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PRINCE Bandar Bin Sultan, the former Saudi Arabian ambassador to America, has been hit by a court order in effect freezing some of his US assets, as part of a class-action lawsuit over bribery allegations at British defence giant BAE Systems.
A Michigan pension scheme – the City of Harper Woods Employees’ Retirement System – has been granted a restraining order, according to documents filed in the US district of Columbia and seen by The Sunday Times.
The order, granted last Tuesday, blocks Bandar from transferring out of the country any money he makes from the sale of property in America.
Bandar owns one of the world’s most expensive homes, Hala Ranch, in Pitkin County, Aspen, Colorado. The bulk of the estate was put up for sale for $135m (£69m) in July 2006 after Bandar reportedly decided he was spending too much time in Saudi Arabia to take advantage of the lavish property.
The 56,000 sq ft main residence is bigger than the White House and has 15 bedrooms, 16 bathrooms, an indoor swimming pool, steam and exercise rooms and includes a private children’s wing with four bedroom suites and a sitting room. The estate spans 95 acres, includes two 15,000 sq ft guest houses, tennis and racquetball courts and equestrian facilities. It even has a dedicated waste-water treatment plant, a car wash and petrol pumps.
The latest move comes after the pension scheme launched a class-action suit on behalf of rebel investors last September against the BAE board, as well as former directors and Bandar.
The case centres on allegations that bribes worth $2 billion were paid to Saudi officials, including Bandar, as part of BAE’s agreement to supply military aircraft and other equipment to Saudi Arabia.
The lawsuit accuses BAE directors of “intentional, reckless and negligent breaches of their fiduciary duty”.
BAE has strongly denied making illegal payments, while Bandar has consistently rejected the allegations.
Sources close to the civil action said the pension scheme had become concerned that Bandar could seek to move funds out of America.
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I would like to know how much of the BAE money has been spent on presidental libraries?
K. All, Mclean, Virginia
Bandar is more powerful than Bush in USA, this news is a joke.
John Beard, Las Vegas,
Abo Trki, Montgomery, AL
People claiming that this is American sour grapes are forgetting several things about BAE. BAE is a large Pentagon contractor, and gets almost half of its revenue from the US and is 50% owned by US shareholders.
Also the US did not bid on the contract which BAE won.
ATMX, Chicago,
The USA will hurt their reputation as a place to invest, there must be real evidence of corruption, not that the USA lost a major arms deal and seeks revenge.
Andrew , London, uk
The attack is part of a political witch hunt but it seems strange that the pension scheme, a beneficiary of BAE contracts with KSA , was moved to administer this dose of poison
Nigel Bay, Boston, MA
M.Martini, I dont believe everything I read. I certainly do not believe one word about any forms of torture against British workers in KSA.
As for this lawsuit, just sour grapes, and more money for the non-muslim lawyers, who are nearly as rich as the Saudis.
Peterr, Houston, USA
Wow, amazing comments! no one has the facts in hand and yet all take cheap shots- and all shots in the same direction.
Rolf, MArbella, SPAIN
The City of Harper Woods Pension scheme versus Prince Bandar Bin Sultan, I don't think so!
Robert, Phuket,
It,s no hardship to Bandar or any Saudi prince, what about the lives of the the of the British men the Saudi Royals ruined when they tortured and degraded them, and still refuse to give them redress..
M Martini, Manchester, UK
The Yanks are doing the usual with a competitor (BAE) - putting them out of business.
Yendis, Melbourne, Australia
to my view ...a man are innocent until not proven guilty...
the interpretation of the law sometime give hard time to the people not matter if it `s a prince or a villan.
is a very serious matter if in the end a sentence have to explain if the prince is a villain or just a prince.
the political implication are obvious..
it is possible to judicate the monarchy by a republic state.
or viceversa.exist in the world a giurisdiction neutral when this matter are a stake ?
fernando torchia, london, england
This sounds much like sour grapes to me.
Smarting that they lost the "Deal of the Century" the Americans are attempting to bring down British Aerospace and all those that sailed with her. How vindictive can they get?
The Americans are not the most popular nation on Earth and action like this will further alienate them .
So, I say to them "The USA cannot win them all, so take a loss in a dignified manner, in keeping with your status."
Maybe they are just taking the loss in keeping with their true status though.
Terry, Brighton, UK
Is it not strange to see that a Saudi who has everything gets a freezing order and no one else does?
I once got a freezing order because I was seen to be making to much money and the little officials where only maing 50K a year. Unfortunatly jelousy plays the part here.
No other person in this 'so called bribary' scandal have come near to a freezing order. Why are the BAE officials not having the same set out on them if they are involved? because they dont own a big mansion in Aspen thats why. It realy is obvious sometimes when people are either racist or jelous. I am English and disagree with this whole matter strongly as ALL people should have the same treatment.
Marc Evans, London,
Bandar is more powerful than Bush in USA, this news is a joke.
John Beard, Las Vegas,
That's quiet rich they should be freezing the assets of the people behind the subprime fiasco and and all the kick bacs involved [bonus,fees etc.] and we're talking here people having their home taken away from them after being lured to sign and spend sign and spend as if there's no end
richard hanbali, runnaway bay , qld.australia
if the customer is happy to pay the price asked then why should he care if I the seller, want to bung some of that falloose ($) back to my mother, brother or the beggar on the street?
Thats the way that the Saudis operate their "social security" system. Why should the americans get uptight about Bandar facilitating the UK deal?
john, bangkok, thailand
Just sounds like sour grapes to me. I guess the Americans aren't familiar with doing business with the Saudi's. It's no good taking the moral highground....they'll never win any contract in the Middle East ( unless they invade it!)
Billy, Bangkok, THailand
Good luck. Don't forget this is one of President Bush' buddys. He was one of those flown out immediately after9/11.
Rich, San Angelo, USA