Fed: Academic says Optus takeover would make deals open book

AAP General News (Australia)
08-10-2001
Fed: Academic says Optus takeover would make deals open book

A defence academic says allowing SingTel to take over Cable & Wireless Optus could
make confidential business deals an open book to the Singaporean government.

SingTel has launched a $17 billion takeover for C&W Optus, Australia's second largest
telecommunications company.

C&W Optus and the Australian Defence Force are partners in a new telecommunications
satellite due to be launched next year.

The government has promised to consult defence and national security agencies before
giving the green light to SingTel's takeover of the company.

The Singaporean government has a majority stake in SingTel.

Defence academic DES BALL says the deal could have commercial secrecy implications
as well as military.

He has told ABC radio that it would become an open book to whoever controls the satellite system.

Mr BALL says it could be used to trump particular deals, to negotiate as they would
know what the bottom line of a particular negotiation is.

AAP RTV kmh/mjm

KEYWORD: SPYING (CANBERRA)

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