Former grocery boss in multi-million euro charge
Former chief executive officer of German grocer Rewe, Ernst-Dieter Berninghaus, has admitted to charges of embezzlement brought against him by his ex-employer.

At proceedings initiated by the public prosecutor at a regional court in Cologne, Berninghaus confessed to having received payments worth millions of euros in connection with Rewe's acquisition of Swiss internet company Nexum.

He is being charged with accepting unlawful payments totalling Eu15.2 million (£10.4 million) in commission plus a Eu6.5 million (£4.4 million) bonus from Rewe for the deal, which was later revealed to have significantly overvalued Nexum.

Berninghaus was appointed CEO of Germany's second-biggest retail group in May 2004 but stepped down just six months later, with both parties citing 'serious ill health'.

He then came to a deal with Rewe to pay back the Eu6.5 million bonus and to rescind his pension rights. Rewe subsequently sued him for damages and was awarded Eu11 million (£7.5 million) in a civil court six months ago.

'I made a major error in judgement in taking these payments,' said Berninghaus at the court yesterday.

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