The Kronen Zeitung reports that the founder of the Signa Holding, René Benko, was arrested on Thursday morning at his villa in the Innsbruck district of Igls. The arrest was carried out as part of investigations that, among other things, are being conducted in Italy due to serious accusations.
Already in July, the Economic and Corruption Public Prosecution Office (WKStA) had conducted house searches in Benko’s villa and the Signa headquarters in Vienna. The entrepreneur is suspected of being involved in numerous crimes, including serious fraud, insolvency crimes, and allegedly violating tax law.
The arrest is based on an arrest warrant issued in mid-December in Trento. According to Italian authorities, Benko is accused of, among other things, the formation of a criminal organization, the manipulation of tenders, unlawful party financing, and various crimes against public administration. This includes the breach of official secrecy, failure to perform official duties, and fraud and tax evasion in connection with fictional business transactions.
The economic difficulties of his Signa Holding are also in the focus of the investigations. The company’s debts amount to over 7.7 billion euros, making the insolvency the largest in Austrian history. Of the around 2.5 billion euros in claims made by creditors, only a small part has been acknowledged so far. The largest claims include those of the Mubadala, an Arab state fund, which is demanding 750 million euros alone.
The arrest of Benko marks another turning point in one of the most spectacular financial scandals in Austria. The investigations are running at full speed, both in Austria and in Italy.