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SWITZERLAND

Swiss MPs say yes to Swedish Gripen jets

The lower house of the Swiss parliament gave its blessing Wednesday to a controversial deal to purchase 22 Swedish fighter jets.

Swiss MPs say yes to Swedish Gripen jets

With 118 votes in favour and 67 opposed, Switzerland’s National Council greenlighted the deal, agreeing to release the 3.13 billion Swiss francs ($3.35 billion) needed to buy Saab’s JAS-39 Gripen combat jets.

The vote marks an important step forward for the deal, which has hit several bumps amid concern in Switzerland over the spending cuts it will entail in other areas.

Nearly two thirds, or 63 percent, of the Swiss polled for a survey published by the SonntagsBlick weekly on Sunday said they were opposed to the purchase of the Gripen jets.

A full 60 percent of those questioned meanwhile said they were opposed to their small Alpine nation buying any new fighter jets at all, regardless of the seller.

The upper house of the Swiss parliament will now need to reconsider the deal after it approved the purchase in March but refused to release the funds needed.

If it too gives its full blessing to the deal, which is part of a larger order for the planes to be shared with Sweden in a bid to cut production costs, the agreement will likely still need to be put to a popular vote as part of Switzerland’s direct democratic system.

According to media reports, that vote would likely take place during the first half of 2014.

AFP/The Local/dl

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CORRUPTION

Fresh bribery claims in Swedish jet scandal

Swedish defence firm Saab paid around a billion kronor to shady middlemen as part of a controversial deal to sell fighter jets to South Africa, according to documents obtained by a Swedish tabloid.

Fresh bribery claims in Swedish jet scandal
A Jas 39 Gripen jet flies above Cape Town in South Africa. Photo: AP Photo/mbr/The Star

Saab's sale of 28 Jas 39 Gripen aircraft – later reduced to 26 – to South Africa has been tainted by scandal and corruption allegations ever since it took place back in 1999.

The Swedish defence giant has always denied any wrongdoing in the deal which was mainly carried out by a subsidiary owned by Saab and British BAE and has said that no evidence of any suspect deals has turned up in its internal investigations.

But according to Sweden's Expressen newspaper, internal BAE documents handed to the Serious Fraud Office (SFO), a UK-based government authority that investigates fraud and corruption, show that money was paid out to shady agents suspected of being involved in bribery.

According to the paperwork, 7.25 percent (or 13 billion kronor – $1.58 billion) of the total sales of the Gripen planes and the British Hawk aircraft was potentially handed over to secret agents. According to Expressen, the claims formed part of a UK investigation into bribery allegations linked to this cash.

Other classified documents published by the newspaper on Thursday suggest that BAE's former head of marketing for South Africa and Asia, Allan MacDonald, told SFO officers several years ago that Saab had been kept informed of all costs and the agents involved.

“I gave them more information than they had ever got before and they were informed about the arrangements with the agents on chief executive level. They knew,” the documents suggest he said.

In a statement to Expressen published on Thursday, Saab's press spokesman Sebastian Carlsson dismissed the claims that almost a billion kronor was handed to agents, but did not deny that large payouts were made.

“There's nothing strange about a person receiving compensation for the work they do. So I mean, that's not the problem, if there is a problem. The problem would in that case be what a person does,” he told the newspaper.

“If it was 7.5 or 6.5 or 4.5 or 10.5 percent [is irrelevant]. That's nothing, that's what it was like 'in the good old days'. But I can tell you that if back then you had these kinds of commission-based contracts in the export industry, the sums could sometimes be high,” he added.

Saab is one of the world's leading defence and security companies and has around 14,700 staff around the world. It is not connected to Saab Automobile.

Earlier this year it was ranked as one of the European arms companies best at tackling corruption by the Transparency International thinktank.