epa02454377 A file photo of Nicolas Sarkozy (R) and Edouard Balladur (L) at the French ruling party UMP Convention on Europe, in Paris, France, 05 September 2005. French President Nicholas Sarkozy is under fire after a Luxembourg police probe dragged his name into a convoluted corruption scandal involving kickbacks from submarine sales, presidential campaign funds and the death of eleven French engineers in a mysterious bombing in Karachi. Extracts from the police report published in the French press on 17 November 2010 claim that in 1994 Mr Sarkozy, who was then Budget Minister, set up an off-shore company that was used to handle tens of millions of euros in illegal commission on a deal to sell French Augusta submarines to Pakistan. The report goes on to claim that the Luxembourg-based firm then channelled some of this money back to France, where it was used to
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