downer admits prior knowledge of bribes

Downer admits he knew about AWB six years ago
Date: 01/03/06

Foreign Minister Alexander Downer has become the first MP to admit he knew the AWB was paying bribes to Saddam Hussein's regime.

Downer said in question time yesterday that he was warned six years ago that the wheat exporter may have been paying bribes.

The admission came asthe Cole inquiry into the AWB kickbacks scandal continues today, with government ministers set for further quizzing in parliament on their knowledge of the affair.

In addition, Australia's trade commissioner in Washington tried to alert Trade Minister Mark Vaile around the same time that AWB could be paying kickbacks to the former Iraqi dictator.

The government has repeatedly denied knowing about the kickbacks until late last year.

Labor has seized on four diplomatic cables released by the Cole inquiry which show Australian officials were told in January 2000 about possible irregularities in the way AWB had been paid.

But Prime Minister John Howard defended the government's response, saying the cables were prompted by a complaint from Canada - a major rival for wheat exports.

Mr Vaile is expected to return to parliament after a trade mission to Iraq to save a multi-million dollar wheat deal.

Yahoo News.