MoD’s head of defence sales recommended accepting 10% fee in Sangcom
By Frederika Whitehead | 26 June 2012
Exaro publishes the key memo that shows how “agency fees” were lined up for the Sangcom project before it began.
The memo was sent in response to a directive from Sir Frank Cooper, then permanent secretary of the Ministry of Defence (MoD).
Sir Lester Suffield, as head of the MoD’s Defence Sales Organisation, wrote that the Sangcom project to overhaul the Saudi Arabian national guard’s communications systems provided for “agency fees” of 15 per cent.
Suffield recommended approving “agency fees” of 10 per cent and allowing the project’s prime contractor to increase its profit margin to accommodate other charges.
The correspondence between Cooper and Suffield leaves the MoD facing questions over its knowledge about irregular payments linked to Sangcom.
Exaro also publishes Cooper’s reply to the Suffield memo.
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