BREAKING NEWS

Germany postpones Israel submarine deal due to corruption probe

JULY 18, 2017 07:59

Updated: JULY 18, 2017 08:03

Germany on Tuesday postponed signing a deal with Israel for the purchase of three submarines in the wake of a corruption probe, known as Case 3000, regarding the acquisition of the submarines, Channel 2 reported.

The news follows last week's detainment and house arrest of David Shimron, Netanyahu’s personal lawyer. Shimron is reportedly suspected of pushing the purchase of submarines worth some $1.5 billion from Thyssen-Krupp over the objections of the defense establishment, including then-defense minister Moshe Ya’alon.

Questions over the submarine deal surfaced in November, with a Channel 10 report that Shimron worked as an intermediary for Miki Ganor, the Israel representative of German shipbuilder.

In June, Der Spiegel reported that the German National Security Council approved the purchase by Israel – subsidized by Berlin – of the three submarines. However, the contract reportedly includes a clause giving Berlin the right to cancel the deal if any improprieties or criminal offenses are proven as a result of the current police investigation.

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