By Archibald Preuschat
Siemens AG (SIEGY SIE.XE) asked shareholders to accept a
settlement payment of EUR2.5 million ($3.1 million) from its former
chief financial officer Heinz-Joachim Neubuerger, related to a
bribery case.
Shareholders will be asked to approve the out-of-court
settlement at their annual meeting Jan. 27, Siemens said Friday in
a statement sent to shareholders.
The company said the settlement reflects Mr. Neubuerger's
limited financial resources. Last year, a Munich court ruled that
Mr. Neubuerger had to pay Siemens EUR15 million in compensation for
financial damages caused by a the bribery scandal, a decision he
appealed.
A spokesman for Mr. Neubuerger, who confirmed the settlement,
said the former CFO denies any wrongdoing. Siemens also has denied
any wrongdoing.
The approval would eliminate the German company's last hurdle in
resolving all pending issues with former executives stemming from a
corruption scandal, which has cost the company a total of EUR1.3
billion, including payments related to legal proceedings in the
U.S.
In the statement, Siemens also mentioned its previously
announced plan to reorganize its health-care operations into a
separate unit.
Write to Archibald Preuschat at Archibald.Preuschat@wsj.com
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