[2] Schalck-Golodkowsky joined the Free German Youth in 1951 and the Socialist Unity Party of Germany (Sozialistische Einheitspartei Deutschlands, SED) in 1955.
[3] In 1983 he led the negotiations with Bavarian leader Franz Josef Strauß to obtain a billion Deutschmarks loan from the West German government.
He was appointed to the central committee of the SED in 1986 and, under suspicion of misusing his powers at KoKo he fled to West Berlin in December 1989.
Following reunification, the actions of KoKo and of Schalck-Golodkowski head were investigated on suspicions of espionage activities, tax evasion, fraud, breaking embargo regulations and offences against Allied military law.
He was prosecuted in 1996 for breaking Allied law and sentenced to a year's probation; other charges were withdrawn due to his ill-health—he had operations to remove cancers in 1987 and 1997.