Written question asked by Jim Murphy (Labour), in the House of Commons. It was due for an answer on Thursday, 3 July 1997. It was answered by Lord Spellar (Labour) on Thursday, 3 July 1997 on behalf of the Ministry of Defence.

Ministry of Defence

Question: If he will comment about negotiations with the companies involved in the payment of commissions to Gordon Foxley relating to defence companies. (Further information at 299 c466-7W)

Answer: Mr. Jim Murphy: To ask the Secretary of State for Defence if he will make a statement about negotiations with the companies involved in the payment of commissions to Gordon Foxley relating to defence companies. [7090] Mr. Spellar: Following the settlement reached with my Department in June 1996, under which Raufoss AS of Norway paid an agreed sum in redress, the company became eligible from that time to be considered for Ministry of Defence orders, but normal commercial relations were not to be resumed for some months while the operation of the agreement was monitored. I am pleased to report that the company has continued to co-operate fully with my Department since that date, including provision of full access to their relevant accounting records, and has satisfied my Department in respect of its management arrangements and approach to future contracts. We have therefore decided to resume normal commercial relations with the company. Discussions are continuing with the other companies involved in the Foxley case, against whom proceedings are still in train.

Secondary information