Pfister outlines measures as Ruag fraud case widens

Swiss Defence Minister Martin Pfister briefed the media on measures following a report that the suspected fraud at arms company Ruag involved more cases and people than previously known, SRF reported on Friday.

A former Ruag senior manager is suspected of profiting from tank spare parts and causing the company losses of at least 60 million Swiss francs. He allegedly bought the parts and resold them below value, including to a company whose management includes his wife. The company could then have made substantial profits by selling the material on the open market.

The Federal Audit Office says the case involves 26 alleged instances of fraud against Ruag. It had already identified irregularities in the purchase and trade of Leopard 1 tanks and parts in 2024.

Ruag’s oversight by the Federal Department of Defence has also come under criticism. Both the Federal Audit Office and the Council of States’ business audit committee say the department failed to carry out its supervisory role adequately.

At the start of the press conference, Pfister also said US ambassador to Switzerland Callista L. Gingrich had told him that Switzerland would receive components from the United States in 2027 for its ordered Patriot air-defence system. The defence department can buy them directly from the manufacturer, subject to approval by the US Congress. The delivery will include a firing unit with radar, a launcher and other equipment for integration work and initial training.