BERLIN, Aug. 15 (Xinhua) -- The Alternative for Germany (AfD) has become embroiled in an illegal campaign finance scandal which could witness the imposition of heavy fines on the controversial party, the magazine SPIEGEL reported on Wednesday.
According to SPIEGEL, the administrative office of the federal parliament (Bundestag) now believe that the AfD received several "illicit donation" from the Swiss marketing company Goal AG. Under German law, such funds must be forwarded immediately to the office of the president of the federal parliament by the party in question.
So far, neither Goal AG nor its affiliate "society to promote rule of law and citizens freedoms" have been willing to reveal the identity of the financiers behind several AfD election campaign initiatives which were channelled through the foreign company from 2016 onwards. It is illegal for political parties in Germany to accept donations without being aware of the exact source of funds used.
Despite previously rejecting accusations of benefiting from illegal campaign finance in this context, the AfD surprisingly made a first transfer of 5,352 euros (6,060 U.S. dollar) to the federal parliament administration in early August. Although the sum is equivalent to the value of two specific supportive measures rendered earlier by Goal AG to AfD leader Joerg Moethen, the party did not recognize any wrongdoing on its behalf and insisted that the decision to wire the funds had been made on a pre-emptive basis.
SPIEGEL wrote on Wednesday, however, that it was increasingly unlikely that the AfD would be able to evade reputational and financial damage as a result of its dubious ties to Goal AG. Although the first transfer made by the AfD to the federal parliament was relatively small, experts estimate that Goal AG and its affiliate society have made marketing contributions to AfD campaigns worth at least six million euros in total since 2016.
Speaking to SPIEGEL, the federal parliament confirmed on Wednesday that it was currently investigating several suspicious donations received by the AfD. These included "potential assistance rendered by Goal AG" for a range of AfD politicians across Germany.
In earlier bookkeeping reports filed to authorities on campaign contributions, the AfD has described the assistance received from Goal AG as a "friendship service" which should not be categorized as regular party income. Alexander Segert, the chief executive officer (CEO) of the Swiss company, is a personal friend of AfD leader Joerg Meuthen.
The AfD now appears to be reversing course by seeking to distance itself from Goal AG.
If found guilty in the affair, the AfD could be forced to pay a multimillion-euro fine to the federal government for the receipt of illicit in-kind donations. Aside from potentially jeopardizing its financial solvency, such a development could thwart the political ambitions of the ascendant far-right group in Germany and beyond.
