established that BAE System had secretly paid a $12m commission into the Swiss bank account of Sailesh Vithlani in a deal that led to Tanzania, one of the world's poorest countries, buying a military radar system with only nominal justification.
    The back-door payment to the Tanzanian middleman represented 30 percent of the contract value. Tanzania had to borrow to finance the deal, which critics said was unnecessary and overpriced.
    Recently, Minister for Foreign Affairs Benard Membe, insisted that the $47 million compensation should be paid to the government's coffer and not otherwise, but the BAE's stance confirmed yesterday is expected to create another conflict between Dar es Salaam and London.
    It's not clear why BAE is not willing to pay $47million directly to the government of Tanzania.
    However, some legal analysts believe that BAE has chosen that path to avoid any legal implications that may arise if Tanzania finally chose to arrest and prosecute the key radar suspects.
    By paying the billions to charity organisations, it would look like donation donated by the company through its corporate social responsibility.
    Suzan Hawley of Corruption Watch, a UK based anti graft watchdog currently pursuing the BAE corruption scandal, said: "This is a trick chosen by BAE to avoid being implicated directly by third party, but it's an old style that won't get them off the hook."
    Corruption Watch has filed an application at UK court seeking the review of the SFO and BAE settlement agreements reached few months ago. The Guardian on Sunday has also learnt that last week the UK court issued an injunction barring BAE from proceeding with any settlement agreements pending the hearing of the main suit. SOURCE: GUARDIAN ON SUNDAY (http://www.ippmedia .com/frontend/ index.php? l=14439)
     
  2. N

    Nanu JF-Expert Member

    #2
    Mar 15, 2010
    Joined: May 29, 2009
    Messages: 1,224
    Likes Received: 2
    Trophy Points: 135
    if it was overpriced they should pay directly to gov coffer instead of making it like donations and the money may find a way back them again. Action should also taken against all those who were involved in the whole scam!
     
  3. H

    Haruna Malima Member

    #3
    Mar 15, 2010
    Joined: Jun 26, 2009
    Messages: 55
    Likes Received: 0
    Trophy Points: 0
    The Decision is in hands of the Government of Tanzania, either to sue her officers and others involved in the scandal or to assume Bongo Tambarare as usual.
     
Loading...