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New Allegations Against VW Manager

August 9, 2005

German carmaker Volkswagen has leveled new allegations against its fired personnel manager Klaus-Joachim Gebauer who is at the heart of a widening scandal involving shadowy companies, corruption and paid sex. The head of the legal department at VW, Michael Ganniger said on Tuesday at a labor court in the city of Braunschweig that Gebauer had accepted bribes from a Czech service provider and over calculated his company trips. Gebauer, Ganniger said, had used VW as a platform to further his own economic interests. In addition, Gebauer is said to have been part of a deal involving fake companies, in order to enhance his personal wealth. Gebauer's lawyer has rejected the accusations. On Tuesday, Gebauer said in the courtroom that he was being made a "scapegoat" and insisted: "my conscience is clear."

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