Siemens Managers Admit Bribing Russian Officials



The Moscow Times

Representatives of German electronics and engineering group Siemens arrested in a bribe scandal have confessed to bribing Russian telecoms companies and authorities to win lucrative contracts, Vedomosti reported Monday, citing German newspaper Süddeutsche Zeitung.

One of the two former executives questioned by prosecutors last week said he was personally involved in paying Russians for services disguised as consulting fees. The sums were bribes meant to ease winning orders, Vedomosti said.

The other suspect, who was for many years in charge of sales in the CIS, also gave “exhaustive evidence” to prosecutors, the newspaper said.

According to the suspects, Siemens spent close to 10 million euros ($13.4 million) per year on bribes and kickbacks in the CIS, adding that most of the money went to greasing the palms of officials and even members of the intelligence services.

Siemens’ Munich office confirmed that two current and former managers of the company had been arrested as part of the ongoing investigation, Vedomosti reported.

Employees at Siemens office in Moscow declined to comment Monday.

The German investigation started in November last year, when prosecutors raided the offices and homes of a number of Siemens employees amid suspicions of creating slush funds used in bribing to obtain contracts abroad. Siemens reported revenues of more than 1.6 billion euros ($2.1 billion) in Russia last year.

 

Task 1. Read the articles and answer the following questions.

1. Who was arrested in a bribe scandal?

2. What have they confessed?

3. How were bribes disguised?

4. How much money did the company spend on bribes in the CIS?

5. Who was the money usually paid to?

6. Where did the investigation start?

 

Task 2. Find the expressions in the article that mean:

a) to admit that you have done something wrong

b) money or gift illegally given to someone to persuade them to do something for you

c) to change something so that people cannot recognize it

d) an amount of money paid to a professional for the work done

e) to make a process go on smoothly

f) money paid secretly and dishonestly in return for someone’s help

g) to give someone money in a secret or dishonest way in order to persuade them to do something

h) a special fund kept for dishonest purposes

 

Task 3. Match 1-8 to a)-h) to form partnerships from the article.

1. bribe                                         a) executives

2. lucrative                                   b) evidence

3. former                                      c) manager

4. consulting                                      d) investigation

5. exhaustive                                e) fund

6. current                                      f) scandal

7. ongoing                                    g) fees

8) slush                                        h) contracts

 

Task 4. Match each verb 1-6 to the expressions a) – f) from the article.

1. to confess              a) winning orders

2. to win          b) close to $13.4 million per year on bribes and kickbacks in the CIS

3. to ease         c) to bribing Russian telecoms companies and authorities

4. to spend      d) the offices and homes of Siemens employees

5. to raid          e) lucrative contracts

6. to create       f) slush funds

 

Task 5. Comment on the situation.

Article VI

Drug Police Seize Cannabis Garden

By Carl Schreck

STAFF WRITER

Drug police have arrested a Moscow region man on suspicion of growing copious amounts of cannabis in his apartment and selling it to the teenage patrons of a dance club that he operates.

Officers from the regional branch of the Federal Drug Control Service arrested the man, whose name has not been released, on March 28 in his apartment in the city of Voskresensk after receiving a tip that he was cultivating large amounts of cannabis, drug control spokeswoman Yekaterina Kosova said.

Upon searching the apartment, police discovered indoor growing equipment – including heat lamps and automatic watering devices – and learned the suspect had tapped an outdoor power line in an apparent attempt to save money on his electricity bill, Kosova said.

Police confiscated 84 cannabis plants along with 190 grams of marijuana and a stash of hashish, Kosova said. Police also confiscated several packages of different sorts of hemp seeds – a veritable starter’s kit for growing marijuana – that the suspect had apparently received in the mail from abroad, she said.

The suspect, who Moskovsky Komsomolets reported was 35 years old, has been charged with possession of a large amount of an illegal substance. A conviction carries up to 10 years in prison.

Kosova said police were preparing to also charge the suspect with selling the marijuana and hashish to teenagers who frequented a dance club that he ran in Voskresensk. She declined to identify the club. “We are still trying to establish the entire network of dealers before we charge him with dealing,” Kosova said. “There was too much in the apartment for him to sell all by himself.”

Kosova declined to comment on the tip that led police to the suspect. Kosova said cannabis gardeners were rare but not unheard of in the Moscow region. “We have had about five such cases in the last six months,” she said.

Separately, drug police on Saturday detained a Moscow region teacher on suspicion of selling drugs to his students. The 35-year-old man was carrying 1.6 kilograms of opiates when he was arrested, Moskovsky Komsomolets said.

 

Task 1. Look through the article. Which of these issues are mentioned in the article and which are not?

a) cannabis garden in the apartment

b) cultivating poppy in the city of Voskresensk

c) seeds received from abroad

d) conviction carries up to 10 years in prison

e) cannabis gardeners are not so often to be heard of in the Moscow region

f) selling drugs to students

 

Task 2. Complete the table using the words from the article.

Verb Noun
… search confiscate … … detain suspicion … … charge dealer …

 

Task 3. Match 1 – 6 with a) – f) to make expressions used in the article.

1. drug                      a) a tip

2. dance                     b) substance

3. receiving                c) gardeners

4. watering                d) police

5. illegal                    e) devices

6. cannabis                f) club

 

Task 4. Find expressions in the article that mean:

a) someone who enjoys growing flowers and plants

b) to find

c) to officially take private property away from someone

d) to go often to a particular place

e) to name someone or something

f) a secret warning to police about illegal activities

 

Task 5. Over to you. What is the main idea of the article?

Article VII


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