Competitive Advantage of Nations

["Michael Keaney" <Michael.Keaney@xxxxxx>]

Penners

In the context of the MI6 review of the secret state effectively
sidelining MI5's role re criminal intelligence, and Mark Jones' repeated
comments regarding the continuing existence and importance of
inter-state rivalry (contra globaloney), to name but two subtexts, this
is, to say the least, an interesting development. Once again it's the
Independent that sheds light on otherwise murky waters.

MI5 offers to spy for British firms

 By Steve Boggan

 07 September 2001

 MI5 has told some of Britain's
 biggest companies that it may be
 prepared to provide intelligence on
 their business partners and rivals
 abroad.

 For the first time, the security
 service this week openly invited representatives from industry
 and finance to its headquarters in Millbank, London, for a
 seminar called Secret Work in an Open Society.

 The Independent has learnt that in between coffee and a buffet
 lunch, those attending were given a talk by Sir Stephen Lander,
 MI5's director general, on "What is the security service for?",
 during which he said companies ought to ask for help more
 often.

 Since the end of the Cold War, MI5 has been trying to evolve
 into a service more interested in catching criminals and
 terrorists than foreign spies. This week's move will be seen as
 another attempt to re-invent itself as a more user-friendly
 service.

 Among the companies invited to attend were BT, Rolls-Royce,
 HSBC, Allied Domecq, Consignia, BP, Ernst & Young,
 Cadbury Schweppes and BAE Systems. Of the 64 executives
 invited, a high proportion were in market development, security
 or risk-assessment.

 "Sir Stephen said he was sure that MI5 could help business
 more if only it were asked," said one delegate. "In situations
 where we are working abroad, he said MI5 might have
 information on companies or individuals it could help us with if
 it did not involve breaching legislation on data protection or
 human rights.

 "He made the point that, increasingly, organised crime, drugs
 and money laundering are our common enemy. When getting
 into deals abroad - particularly Eastern Europe at the moment
 - you can get into bed with the wrong people if you don't have
 good risk- assessment information on them. Basically, he was
 anxious that MI5 shouldn't be thought of solely as a domestic
 organisation ... In return, he said there might be occasions
 when we can pass information back."

 The list of delegates gives an insight into the sort of executive
 MI5 is trying to reach: Nigel Carpenter, BP's deputy head of
 group security in the eastern hemisphere; Mike McGinty,
 security director at BAE Systems; Mike Harris, information
 security manager for Consignia; Michael Weller, BT's head of
 government security; and John Smith, head of security for the
 Prudential Corporation.

 The seminar was organised in conjunction with the Whitehall
 and Industry Group, a body that aims to bridge the gap
 between business and government. Its patrons include Lord
 Haskins, chairman of Northern Foods and the Better
 Regulation task force in the Cabinet Office; Sir Andrew
 Turnbull, permanent secretary to the Treasury; Sir George
 Mathewson, chairman of the Royal Bank of Scotland Group;
 Sir Richard Wilson, Cabinet Secretary and head of the Home
 Civil Service; and Digby Jones, director general of the
 Confederation of British Industry.

 The practice of using the country's intelligence service to
 benefit companies is one performed in the United States for a
 number of years. There is evidence that it has used a
 communications eavesdropping system called Echelon to
 gather sensitive information on rivals in the European Union
 that has been passed on to US business.

 There is no suggestion that the British services intend to go
 that far, but this is thought to be the first time MI5 has brought
 in so many senior executives.

 Even though they were not explicitly asked to keep the
 meeting secret, none of the delegates approached by The
 Independent yesterday returned calls. In spite of a number of
 approaches, MI5 failed to comment.

Full article at:
http://news.independent.co.uk/uk/politics/story.jsp?story=92810

Michael Keaney
Mercuria Business School
Martinlaaksontie 36
01620 Vantaa
Finland

michael.keaney@xxxxxx