The Airbus Affair: Longest-Running Scandal In Canadian History

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The Airbus Affair was one of the longest-running scandals in Canadian history (about 15 years). In 1995, Brian Mulroney was accused of collecting bribe from Karlheinz Schreiber who was a German- Canadian businessman. The allegation was made in connection to the purchase of Air-bus jets by Air Canada. The sale of the Airbuses was a contract and Boeing and Airbus were competing for it. However, the contract was won by Airbus in 1988 to supply 34 A320 planes for $1.8 billion (CBC news, 2009). What is the relationship between Brian Mulroney and Karlheinz Schreiber. What questions have been left unanswered now that the official inquiries are over? According to the Thestar.com in 2007, Mulroney and Schreiber met each other in 1980. Mulroney was introduced to the German-Canadian businessman by the former premier of Newfoundland, Frank Moores. Schreiber claimed he and Mulroney were personal friends but Mulroney said, it was just a business relationship (thestar.com,2007). The Airbus affair came into light when the Royal Canadian Mounted Police(RCMP) began an investigation on the allegation that Mulroney and the former premier of Newfoundland, Frank Moores collected bribe from the Karlheinz Schreiber on the purchase of Airbus …show more content…

The deal was sealed in 1993 and it was to make Mulroney lobby for him to establish a light armored vehicle plant in Nova Scotia Schreiber claims he provided Mr. Mulroney with three envelopes, each containing $100,000 in cash, over the next two years. According to Mulroney, he was paid in installments and it was meant for an "international mandate" to promote the vehicles on behalf of the German company Thyssen (CBC News, 2009). He has denied he was asked to do any kind of domestic lobbying for the vehicles (CBC News, 2009). Although, Schreiber claimed he gave Mulroney $300,000, Mulroney stated he only received

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