Thursday, April 20, 2017

DCNS's l'affaire Adelaide takes shape: A horse, Defence Minister Marise Payne,and Lockheed Martin

by Ganesh Sahathevan


Image result for marise payne dcns
French Defence Minister Jean-Yves Le Drian (right) and Australian Defence Minister Marise Payne 

This writer has previously noted that DCNS's AUD 50 Billion submarine contract entered into with the Government of Australia seems not terribly different from other scandals the company has gotten into, including the the so-called l'affaire Karachi.

Now it seems the Defence Minister Marise Payne's love of race horses may provide some further clues.The Australian newspaper reported this morning :

Defence Minister Marise Payne co-owns a racehorse with a lobbyist whose company represents firms seeking lucrative Australian military contracts, including the Future Frigate project worth up to $35 billion.
Senator Payne is a co-owner of Tarakona, a largely unsuccessful four-year-old gelding, with a group that includes Matt Hingerty, managing director and chief executive of lobbying firm Barton Deakin.

Barton Deakin is recorded on the federal government lobbyist register as representing defence contractors, including Lockheed Martin Overseas Group, builder of the F-35 Strike Fighter; and Fincantieri SpA, the Italian shipbuilding company.


Not reported is the fact that Lockheed Martin Corp " won a bid to design and build the combat system " for the DCNS Barracuda submarines".

That contract is far ranging ,According to a DefenseNews report published on 18 April 2017:


Lockheed Martin will report this summer results of studies for potential suppliers of sonar and other critical systems for Australia’s planned fleet of 12 new attack submarines, said Mike Oliver, program director for the future submarine combat system.


“Lockheed Martin has been conducting trade studies in a number of key areas of the submarine’s design,” he told Defense News. “We are examining all options and will deliver the results of those trade studies in June to the customer.”

Sonar is among the key systems, the company’s program team said.
“The choice of sonar systems and arrays is in the hands of Lockheed Martin,” Marie-Pierre de Bailliencourt, general manager at DCNS, told Defense News..


Canberra in September selected Lockheed as combat system integrator, partnering with DCNS, which will design, build and service a fleet of 12 ocean-going diesel-electric boats. The program is worth AUS$50 billion ($38.1 billion) over some 35 years.

A survey of sonar and other systems marks a first step in a selection process that Thales hopes to win through its Australian subsidiary.


The French electronics company expects to secure more than €1 billion of deals, with €100 million per boat based on sonar systems, electronic warfare and periscopes. A towed sonar array is part of the kit.

END
 







Marise Payne co-owns horse with lobbyist

RORY CALLINAN The Australian
12:00AM April 20, 2017
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Defence Minister Marise Payne co-owns a racehorse with a lobbyist whose company represents firms seeking lucrative Australian military contracts, including the Future Frigate project worth up to $35 billion.

Senator Payne is a co-owner of Tarakona, a largely unsuccessful four-year-old gelding, with a group that includes Matt Hingerty, managing director and chief executive of lobbying firm Barton Deakin.

Barton Deakin is recorded on the federal government lobbyist register as representing defence contractors, including Lockheed Martin Overseas Group, builder of the F-35 Strike Fighter; and Fincantieri SpA, the Italian shipbuilding company.

Lockheed Martin has the contract to provide Australia’s strike fighters at a cost of up to $17 billion. Fincantieri is bidding for the Future Frigates, a project described as the largest of its type in the world and due to start in 2020.

Senator Payne this morning denied there is a conflict of interest involved in her co-ownership of a racehorse and her interests had been appropriately disclosed.

“There is certainly no conflict of interest there,” she told ABC.

“My interest in horse racing is a matter of clear public record, whether it’s through the parliamentary declaration process or through the normal processes associated with horse racing.

“I think that the story is one which The Australian has chosen to run, but I’m focused on my job in Japan and dealing with the regional security matters which are so important to Australia and so important to our allies and our partners.”

Senator Payne and Malcolm Turnbull last year announced that Fincantieri, BAE and Navantia had been short-listed for the project. The Defence Department awarded the three shipbuilding companies about $12 million each to participate in the process.

Senator Payne met Italian ­Defence Minister Roberta Pinotti in Australia in February during which she acknowledged “participation by Italy’s Fincantieri in Australia’s Future Frigate program”.

Senator Payne also used her official twitter account to tweet a picture and a positive comment about the February 20 meeting. Mr Hingerty then used his ­account to “like” the tweet.

Mr Hingerty ­yesterday ­confirmed his co-ownership of Tarakona but denied the connection had enabled him extra access to the minister or that he had ever discussed defence contracts with Senator Payne.

“Marise and I are 30-year friends and we share a common interest with racehorses and I’ve always looked for an opportunity to race a horse,’’ he said.

Mr Hingerty said he was not involved in Defence matters for Barton Deakin. “That’s my colleague, John Griffin, and he’s not involved in the racehorse,’’ Mr Hingerty said.

Efforts to contact Mr Griffin yesterday were unsuccessful.

When asked about liking Ms Payne’s tweet about the meeting with the Italian Defence Minister, Mr Hingerty said: “We are friends.”

Asked who the other 11 owners of the horse were, Mr Hingerty said they were friends and relations of Senator Payne and her partner, NSW Tourism Minister Stuart Ayres.

Mr Hingerty said some were friends of his. Two of the group appear to be relatives of Mr Ayres.

Senator Payne has listed her share in Tarakona on her register of interests. Racing records also list a syndicate called Padinga as one of the owners.

A spokesman for Ms Payne said there was no conflict of interest from the horse ownership.

He said the minister had not discussed any Defence contracts with Mr Hingerty.

Mr Hingerty has previously tweeted about defence matters including one example on July 22 last year in which he said he was “very privileged to be briefed by the former vice chair of the Joint Chiefs of Staff on US APAC ­policy”.

Yesterday he said the briefing occurred only as a result of the annual Amcham program and that it was “interesting but not relevant to any work I personally do”.

Mr Hingerty has also retweeted Senator Payne’s tweets about Defence matters, including one on February 17 in which she tweeted that it had been an ­honour to lay wreaths at Menin Gate, Polygon Wood and Tyne Cot cemetery for the Australians that fought and died during World War I.

Tarakona, which appears to be named after a dragon in Maori language, has not had any wins from nine starts, collecting prize money of $3680, according to racing websites.

Although Senator Payne ­declared the racehorse in her statement of interests published in September, she is not listed with the parliamentary website as having filed any other declarations since then.

Barton Deakin’s website says it can help clients if they are “a company needing to frame your investment project to maximum effect with the government”.

“Barton Deakin doesn’t just open doors — it helps you understand what is going on behind them, how to work your company most ­effectively with the Coalition in government or opposition and, most importantly how to achieve your government corporate strategy goals,’’ the website’s blurb says.

Rachel Baxendale contributed to this report

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