A huge fine on Greece and Portugal for bribery

Regarding a bribe case linked to two former senior executives of Ferrostaal AG and their actions in Greece and Portugal between 2000 and 2003, a Munich court proceeded to impose a 140-million fine on the company.

According to a telegram by the Bloomberg news agency, despite the large amount, the fine does not cease to be a compromise of the company with the prosecution authorities and the court.

The case is about the actions of the former director of Ferrostaal, Johann-Friedrich Haun, and former lawyer Hans Peter Muhlenbeck, who confessed bribes made ​​to officials in Greece and Portugal to ensure the submarine sales to these countries. It is estimated that only in Greece bribes of approximately 60 million were paid for submarine orders worth 1.6 billion euros by the Greek Navy.

According to the indictment, the two former managers agreed on payment of part of that amount to "decision makers in ministries and authorities". They nominally referred to former defence minister Akis Tsohatzopoulos, who denies the charges.

At the start of the trial on December 15, Ferrostaal had announced that it was ready to pay the fine that was the result of "intense negotiations". The company today announced that it will suffer the consequences and pay the fine. The two company executives received a suspended sentence of two years' imprisonment.