Complex cause Signa – Arrest of Benko: these are the accusations

In concrete terms, Benko was arrested on Thursday due to the “risk of ambiguity and the risk of committing a crime”, as the WKStA announced. Benko allegedly “falsified an invoice and attempted to conceal assets and evade access from authorities, administrators and creditors,” the report continues.

The arrest was approved by the responsible Regional Criminal Court in Vienna; a judge in Innsbruck must now decide on pre-trial detention. The allegations against Benko at a glance:

• Danger of committing an offense: As the “Krone” reported several times, the WKStA assumes that Benko is still “the de facto ruler and beneficial owner of the Laura Private Foundation”. However, it is said that he hid this as part of his personal bankruptcy. In doing so, he concealed his assets and withdrew the assets in the foundation from the access of authorities, trustees and creditors, according to the court.

• Danger of embezzlement: The WKStA further explains that Benko then allegedly issued an invoice and thereby falsified evidence. In concrete terms, it concerns “three expensive firearms”, which he allegedly kept out of reach of the authorities and creditors. Benko’s extensive weapons collection was repeatedly the subject of investigation, as the bankrupt purchased several expensive hunting weapons. However, as reported, the invoice for a “stalking cap with engraving” was issued to Signa Holding – not to Benko itself.

• Capital increase through money carousel: This accusation concerns the core of the ‘Signa system’. According to the WKStA, Benko is said to have lured Signa Holding Investments shareholders into the company as part of a capital increase. He is said to have suggested that he would also inject money himself through the Benko family’s private foundation. He is said to have ultimately passed on the defrauded shareholder investments, partly through transfers between different companies, as his own contribution to the capital increase.

• Suspicion of infidelity: Signa Holding GmbH is said to have sold a Luxembourg investment company and the associated villa on Lake Garda (Villa Eden Gardone) to the Liechtenstein INGBE Foundation (“Ingeborg Benko”), but without sufficient consideration.

• Suspicion of fraudulent Krida: As the drawer and beneficiary of the Laura Private Foundation, Benko is said to have concealed his true assets and kept the assets in the foundation out of the reach of authorities, trustees and creditors – also as part of his personal insolvency. “In addition, the suspect allegedly possesses hidden assets, such as expensive weapons, watches and other items, or has sold them without adequate consideration, thereby preventing or reducing the satisfaction of creditors,” the WKStA said.

WKStA cooperated with the German authorities
The authority also announced that a Joint Investigation Team (JIT) has recently been formed with the public prosecutors of Berlin and Munich I: “This makes it possible to conduct cross-border investigations in a more unbureaucratic and efficient manner.”

The specific case is a “new procedural line” because Benko is now also accused of investment fraud in the “Project Franz” on Bahnhofsplatz in Munich. He is listed here as a suspect by the German authorities together with another person. They are said to have persuaded those responsible for a foreign sovereign wealth fund to invest in the real estate project with the help of bonds. In fact, the proceeds of the bond would not have been fully invested in the agreed project, but a large part of the money was used for an inappropriate purpose.