Russian suspected in Swedish spy probe

A Russian diplomat is likely to be expelled from Sweden in connection with a possible case of industrial espionage against telecoms…

A Russian diplomat is likely to be expelled from Sweden in connection with a possible case of industrial espionage against telecoms equipment giant Ericsson, according to an intelligence source.

Police said today they had detained three Swedes on suspicion of passing secret documents to a foreign intelligence service, which they did not identify. An Ericsson company source alleged a Russian was involved.

Loss-making Telefon AB LM Ericsson is the world's biggest producer of mobile phone networks, but is also involved in developing radar and missile guiding systems for the high-tech JAS 39 Gripen fighter plane. The Gripen is Sweden's main strike warplane.

The Ericsson source would not say what documents had been leaked, but said they did not appear to have been linked to any military projects.

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"It was a specific technology which the Russians don't have themselves that they tried to get, and as far as I know it was not from the defence unit," the source said on Thursday.

Sweden's Foreign Ministry and Justice Ministry declined to comment on reports that a Russian diplomat might be expelled. No one was available for comment at the Russian embassy because of a public holiday in Russia.

Asked if a Russian diplomat was likely to be expelled, the intelligence source said: "That would be a reasonable conclusion." The intelligence source declined to be identified.

Ericsson has said the three people detained were either employees or former employees. The three have not been named.

The company has recently laid off staff as part of a cost-cutting package designed to put it back in the black some time in 2003.

The Ericsson source, who also declined to be named, said the leaking of the documents had caused limited damage, but was believed to have been going on for some time.

Swedish officials said a prosecutor would ask a court on Friday for the three Swedes to be detained until police had completed investigations because they might escape.

The hearing would take place in a high security room at Stockholm's district court, the officials said.

Swedish security sources said police working on the case had mounted a month-long surveillance operation.