Fraud scandal in Hanover: Former managing director in court!

Fraud scandal in Hanover: Former managing director in court!

Hannover/Hildesheim. In a scandalous case in the area of the real estate industry, the former managing director of the German Property Group is under serious suspicion. The public prosecutor has raised charges against him and the allegations could have far -reaching consequences.

Overall, the public prosecutor accuses the ex-managing director of commercial fraud in 27 cases. A considerable damage of over 56 million euros is said to have occurred. This not only represents a massive economic disaster for the investors concerned, but also raises serious questions about the business practices of the company and its management style.

promise of return and incorrect renovations

The starting point of these allegations goes back to 2008 when the former managing director founded Dolphin Capital GmbH, which was later renamed German Property Group. Investors from abroad were attracted with high returns for investments in German real estate. The focus was on listed buildings that were to be renovated. However, instead of a renovation, the company is said to have let the objects degenerate, which for many investors led to a loss of their savings.

As early as 2015, German Property Group was in financial difficulties. It was reported that many liabilities could only be paid with the help of new loans. It must have become clear to the managing director at the latest three years later that the renovation concept had failed. Regardless of this knowledge, he continued the company and continued to collect funds from investors, while the debts got on. Ultimately, this missed strategy led to the bankruptcy of the company.

Mitte of the investigation came to light further details of the alleged fraud. The public prosecutor had already investigated the German Property Group in the past about suspicion of money laundering, but these procedures were hired. After more than four years of intensive investigations, the indictment is now on the table. The time when the Hildesheim district court will decide on the admission of the indictment remains to be seen.