The Federal Court of Justice (BGH) has upheld the convictions of two individuals in relation to tax evasion connected to the controversial “Masks Affair” during the COVID-19 pandemic. The court’s decision, announced Friday, confirms the sentences initially handed down by the Munich I Regional Court.
Individual T. received a consolidated prison sentence of four years and five months, while individual N. was sentenced to three years and nine months.
According to previous court findings, the defendants, through their company, generated commissions totaling €48 million for brokering deals involving medical protective masks. Individual T. leveraged connections with high-ranking politicians within the CSU party to falsely request a reduction in income tax advance payments and failed to properly declare the commissions, resulting in a tax shortfall of approximately €3.7 million.
Furthermore, the defendants provided false information claiming their company’s headquarters were located in Grünwald to benefit from a lower business tax rate, leading to an additional tax deficit of nearly €4.2 million.
The Federal Court of Justice has discontinued proceedings concerning the evasion of income tax advance payments, concluding that previous findings do not support a conviction and that a renewed trial would require a disproportionate amount of resources. However, the convictions for business tax evasion remain valid and are now legally binding.