Sealed in Silence
In 1988 Air Canada agreed to spend almost two billion dollars to buy 34 Airbus A-320 jets from the European aircraft company. But there were rumours and allegations that the deal was tainted with secret payouts to ensure that Airbus won the contract. One of the men behind the secret deal was a German businessman with Canadian citizenship, Karlheinz Schreiber and his European shell company International Aircraft Leasing (IAL) of Liechtenstein. Schreiber had many friends and associates in Canada. One of them was Frank Moores, the former premier of Newfoundland, Ottawa lobbyist and friend to those in power. Airbus signed a consulting contract with IAL that would pay a commission of half a million dollars per plane. Moores at one time was on the Air Canada board but eventually resigned to avoid any conflicts of interest with his lobbying effort. A trail of secret European bank accounts and payments is investigated by the fifth estate. Moores denies any allegations and associations in the Airbus affair. Airbus officials deny they paid bribes to win business but admit to using consultants to help win contracts. While Air Canada says it is unaware of any secret payments it chose the Airbus simply on merit and not because of influence peddling. |
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About the Airbus Affair
 For more than a decade, the fifth estate has investigated rumours and allegations surrounding the 1988 sale of 34 Airbus A-320 jets to Air Canada and the mysterious dealmaker, Karlheinz Schreiber.
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