Chief executive of Britain's biggest defence contractor subpoenaed over Saudi arms deal

BAE Systems’ chief executive and a non-executive director have been subpoenaed by US officials on their arrival at George Bush International Airport in Houston, Texas, according to reports.

A subpoena was served on Mike Turner, the CEO, and Sir Nigel Rudd, who was traveling with Turner.

The US Department of Justice has been investigating Britain’s biggest defence contractor in relation to its alleged bribery of Saudi officials. The allegations are tied to the £43bn (Euro54.5m) Al-Yamamah arms deal with Saudi Arabia. BAE denies making illegal payments to secure the deal.

Britain’s Serious Fraud Office dropped its investigation in 2006 after the government said it threatened national security.