06/07/2012 Newsnight


Hacking, banking, expenses, riots. Have we lost faith in the establishment? Plus the innocent man serving life for murder in Florida. With Emily Maitlis.

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Tonight's scandal upon scandal after the banks the MPs,


journalists the media and its moguls, have we lost faith in the


country's institutions? Another inquiry's launched the


Serious Fraud Office will put their spotlight on Barclays. What trust


do people have on the elite. With more to come with Leveson is this


country facing a Profuma moment. face a Christian writer, and author


on the new book on the establishment to debate the


direction of the country's porl compass. Also, 26 years in a Miami


crime the evidence suggests he didn't commit. The explosive new


details that point to the innocence of Kris Maharaj. I wake up and ask


why am I in here, I committed no Hello good evening. They're serving


strawberries and cream at Wimbledon, but if you're looking for


consistency, it is getting harder. The Barclays saga has Tyrone the


upper everyone lons into a panic. It is the latest series that put


the journ journalists, BBC and others in the spotlight. Tonight we


ask has something changeed in your oat. Have we become more morally


lax? Or was it ever thus. There's flash photography in Paul Mason's


report. Banks, busted. Reputations, in flames. He impugned my integrity.


Politicians outed and serious expenses scamers, the biggest


selling tabloid destroyed by phone hacking and now it is banks again,


Barclays, escaped nationalisation, leadership eadvice rateed over the


libel scandal. What started four years ago, as a financial crisis


has now moved into a crisis of confidence in the whole


establishment. They still serve strawberries at Wimbledon and cream.


But there's a sour taste everywhere. In the past week, we've seen the


British establishment illustrate a panic, the Treasury, the FSA the


Bank of England, all struggling to avoid being dragged into the libel


scandal. But beneath that, there may be something bigger going on,


not the death of deference but political and financial elite


losing control of the story. Who is this. If you're under 50, you will


struggle to remember. But John Profumo, Tories Defence Minister,


gave the name to the last establishment crisis. Profumo slept


with a call girl who slept with a Russian spy. But as the case


unravelled, the public had a glimpse how the Britain had be run


and they didn't like it. Today they're getting more a glimpse, the


day after day the Leveson Inquiry is making media mow gulls and


ministers squirm. Did you see her every weekend or most weekends in


the peshed 2008, 2009. Not every weekend. Most weekends. Ex.


News Corp scandal finished the careers of police top man and could


go further. Go it go further. A senior police woman reveals this.


It has a connected network of officials. I don't mean the


officials are in contact with each other, more that, the journalists


had a network upon which to call, at various strategic places across


public life. Criminal proceedings are now under way, against senior


figures in the News Corp empire. But journalists, already low in


public esteem are no longer the lowest. Recent research, now puts


bankers at the top of the league of the distrusted. 78% of the


questioned assume bankers are generally lying. The figure is 77%


for politicians, 74% for journalists and 59% for business


leaders, so far, of all the beleaguered groups the police


remain most trusted. Just 26% assume copse are routinely lying.


As the crisis morped from banking to politics to policing, it is


coinciding with social break down, like last summer's righting, gangs,


criminals purveyors of stolen goods and those prepared to buy them. But


the more people look at the top echelons of society the more they


see networks of influence, that cross over into rule-breaking and


outright crime. Today, the Serious Fraud Office


stkw a U-turn deciding to investigate what it calls "lie


bother matters", namely Barclays. It is worth remembering what


happened last time the SFO investigated a major British


institution. When it came to prosecuting, Britain's biggest arms


making rer for bribeing allegedly Saudi laws, took second rate, and


the rich and powerful got away with it. But Britain, in the meantime


has become very intolerant of untram Meled power. Our economics


editor. With me to discuss this, Neil Hamilton, the former Tory MP


who lost his seat, own Jones, Richard Sharp and Anne scan Atkins


is a Christian writer. When we look at this, Owen, scandal


of scandal, do you think anything has fundamentally changed?


Absolutely. I think our democracy faced a real crisis. These are not


a few bad eggs, and shreds diamonds who can be thrown to the media


packs. We are seeing the consequences over 0 years or more


of a shifpt of power to those at the top, and increasingly,


unaccountable elite. Take the masses of the universe like the


gentleman opposite me and the role they've had in plunging the world


into the biggest economic crisis for a hundred years, that's the


consequences of three decades of de-regulation, untram Meled


economics, for example the Big Bang under Thatcher. If we're talking


about politicians I'm sat nexttor a trail blazeer of politicians


disgraced, but what we saw with the Spencer scandal is MPs would


rationalise it and say look at comparable professions and look at


what they're paid for, and people rooted in their careers, they were


a career isolated from those who they represented. Do you agree with


the stphrns Not sure the reasons, necessarily, I'm not saying they're


also contributory. I agree it goes further than the last two or three


years. I think this goes right through the 20th century. A number


of reasons, one, think I the obvious one is decline of faith


over the last hundred years, which inevitably effects our values. I


think back to my father's or grandfather's generation, to cheat


on tax was unthinkable for a gentleman. You just wouldn't do


that. And that, whole sense of honour and integrity has been


watered down, and people don't, one of the things we lost is


interesting we referred to the rights, you referred to the rights.


One of the things we've lost over the last generation is a sense of


shame. Now you might say that's a good thing A young girl who gets


pregnant doesn't have the terrible shame that drove some to suicide.


That's a good thing. But on the other hand, there's a sense that it


doesn't matter if I get caught out because I can reinvent myself.


There was a time, if you were found doing something like that, it was


so awful you wouldn't do it. Your profession, you just had the finger


point at you, do you feel that you have to constantly justify the


banking trade now, or can you say, banking has always been about the


need to maximise profit, and people never complained that in the past?


Well, I'd like to pick what Anne was saying, values are very


important. We've seen capitalism, and we've had examples of Cadbury's,


or Barclays at its origin, with Quaker roots. Where capitalism can


be inco-operateed in a way it integrates and provides a service


to the community. Clearly, there have been changes taking place as


part of the global growth which led to consequences which effect the


whole community and question... It begs a questions about governance,


the issue isn't one, I'm not clear what Owen was getting at but it is


not the direction, the direction is one of gochnans and values that you


have organisations, you have organisations, with approximate


degree of transparency and atability and leadership is based


around values which goes beyond slogans on the wall or an newly


report. It goes to actually the way those companies operate. And many,


many companies do, and many people in those companies do operate


properly. I'm wondering, it must be 20 years of the controversy or


scandal whatever you call it, made you lose your seat. Do you look at


this, and laugh at the idea any of this is new or something we're


noticing now. Owen has no sense of history or knowledge, because the


history of company law, going back to 1720, is about financial


scandals and frauds, in the City. And, nobody would have known from


what he said, about this being due to the Big Bang and Thatcher, the


events involving Barclays occurred under Gordon Brown's leadership,


and he was the man who was going to restore the moral compass to


British politics after Tony Blair. You've had your say, I'll have mine.


We've seen it before in all generations. A hundred ago we had


the Marconi scandal. If we've seen it all before, does it mean these


things just come up and go away again and everyone forgets them or


does it mean we're steadily on a downward path? Every generation has


to relearn the mistakes of predecessors. What was different


after the experience of the great depression, backlash of laissez


faire economics, which had a disastrous similar situation is


constraints were put on people at the top. Wealth and power faced


constraints which they never had previously had, if it was higher


taxes, we have greater stability now. Because of Thatcherism, those


constraints were stripped away and those why we end newspaper this


mess. Is it right, would you of liked more governance, do you say


we were unable to regulate ourselves as bankers? You know, it


was queried in terms of historical understanding. If you go back to


before Thatcher, we had state enterities which were hardly fit


for service. You wouldn't remember the gas or electricity board, the


failure for people to get a telephone What does this have to do


with the financial sector in the economic crisis. You do have a


point, because what we have now is socialism for the rich. Banks


bailed out by the taxpayer, we should have no tax yeas for


representation. They should be represented on the boards. Anne,


one argument is if you shine a light on any industry, close up and


look at any industry, things are are acceptable to people who work


in that industry, aren't? One of the things that changed is there's


more information out there. Prince Charles, just to get personal,


thought he could get away with the lifestyle of his grandfather, you


can't because of the newspapers, there's a sense in which that is


the case, Richard has an interesting point. Going to the


Quaker roots of these some of the institutions, a friend of mine has


his own investment company he said the difference between the Quakers,


the believeing Quakers, some of the cliepts, and he says to them, would


you like, you can avoid tax, this way, and they go, no, we want to


pay the tax and contribute to society. When you lose that when


you're not accountable to God and only your neighbour, if your


neighbour doesn't know, it doesn't matter. That is a bizarre argument.


When we had far Christian ethics, we had the more yars of kensyism,


the civil war which religion played a key role. In what sense did faith


constrain people. In the 19th century, which was a century of


great faith, after the 18th there was a revival, it was the Vic tore


gran, the Dickens, fighting that kind of thing, which they inherit


from a century. It was the Victorians who put and an end to


child labour, it was the Victorians, who were the great feminists.


Are we actually, losing your faith in these institutions, this is the


question we started with, or are we accepting these things happen? Just


to remind people, after the enormous demonstrations, following


the Iraq war, everyone voted Tony Blair back into power. Do you think


people have long or short memories. It is a fact in current


circumstances, obviously people are less trusting of institutions than


they were a few years ago, because of all the scandal What do they


trust instead? It is a factor of the human condition, there will be


frauds and incompetence in all generations. And nothing is new


about any of this. What I find so extraordinary, is that people like


Owen are prepared to put faith in regulators and governments to stop


these things happen. The Financial Services Authority, knew about all


these libel things. And yet they wafted them through. The Gordon


Brown with the moral xas was our Prime Minister. Ed balls was the


man who designed the system of regulation. You're right. What New


Labour did was accept the thaix right consensus which was de-


regulation of free market economics. But the fear I have as a critic if


you like of the establishment is what we will get resignation, pass


sift, people saying they're all in it together. To quote an African


American, power concedes nothing without a demand. It takes pressure


from below. A lot of what Owen is aiming at is fair. The issue is,


what is a better system. That is where he has a problem, because,


there isn't a better system, certainly not one which actually


has power to politicians, and bureaucrats without accountability.


So the problems we've had in terms of how the economy evolved is


certainly one where capitalism has its plaus. The issue that you have,


is really to construct a better model which really works. Say for


example you talked about putting people on the boards. So the


question of who should be on the board is who is qualified to do is


a better job. Because the people own these companies. The banks:.


Just proving, you don't think it would work to have members of the


public sitting on boards? Any individuals who are qualified.


You're saying yes. We own RBS and some of the banks, and yet...


democratic control. OK,. There is corruption and always be a problem.


Where I don't agree is we've had eras and periods when you can leave


your house unlocked. I don't want a savoury tea receipt, it is a waste


of time, but we live in a society, to answer your question, we have


lost faith. Is it time for a new order? We've got, inquiries,


resignations, arrests all the rest of it. Is something going to change.


Why people want the inquiries, particularly the ones who are led


by judges who, have no idea of commercial world, is kicking the


ball in the long grass. Ed balls wants that, because he was the guru


when these things happened. The banks should be allow today go bust,


if they lost enough shareholders money. The implicity taxpayer


guarantee, create an era of irresponsibility.


Look, I don't have a problem, that's why the too big to fail


issue is an issue, why Owen understandably speaks for people,


because taxpayers feel they've bailed out the banks. Thank you. A


British businessman's approaching his 26th year in jail in Florida


for a double murder he denies. A major investigation by Newsnight


eight years ago, found evidence suggesting that Kris Maharaj was


framed. Now this programme brings more material to light which


independence kaits the man is innocent. Will he ever win a


retrail? This piece constains trong I went through hell. They're


killing me slowly for 25-plus years. I did nothing wrong.


What am I doing here in the name of God? How do you measure time after


26 years in a foreign jail? Do you count the days, the decades, your


own shift from middle to old age, for Saturdays until you next see


your wife, the minutes until lunch. The hours between pills, the lost


appeals. How long does it feel to you, that you've been in prison


for? It is 26 years, it seems like 2,000 years to me. Every day is


like a year for me. You have to take one day at a time, otherwise


you go insane. Now there's more evidence suggesting that it's been


26 years in jail, as an innocent man. Is this dynamite information?


Of course it was. Of course it was. And Kris Maharaj was the fall guy.


Hi Kris, very good to see you again. Times were good in the '80s, having


made a fortune importing fruit, Kris divided their time between


London and Miami. South Florida itself, was teetering. Swamped by


cocaine a brutal turf war between Colombians and Cubans were played


out on the streets of Miami. Dickry, Dickry, dock, you joust got busted.


Maharajs, from oblivious, life was eye depilic until this happened.


double homicide happened. Father and son, der Rick and Duane Moo


Young were found dead. That was on October, 16th1986, the next day,


Kris Maharaj was arrested. Within a year, he was on Death Row. When


they said I was convicted, I faipbtd, I thought it was


impossible to get convicted for murder, something you didn't do, so


I faipbtd in the court. - fainted. I've been coming to Florida, on and


off for taen years, reporting on Kris's case, I can't get my head


around why he's never had a re- trial. What looked like a fairly


open and shut case at first glance is anything but the more you dig


into it. He had a gun in one hand and a pillow, cushion in the other


hand. Firstly the prosecutions only eyewitness, Neville Butler said he


saw Kris shoot the victims in front of him. Yet he's changed his story


and failed a polly graph. There's also the fact that at the very time


of the murders, six people testifyed that Kris was 30 miles


away in Fort Lauderdale. You saw him twice, between 11 and noon?


have no doubt. I haven't any doubt at all. Not one of the six alibi


witnesses testified at Kris's trial at which the judge was arrested on


day three, and led away in handcuffs, charged with taking a


bribe in another case. Then there are the extraordinary questions


about a man with a gun, and silenceer. An old colleague of this


man, Adam Hussain told me on the day of the murders, a gun and


Hussein's desk. What did he say to you? That it would solve the bunch


of his problems, he had come into money, a couple of hundred thousand


dollars, cocaine and what have you, and that he'd had to eliminate


people to do it. When I tracked him down for Newsnight he wasn't keen


to talk. People talk to you in association? I don't care. Can you


explain to me. I don't locking care, do you understand me. No. Can you


explain why:. Speaking to him is more the police have ever done.


Doubts over the main prosecution witness, the six alibis not called


to court, judge arrested three days into trial, the question of the gun


and silenceer, enough to convince, two former UK attorney generals


this does look like a miscarriage of justice. Enough to have the


death sentence commuted to 50 years, for a 73-year-old. But not enough


to win a re-trial to present the new evidence. I wake up 4 and 30am,


I have to go for insulin. After I had the insulin, all of us go to


the room to eat breakfast, and 46 of us go back to the dorm. Four


feet away you have a bunk, and another bunk, and one, two, three,


four over the bunk. I don't spend time thinking when I get outside, I


just get depressed if you care to put it that way, thinking of the


life I have before, and why I'm in here. I think God, why am I in here,


I did nothing wrong. Since I saw you and the appeal failed, the


defence have digging into your case, and they turned up new leads


suggesting that you are innocent and one of the most compelling, is


The testimony of Tino Geddes was truly damning. After the murders,


he said he was with Kris at the time, he was innocent.


And then he fliped before trial, testifying that Kris his actually


been schemeing to murder the Moo Youngs. The whole thing was played


out. As he had planned it. When I was with him. At the same venue, at


the same hotel. What made this star witness flip? More clues are


emerging from teeno's home town in King ton. We found out the


prosecutors in the Raj Raj case flew over to clear Tino's case he


was having, a few bullet. Tino Geddes is now dead. And his lawyer


from the time, is now more forthcoming. He was charged with


importation of firearms and I think there were, might have been other


charges. It transpires, Tino Geddes was facing charges of bringing guns,


ammunition and silenceers into Jamaica, and faced a potential life


sentence. What sentence did he actually receive? He got a non-cuss


toadal sentence. There was a fine. On the charges. But, no


imprisonment. He must have been surprised? I was delighted. I was


delighted. Do you think the prosecutors coming down on the


Maharaj case to testify made the difference? Between him going to


jail and not going to jail? Well let us put it this way, I


considered at that time that it might have made a difference, and


that is why I called him. You've got a safe, any Tino Geddes in


here? Nothing of value. It is ornamental. No confessions from


Tino. No not at all. Your knowledge of Geddes and you went to his


funeral and you were friends with him. Why do you think he flipped


from being an alibi for Kris Maharaj to being the prosecution's


key witness? That is a question I cannot answer. I cannot penetrate


with the content of the human mind. I cannot faith tham the motivations


of human may have your. I don't know. I suppose an argument could


have been advanced, that there was some form of inducement or pressure.


I went to tell Ron Petrillo the E cop at the time that Tino Geddes


had escaped life but got a fine. That would definitely explain to me


why, for months Tino Geddes was a staunch supporter of Kris Maharaj


and the next time I saw him, he was testifying for the state in court.


I could not believe what I was hearing. The news about Tino Geddes


isn't the only revelation that's come out. There's more stuff about


clol beeian who had the room opposite where the murders took


place, did you know anything about him at the time? At the time no.


Miami detectives arrested Mid-80s, Miami was creaking under clol


beeian cocaine. So when it transpired a Colombian rented a


room opposite the qilgs, you would expect the police to investigate


this fully. They barely questioned him a proper checkup, would have


revealed what I showed him. He was suppose today have carried �40


million 348 dollars for deposits for Swiss bank accounts on maf of


Colombian drug smuggleers. Opposite the murders. Is this


dynamite information? Of course it was.


The whole case sincere far as I was And Kris Maharaj was the fall guy.


Frustrating stuff for Kris Maharaj's British lawyer who took


up the case 17 years ago. We have a big battle ahead of us, my plan, I


hope is to develop this evidence and go to the Florida state courts


and persuade them. If that doesn't work, we have to go to the American


Supreme Court. Every piece of new evidence is bitter sweet for matter


Rita Maharaj who stayed by her man all this time. Occasionally I dream


about Kris when he was younger, and always in London. The other day, I


dreamed that he came home and we were going, and the day he was


embraceing me and kissing me for the first time I dreamed that.


Short of a legal or diplomatic miracle, that remains a rather


distant dream. I want to be out while I'm alive, not when I'm dead.


I want to be vindicated, not after I'm dead. Kris Maharaj ending that


report by Tim Sam uels. But Tim is up now with a review show. We will


be delivering on the verdict on the Spider-Man, a fresh start for the


superhero. Michael Palin's novel rg The Truth, and When I'm 65, and a


new series set behind a the scenes called Newsnight. Join me in just a


minute. I will remain zipd and bring you


the front pages of the papers. The FT weekend has Osborne to fight for


FT weekend has Osborne to fight for bank bonuses.


Murray's milestone, a familiar sight you'll see on most front


pages tomorrow. A 74 year wait for a Wimbledon final. Ministers claim


of silly kaims on Lord reform of course. The Times has got a big


picture of Andy Murray looking heaven-wards. And Daily Telegraph,


Hacking, banking, expenses, riots. Have we lost faith in the establishment? Plus the innocent man serving life for murder in Florida. With Emily Maitlis.

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