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CRIME

Canada extradites German arms dealer

A 75-year-old German-Canadian arms dealer landed in Munich on Monday to face tax evasion and bribery charges related to a slush-fund scandal that disgraced former Chancellor Helmut Kohl in 1999.

Canada extradites German arms dealer
Photo: DPA

After losing a decade-long battle to avoid extradition, Karlheinz Schreiber touched down in Munich to face German police waiting to take him to a single cell in Augsburg prison before trial.

Schreiber is accused of playing a key role in a sprawling slush-fund scandal that rocked the Christian Democratic Union (CDU) party in the 1990s and helped pave the way for current chancellor Angela Merkel’s rise to power.

Schreiber faces charges of bribery, fraud and tax evasion, said chief prosecutor Reinhard Nemetz. “The maximum sentence could be up to 15 years in prison,” he told reporters.

Nemetz said the accused was in good shape physically and would appear at a closed-door hearing on Tuesday to have the charges against him read out. However, it was still not clear whether the politically sensitive case would be heard in court before the national elections on September 27.

Herbert Veh, chief justice on the regional court, said: “The date of the national election will not play a role in the decision.”

Schreiber’s undeclared contributions to the CDU sparked a political scandal that claimed the scalp of the then head of the party, Wolfgang Schäuble, now interior minister, and tarnished former chancellor Helmut Kohl’s legacy.

Schreiber, who holds both German and Canadian nationality, is believed to have made an undeclared one-million-mark (€500,000) donation to the CDU.

In 2002, he also told a delegation of German deputies visiting him in Toronto that he had paid at least €510,000 to the Christian Social Union (CSU), Bavaria’s sister party of the CDU.

He also stands accused of evading taxes on millions of euros in income from arms deals as well as offering bribes to ensure government approval for the sale of armoured cars to Saudi Arabia.

A Canadian court on Sunday rejected his final appeal to avoid extradition to Germany and he was flown out from Toronto later that night.

“Over a 10-year period, Mr. Schreiber was given every reasonable opportunity to challenge his extradition,” said Canadian Justice Minister Rob Nicholson.

“His surrender to Germany was in full accord with the law and consistent with the spirit and purpose of extradition.”

Speaking to reporters on Sunday, Schreiber said there was a political dimension to his extradition, with a general election less than two months away.

“The Social Democrats won three elections with my case in the past,” he said, referring to the junior partner in Merkel’s coalition government.

“If I come now that would be the greatest thing, it would start a huge investigation and … they would think they could win the next election.”

The Social Democrats are currently trailing Chancellor Angela Merkel’s conservative bloc by as much as 15 points in the polls.

But the Canadian authorities rejected Schreiber’s argument, concluding that it was “the latest in a series of creative instalments to frustrate a legitimate extradition process.”

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CRIME

German police swoop on gang of foreign dating scammers

German police said Wednesday they had arrested 11 suspected members of a Nigerian mafia group behind a large-scale dating scam.

German police swoop on gang of foreign dating scammers

The Black Axe gang was involved internationally in “multiple areas of criminal activity”, with a focus in Germany on romance scams and money-laundering, Bavarian police said in a statement.

The dating trick was a “modern form of marriage fraud”, police said.

“Using false identities, the fraudsters for example signalled their intention to marry and in the course of further contact repeatedly demand money under various pretexts,” police said.

The money was subsequently transferred to Black Axe in Nigeria “via financial agents”, authorities said.

In the process, the gang used a “commodity-based money laundering” scheme where products, often with a seeming “charitable purpose” were bought and delivered to Nigeria.

Some 450 cases of romance scamming had been reported in the region of Bavaria in 2023 alone, with the damages rising to 5.3 million euros ($5.7 million), police said.

The suspects, who all held Nigerian citizenship and were aged between 29 and 53, were arrested in nationwide raids on Tuesday.

Law enforcement swooped on 19 properties, including both homes and asylum shelters, police said.

The Black Axe gang had “strict hierarchical structures under leadership in Nigeria” operating different territorial units, police said.

The group had a “significant influence” on politics and public administrations, in particular in Nigeria.

Globally, the gang’s main areas of operation were “human-trafficking, fraud, money-laundering, prostitution and drug-trafficking”.

Black Axe operated under the cover of the Neo Black Movement of Africa, an ostensibly charitable organisation used as “camouflage” for the gang’s structures.

The action against Black Axe was the first of its kind in Germany, police said.

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