Cause Signa: First Indictment Could Be Imminent

The Economic and Corruption Prosecutor's Office (WKStA) has sent a project report to the Ministry of Justice, as the authority announced in a press release on Tuesday. The WKStA did not disclose what the allegations are or whether charges are recommended. It is also new that the WKStA is investigating four other strands related to the Signa bankruptcy.

In a project report, the prosecutor's office usually outlines whether it intends to close an investigation or bring charges. These are mandatory in cases of particular public interest, in so-called "clamorous" cases. The WKStA did not announce in which direction the current project report is heading today. The Ministry of Justice must now make a decision. Since Benko is currently in pre-trial detention, the matter must be given priority according to the law, meaning a quick decision is required. From an expert's perspective, it is unlikely to take more than a few weeks.

Further Project Reports Expected

Criminal investigations are ongoing regarding numerous allegations surrounding the Signa bankruptcy. The project report officially confirmed on Tuesday only relates to one of these strands of facts. However, the various allegations are easily separable, so the WKStA must quickly resolve each individual issue that is ready - that is, decide whether to recommend charges or not. Therefore, further project reports from the WKStA on other allegations are to be expected.

Further Investigations Including Preferential Treatment of Creditors

The new investigation strands concern allegations of breach of trust, buyer fraud, and preferential treatment of creditors. The latter is alleged by the prosecutor's office against Benko and other "still unknown perpetrators" regarding a loan from the Ingbe Foundation to Signa Prime amounting to around 15 million euros. The company is said to have repaid the loan to the foundation, even though Signa Prime was already insolvent at that time. The Ingbe Foundation is said to have been favored as a creditor, disadvantaging others. Benko is alleged to have directed those responsible at Signa Prime "to commit this act".

Questions About the Use of the Luxury Residence Chalet N

In another new case, it concerns the Chalet N in Lech am Arlberg. The ownership company is said to have rented premises to René Benko and associated companies at conditions below cost. The suspected damage amounts to over 1.5 million euros. Investigations are being conducted against those responsible and Benko as the de facto decision-maker for breach of trust.

Allegation of Buyer Fraud

Furthermore, in a residential construction project by "Wohnen am Belvedere Management GmbH" in Vienna, buyers of condominiums are said to have been deceived and induced to pay inflated purchase prices. In particular, the project company is said to have been unlawfully enriched as a result. The alleged damage exceeds the statutory threshold of 300,000 euros. This line of investigation is focused on the suspicion of serious commercial fraud.

The fourth line of investigation newly communicated by the WKStA revolves around the suspicion of breach of trust to the detriment of Signa Holding. Here, those responsible for the holding are said to have granted and disbursed an economically unjustifiable loan of around 17 million euros to a company of a former Signa consultant under non-arm's length conditions. The loan is said to have been used to purchase a private house of the former Signa consultant. Benko is also said to have initiated the action here.

Investigations into 12 "Facts" - Benko in Custody Since January

In total, the WKStA is now investigating 12 "facts" against Benko. Eight of these were already known, and four have been added today. Previously known were allegations that Benko deceived investors and harmed creditors - the public prosecutor's office therefore assumes fraudulent bankruptcy, among other things. Benko himself has been in pre-trial detention at the Vienna-Josefstadt prison since January. Whether the pre-trial detention will be extended will be decided by July 7 at the latest, as the next detention review hearing must take place then.

(APA/Red)

This article has been automatically translated, read the original article here.