26 June 2007

Brown Crown Drown

Questions over his own legitimacy and calls for an EU referendum will hit Gordon Brown as soon as he is crowned PM. This story looks likely to add to his woes. US investigators have been weighing up whether to investigate BAE under the Foreign Corrupt Practices Act for some time. Their decision to go ahead has hit the share price immediately as can be seen by the graphic. That's £1.6bn that's been knocked off the share price since last night.

Here are several reasons why this development can damage the government.


1. It will return the focus to the Attorney General's role in the decision to halt the SFO investigation. On the same theme, it looks like Lord Goldsmith should have a tricky last day at work tomorrow.

2. Has the potential to jog memories about the 2003 Extradition Act.

3. Given that BAE are likely to argue that they were merely a contractor it is plausible that it will be the British government that will be asked to reveal information that they have previously kept hidden.

If there are no skeletons are hidden, there is no reason why Brown shouldn't co-operate with the US anti-corruption investigators? On the other hand wouldn't it be embarassing if British officials were extradited to face trial in the US on corruption charges. More fascinating comment and discussion here.

Blair and Goldsmith's departures leave Brown horribly exposed - drowning?

4 comments:

Lauging all the way to the ballot box. said...

And then Quentin Davies throws GB a lifebelt. But the real problem might be that Tories to the right of "Keep it real" Dave might well agree with Davies when he says the party stands for nothing and has no bedrock.

Praguetory said...

There is one incident I can remember Quentin for - an incident which was, in my opinion, sufficient grounds for deselection anyway. A man of his ethics has finally found his natural home. I hope he gets a Ministerial position.

Ed said...

I don't know much about QD, but if he is attacking Cameron for being too Eurosceptic then perhaps his home isn't in the post 97 Tory party anyway?

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