Select Committee on Public Accounts Minutes of Evidence


Letter from Mr David Snoxell to Comptroller and Auditor General

  My attention has been drawn to the section dealing with BIOT (Chagos Islands) in your Report, Managing risk in the overseas territories, at page 27 and at page 40 in Appendix 2. You might just remember that we touched on the issues when you came to my office. I am afraid the wording is somewhat misleading and I thought I should bring it to your attention in case you wished to issue an amendment.

  On page 40 (Key developments since the last NAO Report in 1997/8) it is stated, with reference to the Territory (not just Diego Garcia), that: "Successful court rulings and Orders in Council have disputed the right of displaced Chagossian natives to return to the Territory". This is not correct. Only HMG has disputed the right of the inhabitants to return to their homeland. But in November 2000 Robin Cook accepted the judgement of the High Court that the Chagossians had the right to return. Naturally he excluded the US base on Diego Garcia which is the most southerly island of the Archipelago It is some 150 miles from the Outer Islands, which number between 55 and 65 islands. The exclusion of Diego Garcia is not at issue. Three years and seven months later, in June 2004, the FCO overturned Mr Cook's decision, and the High Court judgement by Orders in Council. At judicial review in May 2006, the High court once again restored the right of Chagossians to return to the Outer Islands. The FCO appealed and lost a third time in May 2007 at the Court of Appeal. What the FCO are now appealing to the Lords over is not the Chagossians' right to return, restored three times by the courts, but whether Orders in Council may be subject to judicial review. They say they need clarification. The Lords have agreed to hear the appeal in the spring on condition that the FCO pay all costs whatever the outcome. That outcome must be fairly obvious. So it is not true to say that the Courts have disputed the right to return, rather they have upheld it.

  At page 27 (Illustration of UK risks and liabilities in the Overseas Territories) the legal costs are put at £600,000. Legal costs paid by HMG since 2000 must be in excess of the £2.171 million which the FCO has admitted in answer to a PQ, because that figure does not include the cost of the Appeal so far. It is difficult to get an accurate figure (it depends what you count) but my guess is that the FCO must have spent in excess of £3 million, not counting the cost of going to the Lords. I would have expected the NAO to question the wisdom of this expenditure since posts had inevitably had to be closed to fund it.

  It seems to me also that the language used on page 27 to describe the findings of the Feasibility Study has been exaggerated. I don't think the Study added the words: "would involve expensive underwriting by the British Government for an open-ended period, and probably permanently." It looks as if your Report repeated part of Mr Rammell's statement to Parliament on 15 June 2004, rather than the exact words of the Feasibility Study conclusions which Mr Rammell also quoted.

22 November 2007





 
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