Austrian Prosecutors Charge Signa Founder Benko With Fraud

Austrian real estate tycoon René Benko, founder of the collapsed €23 billion Signa property empire, has been formally charged with fraud related to insolvency proceedings. Prosecutors allege Benko concealed assets to prevent or minimize creditors' claims, including a €300,000 gift to family members and an unjustified advance payment of €360,000 for rent and operating costs amid financial distress. Benko, who has been in pre-trial detention for over five months, denies the allegations. The investigation, led by Austria's Central Prosecutors' Office for Economic Crimes and Corruption and supported by a special police unit, covers multiple suspected offenses such as fraudulent claims for COVID-19 relief funding and misuse of sovereign wealth fund loans. Prosecutors estimate the total harm caused by the broader probe at roughly €300 million. The case marks the first indictment in the wide-ranging Signa investigation, with Benko facing trial for alleged insolvency fraud.