Arms trader BAE Systems faces threat of bribe charges

The Serious Fraud Office (SFO) is expected to announce later this morning that it wishes to prosecute BAE Systems over alleged bribery.

The deadline in negotations between the SFO and BAE in a plea-bargain deal passed about five minutes ago and the SFO is expected to apply later today to Attorney General Baroness Scotland for permission to bring charges.

n December 2006, the SFO dropped its corruption investigation into BAE's Saudi arms deals following pressure from BAE and the Saudi regime. However, investigations have continued into other BAE deals, including sales to Austria, the Czech Republic, Hungary, South Africa and Tanzania.

More later today.