A German metals exporter toay denied any wrongdoing after being linked to a Malaysian firm under investigation for allegedly supplying parts for Libya's nuclear programme.

Neither Bikar Metalle GmbH nor its Singapore-based subsidiary Bikar Metal Asia Pte. Ltd. were involved "in any business transactions related to illegal weapon or military goods export," a top company official said.

Konstantin Bikar, managing director of the German firm and a shareholder of the Singapore company, said aluminum alloys exported from Singapore to Malaysia in 2002 were not restricted or controlled items.

The Bikar companies had received no information that the finished parts "would be used in military or nuclear applications and would be exported to restricted countries," he added in a statement.

Bikar said his parent company has been exporting non-ferrous metals for 42 years and "one of our top priorities is the Strategic Goods Control System in our company."

He said German officials had proof that Bikar Metalle "never failed to comply with the regulations."

Under investigation

Malaysian company, Scomi Precision Engineering Sdn. Bhd. (Scope), is under investigation for allegedly supplying centrifuge components for Libya's uranium-enrichment program.

The New Straits Times, quoting intelligence agency sources, had reported that raw materials for the components were sourced in Singapore from Bikar Metal Asia.

Its managing director, Thorsten Heise, said today that they signed a contract with Scope in 2001 for the delivery of aluminum alloys and minor quanties of bronze and stainless steel the following year.

The aluminum alloys shipped to Scope are mainly used for the optical, computer and automotive industries, as well as camera and medical applications, he said, adding that they were not the sole supplier to Scope.

"The end use of the material was never disclosed to (Bikar Metal Asia)," Heise added in a statement.

Scope, controlled by the son of Prime Minister Abdullah Ahmad Badawi, has denied any wrongdoing, saying it was told that the parts were for use in the oil and gas industry, and were not seen as sensitive items.

Scope set up a factory in 2001 to produce components for Gulf Technical Industries LLC (GTI) in Dubai in a deal arranged by Dubai-based Sri Lankan businessman B S A Tahir.

Tahir has been identified by Western intelligence sources as a middleman for a nuclear black market syndicate headed by Abdul Qadeer Khan, the disgraced father of Pakistan's nuclear program who has confessed to leaking secrets to Iran, Libya and North Korea.

In a controversial move, President Pervez Musharraf on Thursday pardoned Khan, calling him a hero for giving Pakistan the nuclear bomb.

Scope is a unit of listed oil and gas firm Scomi Group, in which the premier's son, Kamaluddin Abdullah, is the biggest shareholder. - AFP