Judge rules U.S. arms maker entitled to proceeds from sale of London mansion owned by Gaddafi family

For over a decade, General Dynamics, a U.S. arms manufacturer, and the Libyan government have been at loggerheads over who should benefit from the sale of a $11 million London mansion once owned by Saadi Gaddafi, the son of Muammar Gaddafi. 

On Tuesday, a UK judge ruled in favor of General Dynamics. 

The once grand but now dilapidated mansion was returned to Libya in 2012 after a UK court ruled it had been purchased using stolen Libyan state funds. 

According to a report in the National News, a 2016 study by Transparency International found between $60 billion to $120 billion had been embezzled by former regime officials. However, only $20 million has been repatriated to Libya. Half of that amount is the London mansion.

General Dynamics, best known for producing the F-16 fighter jet, sold communications equipment to the Gadaffi regime beginning in 2008. The company claims it is still owed more than $20 million. 

If the house is sold, the Libyan government must repay the defense contractor. If General Dynamics wants to force a sale it will need to apply to the court for another judgement. 

Tim Eaton, an expert on Libya at the Chatham House told The National News if the case goes forward, the Libyan people will get nothing out of it. 

“It’s understandable that the contractors want to be recompensed but that’s not going to help the Libyan people much,” he said.