The HS.30's design was plagued by numerous flaws and drawbacks, which eventually led to a significant political scandal in West Germany during the 1960s.

The HS.30 first entered service with the Panzergrenadier battalions in 1960,[4] but was gradually replaced by the more advanced Marder infantry fighting vehicle starting in 1971.

Unlike the American M113, the HS.30 could not float, but since German doctrine envisioned the HS.30 operating in conjunction with main battle tanks that also lacked amphibious capabilities, this was not seen as a significant disadvantage.

The Germans considered this a significant disadvantage, especially given the expectation that the Soviet Army would use chemical agents in any conflict between NATO and the Warsaw Pact.

[10] Additionally, the lack of interest from West German industries in building weapons posed a challenge—Germany was still forbidden to export arms due to post-World War II restrictions.

After a deal to acquire the Centurion from the United Kingdom became obsolete when the US provided M41 Walker Bulldog and M47 Patton tanks as military aid, forming a consortium to build the new AFV partially in Britain, as offered by Hispano-Suiza in 1955, seemed appealing.

The urgency created by the commitment to NATO to form and equip 12 West German divisions by 1960 led the Ministry of Defence to opt for the Hispano-Suiza model, placing orders for 10,680 AFVs.

Witnesses, such as the former German ambassador to Switzerland, Friedrich Holzapfel,[13] were heard, and stories emerged about potential payments made to individuals and political parties, based on claims by then-lobbyist and former Weimar Republic secretary Gottfried Treviranus[11] and businessman Werner Plappert.

Kollmar attributed the problems with the HS.30 to the fraudulent practices of Hispano-Suiza and insufficient oversight in the Federal Ministry of Defence’s procurement processes.

[15] However, the issues with the early models were so severe that the Ministry of Defence had to provide its own technical personnel to bring the AFVs to operational status.