Ex-finance minister Grasser is applying for private bankruptcy!

Ex-finance minister Grasser is applying for private bankruptcy!

Kitzbühel, Österreich - Karl-Heinz Grasser, the former finance minister in Austria, submitted an application for private bankruptcy at the Kitzbühel district court on April 30, 2025. This decision follows a recent judgment of the Supreme Court (OGH), which Grasser sentenced to four years in prison. He was convicted of infidelity and gift acceptance in the so-called Buwog-Causa, which is considered the greatest corruption process in the second republic and lasted over 15 years, such as Puls24 reports .

The Credit Protection Association of 1870 (KSV) confirmed the receipt of Grasser's bankruptcy application. The main defendant in the Buwog-Causa also faces the obligation to pay 9.8 million euros in damages to the Republic of Austria together with Walter Meischberger. Grasser reports that the long duration of the procedure has led to an almost complete loss of income, which does not make the high costs anymore, explains his lawyer Manfred Ainedter.

The Buwog process and the judgments

in 2020 Grasser was still sentenced to eight years in prison, but the punishment was reduced to four years due to the "exorbitant long proceedings" and a found fundamental rights violation of the OGH. In addition to Grasser, his co -accused Walter Meischberger and Peter Hochegger were also sentenced to six years in prison. The OGH raised the conviction for falsification of evidence, but confirmed the judgments for infidelity and gift acceptance.

The Buwog-Causa itself revolves around the sale of 60,000 federal apartments to Immofinanz in 2004, with the inferior bidder CA Immo offering only 1 million euros less. Ribbon suggests that privatization may have been manipulated. In addition, three from Grasser's friends received 9.6 million euros in commission, which also reinforced the allegations.

criticism of corruption in Austria

The legal disputes of Grasser find in Austria instead of the background of an increasing criticism of the corruption situation in Austria. In early March 2023, the anti-corruption group of the Council of Europe (Greco) criticized the legal situation and pointed out structural weaknesses that could favor corruption. In a report on the Tyrolean hydropower (TiWag), the close interrelation of state politics, corporate interests and commercial enterprises also criticized, such as Profile reported .

In the international corruption ranking of Transparency International, Austria fell from 12th to 15th, with Denmark and New Zealand occupy the top positions. Critics, including political scientists and former Minister of Justice, call for more transparency and measures to combat corruption in politics.

Grasser himself has asserted his innocence and plans to call the European Court of Human Rights (ECHR) to take action against the decision of the OGH. The start of prison is not influenced by the ongoing legal steps.