Karlheinz Schreiber
and the Anatomy of a Scandal
Stevie Cameron and Harvey Cashore
"I have to caution you, this is not a game
"
Karlheinz Schreiber
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He has been described as a wealthy German-Canadian businessman and as an international arms dealer. He had political connections to the Prime Minister of Canada and to the Chancellor of Germany. But on a hot August day in 1999, the RCMP stepped into a Toronto hotel dining room and, acting on a German warrant, placed Karlheinz Schreiber under arrest the charges: bribery and tax evasion. What lead to his arrest is a story so sensational it might have sprung from the pen of Robert Ludlum or Ken Follett.
Police investigations in Germany into Schreibers business dealings revealed that he was a key figure in the biggest post-war crisis in that countrys history - a party finance scandal that destroyed the reputation of former Chancellor Helmut Kohl. Now, in The Last Amigo, two of Canadas top investigative journalists have pieced together the story of Karlheinz Schreibers remarkable career on two continents.
Stevie Cameron and Harvey Cashore have spent nearly three years researching this meticulously detailed account. They were able to secure hundreds of interviews, documents and private letters that have not been made public, and they gained access to bank records (including Schreibers own) of transactions in Canada and Germany. Cameron and Cashore spoke to dozens of people in both countries who were close to Schreiber and other central players. What emerges in The Last Amigo is the most accurate and compelling account to date of this ongoing story.
Karlheinz Schreibers business dealings were far-reaching and included tank sales to Saudi Arabia, construction deals in Costa Rica, and development projects in the former Soviet Union. But his most daring exploits were executed right here in Canada, a country that made him rich and that later appeared a safe refuge from investigators who had pursued him through Germany and Switzerland.
Schreiber immigrated to Canada in the late 1970s and pursued several different ventures in Alberta before turning his attention to the new Conservative government of Brian Mulroney. A tireless dealmaker, Schreiber cultivated the powerful wherever he went and his close connections to Tory party insiders opened doors for him in Ottawa. There he became an aggressive lobbyist for such European conglomerates as Thyssen Industrie who wanted to establish a tank plant in Cape Breton and Messerschmitt-Bolkow-Blohm who wanted to sell helicopters to the Canadian Coast Guard.
He also stepped in to assist the European consortium Airbus Industrie who were desperate to break into the North American market by selling passenger planes to Air Canada. It was the Air Canada contract a $1.8 billion agreement for 34 Airbus aircraft, the largest civilian aircraft purchase in Canadian history which later brought Schreiber into the spotlight. Ever since, the Airbus deal has been the subject of rumor, media scrutiny and the RCMP investigation that prompted a lawsuit by Brian Mulroney.
Even after the government settled with Mulroney, the Airbus story went on. It came to light that under the terms of his arrangement with Airbus, close to $20 million in "commissions" were paid to Schreibers companies for his work on the Air Canada purchase. Documents obtained by the German authorities revealed that hidden commissions were paid to a shell company controlled by Schreiber and that those commissions were shared with his German and Canadian friends.
The Last Amigo is the anatomy of a sophisticated and brilliantly disguised web of power and money. It is the story of how big business beats the competition and lands government contracts. It is a tale of intricate money shuffling and coded accounts; of media spinners and public relations wizards; of shameless political influence and undeniable personal gain. But mostly it is a portrait of a consummate middleman who knew precisely how to exploit the ambitions and vulnerabilities of others.
The Last Amigo
Karlheinz Schreiber and the Anatomy of a Scandal
Stevie Cameron and Harvey Cashore
Macfarlane Walter & Ross
$36.99
Publication Date: April 9, 2001
For additional information on The Last Amigo, or to arrange an interview with
Stevie Cameron and Harvey Cashore, please contact Pat Cairns at Creative Connections (905) 569-0002 or by e-mail at creativeconnect@home.com