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The board's decision marks the first time that all members of an executive board are being held personally accountable for alleged financial damages to a German blue-chip company. The development is widely seen as a sign that the traditionally cozy relationship between German supervisory boards and the executive...

Author: /time Magazine | Title: Siemens Sues Its Own Managers | 7/30/2008 | See Source »

Siemens' decision to seek financial damages from former executives is a warning to the rest of German industry that such practices are under threat. The personalities involved make up a veritable A-Team of German management: Siemens' supervisory board is chaired by Gerhard Cromme, former CEO of German steelmaker ThyssenKrupp...

Author: /time Magazine | Title: Siemens Sues Its Own Managers | 7/30/2008 | See Source »

The board's decision came after the sentencing on Monday of Reinhard Siekaczek, a former midlevel manager in Siemens' telecommunications business, the first conviction in connection with the bribery scandal, which became public in late 2006 and may reach back to 2000. Siekaczek admitted to overseeing a system in which...

Author: /time Magazine | Title: Siemens Sues Its Own Managers | 7/30/2008 | See Source »

Winfried Seibert, von Pierer's lawyer, said his client "takes note of the supervisory board's decision with shock and regret and will defend himself" against the allegations. Kleinfeld, who became CEO of U.S. metals group Alcoa Inc. in October 2007, issued a statement suggesting that the whole affair will...

Author: /time Magazine | Title: Siemens Sues Its Own Managers | 7/30/2008 | See Source »

The decision may be partly a reaction to a wave of public anger over executive excesses in Germany. High management salaries and job cuts have been severely criticized at a time when German companies are earning record profits; there is a widespread sense that workers most often pay the price...

Author: /time Magazine | Title: Siemens Sues Its Own Managers | 7/30/2008 | See Source »

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