Siemens Offices Raided In Fraud Probe

by Ulrika Lomas, Tax-News.com, Brussels

17 November 2006

Police and prosecutors have raided Siemens offices in about thirty locations in Germany as part of an ongoing investigation into fraud, the company has confirmed.

Siemens verified a state prosecutor’s office announcement that an as yet undetermined number of individual acts of fraud are suspected at the company’s fixed networks business.

According to the company, the amount at issue in the investigation is "in the low double-digit million euro range."

A total of six former and current company employees are suspected in the case, in which Siemens is a witness.

Some 200 police officers, tax inspectors and prosecutors were involved in the raids.

Siemens was unable to provide any further details because of the ongoing nature of the prosecutor's enquires, but the company said it was in full cooperation with the authorities.

"Siemens would like to make it quite clear at this juncture that it is very interested in having the matter completely cleared up," the company said.

It went on to add: "In the context of this incident, Siemens would like to point out that it has Business Conduct Guidelines that provide company-wide principles for conducting business that are mandatory for all employees.

"These guidelines include clear instructions for employees to obey the law and are a component of every employee contract."

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