Germany's Siemens confirms Kuwait corruption probe

Company says it called in authorities, took disciplinary action after discovering corruption evidence
Germany's Siemens confirms Kuwait corruption probe
The Siemens logo crowns the companys Neuperlach plant in the southern German city of Munich. (Getty Images)
By Reuters
Fri 10 Jun 2011 12:09 PM

Siemens said it had discovered evidence of corruption at its business in Kuwait and had involved authorities.

"We uncovered the case ourselves, involved the authorities and took disciplinary measures," a spokesman for the company said on Friday.

German daily newspaper Financial Times Deutschland earlier cited a senior prosecutor in Munich as saying arrests had been made in connection with a fresh investigation at Siemens.

The paper cited judicial sources as saying at least two managers had been arrested, and an arrest warrant has been issued for a third manager who had worked in Kuwait.

The prosecution in Munich was not immediately available for comment.

Siemens was embroiled in Germany's biggest post-war corporate corruption scandal that started in 2006, culminating in about 1 billion euros ($1.46 billion) in fines and penalties and the departure of its chairman and chief executive.

"One-off cases can never be ruled out, but we can rule out systematic misconduct," the spokesman for Siemens said.

Shares of Siemens were 0.2 percent lower at 91.04 euros by 11.14am UAE time, in line with Germany's blue-chip index.

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