NEWS

Submarine cash revealed

More than 80 million euros was paid to middlemen and officials in Greece to secure the sale of four German-made submarines to the Greek navy in 2000, sources told Sunday's Kathimerini. Sources that are close to the investigation being carried out by prosecutors in Munich said that the total amount of under-the-table payments in relation to the deal was 83 million euros. Two German companies, Ferrostaal and HDW, won the contract to supply the submarines at a total cost of 1.8 billion euros. However, Ferrostaal was until last year a subsidiary of the MAN manufacturing group, which is under investigation for the payments of bribes to public officials in several countries. The deal for the submarines proved controversial, as Greece did not accept delivery of the first vessel due to technical problems. The two sides only reached an agreement last month and Athens has stated it wants to sell the submarine on to a third party.

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