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03. 09. 09. - 09:00

Romanian Frigate deal probe is stopped

Mediafax

Britain’s Serious Fraud Office has stopped investigations over price irregularities in the sale of two frigates to Romania.

Romania’s Anticorruption Department (DNA) gave up the investigation in June and this week revealed that the British had been in touch to inform them that they had also now stopped the investigation.

It will remain on ice unless fresh evidence in the case emerges, British and Romanian officials revealed.

The investigation centred on bribery allegations in the sale of the frigates "King Ferdinand" and "Queen Mary" from Great Britain to Romania.

On April 28, 2006, the British authorities asked Romania’s General Prosecutor’s Office for legal assistance in the inquiry into the procurement of British frigates by Romania. The case was directed to the National Anticorruption Department on May 10, 2006.

On June 8, 2006, a Romanian woman and her British-born husband were arrested in London on charges of receiving proceeds from the sale of two British warships to Romania.

Barry George, 61, and his Romanian born wife, Georgiana, 41, were arrested after police searched their home and seized documents. At the time, George was acting as BAE Systems Ltd agent during the frigate deal.

The UK Serious Fraud Office was investigating a "commission" of 7 million GBP paid to BAE, Britain’s largest company in the defence sector.

Sources within the Commerce Ministry said BAE admitted that a commission had been paid, but declined to say who received it.

Barry George had allegedly obtained one per cent from the value of the contract, while a further seven per cent had allegedly gone to unknown people.

George and his wife were set free after 24 hours in jail after the police confiscated 20,000 GBP found in their home.

Romanian investigators also searched the company of Barry George’s family in Bucharest.

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