3 arrested in German corruption probe

MUNICH

German authorities searched offices of industrial services company MAN Ferrostaal AG and other firms Wednesday, arresting three people in an investigation of suspected corruption, prosecutors said.

Munich prosecutors said MAN Ferrostaal offices in Essen and Geisenheim were searched, along with unidentified companies in Hamburg and Cuxhaven and private apartments.

The move centered on "the suspicion that illegal payments were made in connection with contracts to build seagoing tugs," said Thomas Steinkraus-Koch, a spokesman for Munich prosecutors.

He did not elaborate or give any details on the three people arrested.

Ferrostaal spokesman Daniel Reinhardt said his information was that "neither Ferrostaal nor employees of Ferrostaal" are accused in the investigation, and that they are only involved as witnesses.

Munich prosecutors earlier this year launched an investigation of alleged bribery at truck maker MAN AG, Ferrostaal's longtime parent.

They suspect bribes were paid as part of what they believe was a "system to boost sales of trucks and buses" in Germany. Munich-based MAN has said that it will give its full support to the investigation.

MAN earlier this year sold 70 percent of Ferrostaal to the Abu Dhabi-based International Petroleum Investment Company.