Tank manufacturer KNDS has initiated an “independent investigation” into a 2013 transaction with the Qatar Armed Forces.
Its board of directors launched the inquiry following renewed attention on previously reported allegations relating to the deal, according to a company statement released on 29 April 2026.
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KNDS stated that this action aligns with its ongoing commitment to the “highest standards of governance, compliance and transparency.”
The company indicated that external legal counsel and advisory firms are carrying out the investigation, without specifying their identities.
However, German news magazine Der Spiegel, which first reported on the inquiry, stated that law firm Freshfields is handling the review of the transaction.
The scope includes a review of past assessments relating to the matter, as well as analysis of new findings.
The contracts under review date back to when Krauss-Maffei Wegmann, now part of KNDS, signed agreements for 24 PzH 2000 artillery systems, 62 Leopard 2 tanks, additional defence equipment, related services, and training and simulation equipment.
The inquiry focuses on allegations of multi-million-euro commission payments connected to the deal, which Spiegel valued at €1.89bn ($2.21bn), Reuters reported citing Spiegel.
The payments were allegedly made to a consultancy controlled by a Qatari general, the report added.
However, KNDS stated that the ongoing investigation, which is well advanced but not yet complete, has found “no evidence” suggesting that any KNDS employees, past or present, involved in the transaction engaged in criminal misconduct.
Der Spiegel also reported that the investigation has caused uncertainty regarding KNDS’s planned stock market flotation, following PwC’s decision to withhold approval of the 2025 annual accounts pending the outcome of the inquiry.
In response, KNDS said it expects to complete its 2025 financial statements and their audit during May 2026.
