Siemens Threatens Six Ex-execs With Legal Action

Wants executives to settle damages in connection with cases of corruption

Siemens said on Sept. 23 that six former directors had until mid-November to agree to settle damages in connection with cases of corruption or face legal action.

Siemens is giving the former executives, including former boss Klaus Kleinfeld and supervisory board head Heinrich von Pierer, "the opportunity to declare their willingness to reach a settlement," a statement said. "The company will take legal action against those individuals with whom it has not reached an agreement by this date," it added.

The German newspaper Sueddeutsche Zeitung said Seimens sought six million euros ($US8.9 million) in damages from von Pierer.

In late August, the company announced that three former directors had agreed to pay 500,000 euros each in connection with a vast corruption scandal.

Siemens, which produces a wide range of products from light bulbs to locomotives and wind turbines, has accused the executives of either ignoring or being involved in the paying of bribes in exchange for lucrative contracts.

In December 2008, the German group agreed to pay nearly one billion euros to U.S. and German authorities to settle the the scandal.

The 161-year-old conglomerate has acknowledged that up to 1.3 billion euros may have been used illegally to win foreign contracts.

Copyright Agence France-Presse, 2009

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