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Former Siemens execs fined for corruption

AFP · 20 Apr 2010, 16:57

Published: 20 Apr 2010 16:57 GMT+02:00

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Michael Kutschenreuter, 55, received a two-year suspended sentence and a fine of €60,000. The court in the southern city of Munich also ordered him to pay €100,000 to charity.

A former financial director at Siemens' telecommunications division, Kutschenreuter is the most senior executive so far to be found guilty of corruption by a German court in the wake of the scandal.

The other man, Hans-Werner Hartmann, also 55, received an 18-month suspended sentence and was ordered to pay €40,000 to charity.

The pair took part in a wide-ranging bribery scandal whereby executives slipped cash to foreign officials in exchange for landing lucrative contracts.

Story continues below…

Some €1.3 billion was paid out in bribes between 2000 and 2006, making it the biggest scandal in corporate German history.

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Your comments about this article

11:29 April 21, 2010 by Prufrock2010
How does this conduct differ from the standard practices and procedures in any large industry? What is lobbying but sanctioned bribery?
06:39 April 23, 2010 by wood artist
While this does reflect on the company, it also exposes the way business runs in far too many countries. Bribes are expected, and nothing happens if they aren't paid. It's tough for good businesses to seek this work and not play by the local rules, so...they give in.

Maybe the business isn't worth it in the first place. If everybody refused (which they don't) then it would stop.

21:34 April 24, 2010 by wmm208
Bribes will continue from Siemens as well as Daimler. It will not stop.
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