saudi threat to sever all diplomatic and intelligence ties

* JTA via Prissy:

"The Bush administration promoted David Satterfield, an alleged informant for a former AIPAC lobbyist facing trial in a classified information case.

The State Department last week announced Satterfield’s promotion to senior adviser on Iraq to Condoleezza Rice, the secretary of state. Satterfield was promoted from deputy ambassador to Baghdad. Satterfield is cited in the indictment against Steve Rosen, the American Israel Public Affairs Committee’s former foreign policy director, and Keith Weissman, its former Iran analyst, as one of three government officials who shared information with Rosen.

Satterfield is described as meeting with Rosen in 2002, when Satterfield was second in command at the State Department’s Near East desk.

Prosecutors refuse to explain why Satterfield escaped prosecution for leaking information."

* Times (UK) via starroute:

"SAUDI ARABIA is threatening to suspend diplomatic ties with Britain unless Downing Street intervenes to block an investigation into a £60m “slush fund” allegedly set up for some members of its royal family.

A senior Saudi diplomat in London has delivered an ultimatum to Tony Blair that unless the inquiry into an allegedly corrupt defence deal is dropped, diplomatic links between Britain and Saudi Arabia will be severed, a defence source has disclosed.

The Saudis, key allies in the Middle East, have also threatened to cut intelligence co-operation with Britain over Al-Qaeda.

They have repeated their threat that they will terminate payments on a defence contract that could be worth £40 billion and safeguard at least 10,000 British jobs.

The Saudis are furious about the criminal investigation by the Serious Fraud Office (SFO) into allegations that BAE Systems, Britain’s biggest defence company, set up the “slush fund” to support the extravagant lifestyle of members of the Saudi royal family.
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During the meeting with Powell the Saudi diplomat is said to have issued a threat to sever all diplomatic and intelligence ties. Such a move would be damaging for Britain’s strategic interests in the volatile region."

* kissinger:

"If you mean by 'military victory' an Iraqi government that can be established and whose writ runs across the whole country, that gets the civil war under control and sectarian violence under control in a time period that the political processes of the democracies will support, I don't believe that is possible."