UN inquiry probes DaimlerChrysler role in bribes

31st August 2005, Comments 0 comments

31 August 2005, STUTTGART, GERMANY - A United Nations inquiry into how corruption spread in the Oil-for-Food programme has begun looking at how DaimlerChrysler may have sped up a sale of trucks to Saddam Hussein's Iraq, the German weekly magazine Stern said Wednesday.

31 August 2005

STUTTGART, GERMANY - A United Nations inquiry into how corruption spread in the Oil-for-Food programme has begun looking at how DaimlerChrysler may have sped up a sale of trucks to Saddam Hussein's Iraq, the German weekly magazine Stern said Wednesday.

The German-U.S. auto group has previously said it was cooperating with investigations by the U.S. Securities and Exchange Commission (SEC) and the U.S. Department of Justice into the same facts.

The United Nations' own inquiry, led by Paul Volcker, the former chairman of the U.S. Federal Reserve, has already uncovered a pattern of bribes in the 1996-2003 programme, which oversaw humanitarian exceptions to U.N. sanctions against Saddam.

Stern, in its issue to appear Thursday, said a DaimlerChrysler spokesman had confirmed the U.N. inquiry was seeking information. The company said it cannot comment while the inquiries are pending.

Earlier news reports say the inquiry involves 150 Actros trucks designed to pull semi-trailers. Fifty of them were delivered via a sale to the Russian Engineering Company of Moscow, which in turn sold them to the Iraqi state-controlled GAMCO.

The various inquiries are following up reports that leading businesses paid kickbacks to a Geneva-based company, Cotecna, which arranged both shipment to Iraq and payment.

DaimlerChrysler gave an account of the investigation in its quarterly report at the end of July.

DPA

Subject: German news

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