HC Deb 13 April 1976 vol 909 c457W
Mr. Hardy

asked the Secretary of State for Defence what are the results of his investigations into transactions between the Ministry of Defence and Aviation Jersey Limited.

Mr. Frank Allaun

asked the Secretary of State for Defence if he will make a statement on the supply of Centurion Africa and the outcome of the inquiry tank spares and equipment to South by Sir Philip Allen.

Mr. Mason

I am grateful to Sir Philip Allen for speedily and thoroughly investigating this matter. He has confirmed that between January 1974 and January 1976 the firm of Aviation Jersey Limited and its subsidiary, Technical Support Services Limited, exported to South Africa some £1½ million worth of spares and engines for armoured fighting vehicles. The applications for export licences made to the Jersey Authorities described them as "petrol engines" and "petrol engine spares". The bulk of the spares involved had been supplied by the Ministry of Defence to the firm, to which it had supplied certain spare parts for many years. There are no grounds for suggesting that Ministry of Defence officials had knowledge of the fact that, in addition to its legitimate business, the firm was exporting military equipment to South Africa. However, as a result of Sir Philip Allen's investigations, I have decided that improvements are necessary in the system of clearing requests by firms for the purchase of spares and other items of military equipment from the Ministry of Defence; and also in our monitoring of the purposes to which such purchases may be put. Action is being taken to remedy these defects.

The Ministry of Defence's dealings with the firm were suspended on 14th January 1976. I understand that the Attorney General for Jersey is considering whether legal action should be taken against the firm.