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Nokia to support Siemens with investigations into corruption (Nokia bietet Siemens Hilfe an)
(Handelsblatt Via Thomson Dialog NewsEdge) Finnish mobile phone manufacturer Nokia has offered to support German technologies group Siemens, its joint venture partner, with investigations into the corruption scandal at the German company. It emerged a few days ago that the planned merger of the network divisions of Siemens and Nokia could be delayed by three months until the end of March 2007 owing to the scandal relating to illegal transactions in the communications division of Siemens. The German company says that Nokia will play an active part in examining compliance structures, emphasising that the company's reputation is one of its most valuable assets and that Nokia Siemens Networks will not tolerate unscrupulous business practices.
Siemens has emphasised that, in principle, the new joint venture will not be jeopardised by the delay. Experts have warned, however, that the scandal could prove expensive for Siemens, as the communications division of the group, Com, could lose contracts as a result.
Original article by Christoph Hardt, Joachim Hofer and Sandra Louven
Abstracted from Handelsblatt
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Copyright 2006 The Financial Times Ltd. All rights reserved.
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