Information & Ethics Committee on Feb. 25th, 2008

[Karlheinz Schreiber]

It's very simple, Mr. Ménard. The money was in the account--$500,000 was left--and after the meeting with Mr. Mulroney in June, I immediately called the bank and made the arrangements. But his money was in term deposit, so it was ready for the end of July, and in August I brought it to him.

But in the other cases there was more time, and the money was transferred from an account in Switzerland to a company in Lichtenstein or Switzerland, and they sent it to Bitucan. You saw all these bills from Fred Doucet, for example. He sent bills to Bitucan in Calgary and to companies in Lichtenstein. So the story that I was always running around with a rucksack full of cash is pure nonsense too.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

In that matter, how did you get one hundred $1,000 bills?

[Karlheinz Schreiber]

From the bank.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

You got it from the bank? You went to the bank?

[Karlheinz Schreiber]

Sure.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

Now, if you went to the bank, why didn't you ask the bank to give you a bank draft in the name of Mr. Mulroney instead of having one hundred $1,000 bills?

[Karlheinz Schreiber]

If I were to give you an answer to that, I would have to invent a story. I didn't even think about it.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

I read your testimony before, and you seemed to be aware that Airbus was trying to sell in many countries--

[Karlheinz Schreiber]

Yes.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

--that do not have the same concern about the honesty of their leaders, and that there was a way for Airbus to bribe the political leaders of these countries, which was to give a commission--and with planes there are a lot of commissions--

[Karlheinz Schreiber]

Sure.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

--and let the commissioners do the bribing. You seemed to be aware of that.

[Karlheinz Schreiber]

Yes.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

You seemed to have been receiving the commissions.

[Karlheinz Schreiber]

No.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

No? Okay.

But didn't you realize that by using cash and giving it in a brown envelope you were, for everybody who looks at this from outside, putting yourself exactly in the position of the person who is ready to carry the bribe to the political leader?

[Karlheinz Schreiber]

No.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

You didn't realize that?

[Karlheinz Schreiber]

No, no. Let me tell you quite frankly why.

At the time I spoke with Mr. Mulroney...and keep in mind that I spoke with him only once at Harrington Lake. There was no meeting; there were some discussions in the meantime. I saw him then at Mirabel in August.

By the way, I went there in a limousine and rented a suite for myself. So in other words, Lufthansa always picked me up.

When I went there, I did not even know if it was his law firm, a new firm he was doing, whether it was private, or what the hell he wanted to do. For me it was very simple. And you may think it sounds naive, but I thought, okay, I'll give him the cash, and now let him decide what he wants to do: give me a bill, give me a receipt--

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

Where did you get this cash from?

[Karlheinz Schreiber]

From my account.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

Vienna? Where? At the bank?

[Karlheinz Schreiber]

Sure.

[Serge Ménard, Bloc, Marc-Aurèle-Fortin, QC]

A teller gave you.... Where?

[Karlheinz Schreiber]

In Zurich.