Former Siemens telecom head arrested in scandal

The Siemens telecom embezzlement/bribery scandal keeps getting messier. The latest is that the former head of the telecom group, Thomas Ganswindt, has been arrested. Investor groups are calling for the head of Chairman Heinrich von Pierer, who was CEO from 1992 to early 2005, and current CEO Klaus Kleinfeld. The amount of money involved is now believed to be €420 million, or just shy of $550 million (at Thursday's exchange rate). And Nokia has put a cooler on its merger with Siemens' mobile infrastructure group, which is not implicated in the scandal. That deal was supposed to close in January; the spring is looking more likely now. Just because, you know, Siemens needs to get its house in order.

For more information about the Siemens scandal:
- read this article from The Guardian
- check out this article from Euro 2day

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