of the company. Chief Secretary to the Treasury He became Chief Secretary to the Treasury in 1994, a Cabinet position, but resigned in 1995 following the allegations that he had violated ministerial rules. He was defeated in the 1997 general election. Within a year he had been appointed as a representative for the arms company GEC-Marconi (part of BAE Systems since November 1999). Libel, arrest and prison Libel action On 10 April 1995, The Guardian carried a front-page report on Aitken's dealings with leading Saudis. The story was the result of a long investigation carried out by journalists from the newspaper and from Granada Television's World in Action programme. The Guardian also alleged Aitken as Minister for Defence Procurement, arranged prostitutes for Arab businessmen. Granada's World in Action programme repeated the accusation in a television documentary called Jonathan of Arabia. Aitken had called a press conference at the Conservative Party offices in Smith Square, London, at 5 p.m. that same day denouncing the claims and demanding that the World in Action documentary, which was due to be screened three hours later, withdraw them. He said: The World in Action film Jonathan of Arabia was transmitted as planned and Aitken carried out his threat to sue. The action collapsed in June 1997 (a month after he had lost his seat in the 1997 general election) when The Guardian and Granada produced, via their counsel George Carman QC, evidence countering his claim that his wife, Lolicia Aitken, paid for the hotel stay at the Ritz Hotel in Paris. The evidence consisted of airline vouchers and other documents showing that his wife had, in fact, been in Switzerland at the time when she had allegedly been at the Ritz in Paris. The joint Guardian/Granada investigation indicated an arms deal scam involving Aitken's friend and business partner, the Lebanese businessman Mohammed Said Ayas, a close associate of Prince Mohammed of Saudi Arabia. It was alleged that Aitken had been prepared to have his teenage daughter Victoria lie under oath to support his version of events, had the case continued. A few days after the libel case collapsed, World in Action broadcast a special edition, which echoed Aitken's "sword of truth" speech. It was titled "The Dagger of Deceit". During this time, it emerged that when Aitken was being encouraged to resign, he was chairman of the secretive right-wing think-tank Le Cercle, alleged by Alan