HSB executive suspected of 40 million kronor fraud
The Local · 14 Dec 2005, 14:50
Published: 14 Dec 2005 14:50 GMT+01:00
"This is to do with the buying and selling of properties where HSB has paid more than would be reasonable. The money has disappeared," said prosecutor Lars Olson to news agency TT.
The man being held by police is, like the ex-boss, suspected of committing a "breach of trust against a principal". The third person is suspected of conspiring to assist them.
A large part of the money is said to have found its way to a company in Luxembourg, but the National Economic Crimes Bureau is still unsure of who exactly has benefited from the cash.
"We know that the money has ended up in someone's pocket, but the question is whose," said the prosecutor.
"There are many people who could have been the ultimate recipient."
The investigation began in the summer after a tip-off from the tax authorities. Officers have conducted several house raids and HSB has contributed with information and documents.
The managing director of HSB Malmö, Greg Dingizian, told Sydvenskan that he was "shocked" by the affair.
Prosecutor Lars Olson reckons he has a solid case against the suspects, with evidence in the form of contracts and other printed documents concerning cash transactions.
Leif Gustafsson, the lawyer for the man in custody, said that his client denies the charges.
The prosecutor has until the end of the day on Thursday to decide whether the man will be charged or released.