Benko’s interview in Austria canceled at short notice
Published: Thursday, Apr 4th 2024, 05:01
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According to his lawyer, the Austrian investor René Benko and his insolvent Signa Group are constantly being confronted with new complaints.
By mid-February, 37 so-called statements of facts had already been submitted to public prosecutors in Austria against the real estate and trading entrepreneur and Signa companies, but the number is now probably much higher, the lawyer wrote to the Austrian parliament. In the letter, the questioning of the ex-billionaire by a parliamentary committee of inquiry planned for Thursday was canceled at short notice.
The legal advisor argued that Benko had no overview of all the legal accusations. The 46-year-old entrepreneur could not answer questions in parliament because he would be in conflict between his duty to tell the truth and his right to refuse to testify, according to the letter, which is available to the German Press Agency.
Benko avoids publicity
Benko's appearance before the so-called COFAG committee of inquiry had been eagerly awaited. This is because the manager, who was once celebrated as a success story, has never once publicly commented on the decline of the Signa Group he founded. Since a wave of insolvencies began to roll through his convoluted network of companies last year, he has also avoided all public events.
The investigative committee was set up by the opposition to shed light on the alleged favoritism of super-rich people like Benko, who have ties to the conservative ÖVP chancellor's party. After Benko's refusal, the questioning of a former high-ranking tax official regarding tax proceedings of the Signa Group was still on the agenda on Thursday. Two other tax officials had already been questioned in parliament on Wednesday. However, they did not provide any evidence of preferential tax treatment for Signa companies.
Expert: "I would sleep very uneasily"
According to the highest legal representative of the Republic of Austria, Benko could face legal difficulties. "I would sleep very uneasily," said Wolfgang Peschorn, President of the Financial Procurator's Office, on Wednesday with regard to the former real estate tycoon. There are currently "numerous indications of criminal offenses" surrounding the spectacular downfall of the Signa Group.
Investors described Benko as the "de facto managing director". He was therefore presumably the driving force behind the transactions. In Germany, the Munich public prosecutor's office has confirmed investigations into suspected money laundering in connection with the Signa Group. Austria's corruption prosecutor's office is investigating, among other things, whether Benko tried to bribe the former Secretary General of the Ministry of Finance with a lucrative job offer. Benko's lawyers have rejected these allegations.
Opaque corporate network established
In times of low interest rates, Benko had built up an opaque network of companies, including the unfinished Elbtower in Hamburg and the now insolvent department store brands KaDeWe and Galeria Karstadt Kaufhof. With the rise in interest rates, construction costs and energy prices, the Signa Group has largely collapsed.
Over two dozen Signa companies are based in Switzerland. These include Signa Retail Selection AG, which holds half of the Globus department store chain. Some of them are bankrupt, others are being liquidated and some are undergoing a provisional debt restructuring moratorium to examine the possibility of restructuring the companies or continuing their business activities.
©Keystone/SDA
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