A Collaboration with the University of Pittsburgh

Danish supplier admits role in UN oil-for-food fraud

[JURIST] Grundfos [corporate website], a Danish company that produces industrial pumps, admitted Friday that two employees paid kickbacks to authorities in Saddam Hussein's government under the UN oil-for-food program [JURIST news archive]. An internal Grundfos investigation uncovered the bribes, which were made between 2001 and 2002 to secure two contracts, but the company declined to reveal the amount of the kickbacks. Grundfos' sales to the program between 1996 and 2003 totaled 100 million Danish crowns. Chief Executive Jens Joergen Madsen issued a statement apologizing for the fraud and stating "We have done everything to openly cooperate with the United Nations in New York to end the case in a satisfactory way." Reuters has more. The Copenhagen Post has local coverage.

About Paper Chase

Paper Chase is JURIST's real-time legal news service, powered by a team of 30 law student reporters and editors led by law professor Bernard Hibbitts at the University of Pittsburgh School of Law. As an educational service, Paper Chase is dedicated to presenting important legal news and materials rapidly, objectively and intelligibly in an accessible format.

© Copyright JURIST Legal News and Research Services, Inc., 2013.