Find enclosed news report about issue with Siemens and ABB related to Corruption in global practice. Please note that in Capex good business, it is also kind of business “to facilitate” decision and hence one can not say with assruance that other managment I like (i.e. honeywell and 3M) are clean and there is no issue whatseoever. I can not give guarnatee of my behaciour and hence there is no question to provide assurance of management of companies. Please read this news with important disclaimer of I being having a negative bias to ABB and Siemens managment.
On simple google search while working on this post, I came across even enquiry being initiated against Honeywell for alleged mispractice in dealing with Brazilian company.
In case of Siemens, they hive of high potential telecom equipment business to Siemens AG in FY1997 (just 3 year after mobile started in India. The company booked all losses related to setting up business in listed companies. And just about when business to take off, they divested 70% stake to Parent Siemens AG and Listed company hold only 30% in telecome business. This is my understanding and It can be wrong as well. However, to best of my memory, even stock market and other minority investor found this development being adverse to them).
The result of this restructuring of telecom business, Siemens AG stake in telecom business increased from 51% (being its holding Siemens India listed company) to 70%+ 15% (51% of 30% stake held by listed company in telecom business)~ 85% at very nominal price in my opinion.
Find enclosed extract of Annual report (which also cover part of Chairman speech explaining above development).
https://www.reportjunction.com/Preview/Siemens-Limited-1997-71347.htm
Hope this provide some basis for negative perception of Siemens Managment.