Nigeria has cancelled a contract with Siemens
and suspended dealings with the German telecoms
firm pending an investigation into bribery
allegations.
Siemens was found guilty of paying bribes to
Nigerian officials and fined 201m euros ($248m;
£122.3m) by a Munich court on 4 October.
A Nigerian anti-corruption agency has since
begun investigating former ministers alleged to
have taken bribes.
Nigeria has often been ranked as one of the world's most corrupt countries.
President Umaru Yar'Adua took office in May this
year, pledging to fight corruption.
Mr Yar'Adua ordered the investigation into
allegations that Siemens paid 10m euros in
bribes to officials, including ministers, in
Nigeria between 2001 and 2004. The ministers and
officials named have denied the allegations.
The Nigerian government cancelled a 128.4m naira
($1.1m; £532,683) contract with Siemens for the
supply of circuit breakers and other power
generation accessories on Wednesday.
"Council cancelled the contract bid won by
Siemens Nigeria because of the current
investigation against the company relating to
corrupt practices," information and
communications minister John Odey said.
"Government will not have any dealings with
Siemens Nigeria in terms of contracts until the
investigation is concluded and the company is
exonerated or otherwise," Mr Odey said.
Siemen's chairman and chief executive both quit over the scandal.
At least two employees were given suspended
sentences for bribery and breach of trust.
Siemens has accepted the Munich court judgement
and has also agreed to pay 179m euros to the tax
authorities.
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