Milcolm Electronics UK (Hansard, 10 July 1986)

§ Lord Hatch of Lusby
My Lords, I beg leave to ask the Question standing in my name on the Order Paper.
The Question was as follows: To ask Her Majesty's Government what investigations they have made into the connections and activities of Milcolm Electronics UK.

§ The Parliamentary Under-Secretary of State, Department of Trade and Industry (Lord Lucas of Chilworth)
My Lords, no such investigations have been made.

§ Lord Hatch of Lusby
My Lords, is the noble Lord aware that this company, Milcolm Electronics UK, based at Camberley in Surrey has, according to the chairman of Grinaker Enterprises, which is a major South African electronics industry closely tied up with the South African military complex, been licensed by Grinaker Enterprises to produce electronic equipment, in particular military equipment, in order to get around the ban on the import of South African military equipment into this country?

§ Lord Lucas of Chilworth
My Lords, I know that the company holds licences, but I would not regard normal commercial relations between two companies as necessarily being immoral. With regard to military equipment, we have taken advice and I understand that the equipment that is being made does not contravene any of our national or international obligations. Therefore there is no question that the company to which the noble Lord refers is in breach of any obligation.

Lord Bruce of Donington
My Lords, can the noble Lord inform the House whether this company is a company incorporated under the Companies Act? If so, will the noble Lord assure the House that the file with the registrar has been inspected and reveals the names of the shareholders, the directors and so on?

§ Lord Lucas of Chilworth
My Lords, I understand that Companies House have not suggested that there is anything irregular whatsoever with the company, its registrations or its returns to Companies House.

§ Lord Hatch of Lusby
My Lords, may I ask the Minister to look at this again? Is he aware that his right honourable friend the Prime Minister last October signed a Commonwealth communiqué which promised: A strict and rigorously controlled embargo on the import of arms, ammunition, military vehicles and para-military equipment from South Africa". Is the noble Lord aware that Mr. Steyn, the chairman of Grinaker Electronics in South Africa has admitted that equipment which is supplied to the South African army and used in South Africa and in Namibia is licensed for production in this country? Therefore it is circumventing the pledge which the Prime Minister gave last October to the Commonwealth.

§ Lord Lucas of Chilworth
My Lords, there is no evidence that Milcolm Electronics has acted illegally. If the noble Lord has any evidence to the contrary then I shall certainly consider looking further into the matter. Otherwise I shall not.
With regard to the Accord agreed by the Commonwealth Heads of Government, the company is not in breach of the undertakings which my right honourable friend the Prime Minister gave at that time.

§ Lord Hatch of Lusby
My Lords, how does the Minister know that? He is asking for evidence. He 453 knows, I am sure, because I told his subordinates, that the evidence is there and has been published by the Guardian newspaper, which has a great deal more evidence that has not been published.

§ Lord Lucas of Chilworth
My Lords, I know it because the import and export licensing procedures would have revealed such evidence. None such has been revealed.
With regard to the article, I prefer not to comment upon it.