Investigations against German Pellets

The Schwerin public prosecution office is investigating against German Pellets, Wismar/DE. According to the newspaper Schweriner Volkszeitung (SVZ), investigations are focusing on CEO Peter Leibold personally. The allegations are grave. Leibold, formerly CEO of Klausner's large sawmill in Wismar (now Ilim Timber), is alleged to have received public funds partially by producing false evidence in the period between 2007 and 2009. In addition, claims are that incorrect information was provided to banks and insurance companies in 2007 to put the company back on consolidation path. Finally, it is questioned whether or not insurance payments made to German Pellets in the wake of an incident of fire in the company's pelletizing unit in 2009 were rightful.

In an initial statement, company spokesman Michael Walewski told the SVZ that these charges were unfounded. The prosecution office stated that so far there is only initial suspicion which could also be disproved. There are extensive business documents and evidence to be evaluated, the spokesman for the prosecutor, Stefan Urbanek, was quoted as saying in the newspaper.