René Benko Under Investigation for Fraud and Money Laundering: Austrian Justice System Investigating Signa Group Founder

The Austrian justice system is investigating the founder of the bankrupt Signa Group, René Benko. Investigations were going on against them Signa Group, founded by Benko and another person, said the Economic and Corruption Public Prosecutor’s Office (WKStA). This is about suspicion Fraud “Due to the perception of vulnerability when extending bank loans,” said a spokesman for the authority.

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René Benko

Report from Austria According to ORF radio, it is about a loan of 25 million euros from a bank in Austria that would have expired last summer but was then extended. Benko is said to have misled the lending bank about the financial situation of the Signa Group.

Benkos The lawyer denied the allegations. They are “baseless and have no foundation,” he wrote in a statement. “We have already been given access to the files and will give our opinion on the matter to the WKStA as soon as possible.”

Already under investigation for bribery and money laundering

The bank’s lawyer told Austrian radio stations that his law firm had filed complaints about suspected fraud. As a de facto managing director being been directly involved – and therefore directly accused. The lawyer did not name his clients.

It was previously known that the WKStA was investigating whether Benko had tried to bribe a high-ranking Austrian tax official. In Germany, the Munich public prosecutor’s office confirmed investigations Money laundering is suspected associated with the Signa Group. Benko’s lawyers also denied those allegations.

The Signa Group had benefited from low interest rates for years. Among other things, she invested in Hamburg Elbtower, luxury department store Berlin KaDeWe and department store group Galeria Karstadt Kaufhof. This was due to rising interest rates, construction costs and energy prices get into economic difficulties.