German legislator charged in VW scandal

4th January 2007, Comments 0 comments

4 January 2007, Braunschweig, Germany (dpa) - A German member of parliament has been charged in the sex and bribery scandal that has rocked carmaker Volkswagen AG over the past 18 months, prosecutors said. Hans-Juergen Uhl, a member of the co-governing Social Democratic Party (SPD), has been indicted on two counts of being an accessory to fraud and five counts of making false statements under oath. Uhl, a former member of the works council at Europe's biggest carmaker, is the second person to be indicted i

4 January 2007

Braunschweig, Germany (dpa) - A German member of parliament has been charged in the sex and bribery scandal that has rocked carmaker Volkswagen AG over the past 18 months, prosecutors said.

Hans-Juergen Uhl, a member of the co-governing Social Democratic Party (SPD), has been indicted on two counts of being an accessory to fraud and five counts of making false statements under oath.

Uhl, a former member of the works council at Europe's biggest carmaker, is the second person to be indicted in the affair after former Volkswagen board member Peter Hartz.

Hartz, who also helped overhaul Germany's labour market under former chancellor Gerhard Schroeder, is due to stand trial January 17 on 44 counts of breach of trust.

The former personnel chief is accused of sanctioning illegal bonuses that helped fund the lavish foreign trips for the head of the company's works council and his South American mistress.

Hartz, who left the company in July 2005, admitted in October to "a criminal responsibility for giving preferential treatment to the former works council head" Klaus Volkert.

Volkert was arrested last year because of concerns about the suppression of evidence, but released after two months.

The VW scandal, which surfaced in June 2005, originally centred on allegations of bribes from potential suppliers and the creation of dummy companies which were used to secure lucrative contracts abroad.

But the scandal quickly widened to include claims that VW paid for so-called pleasure trips for work council members so as to keep them on their side. This included allegations about flying around high-class prostitutes.

Copyright DPA

Subject: German news

0 Comments To This Article