Court extends pre-trial detention for former Kika/Leiner chief
Monday 14th September 2026 on 15:15 in
Austria
The Vienna Regional Criminal Court has extended pre-trial detention for a former Kika/Leiner managing director until October 14. ORF reported Monday, citing a court spokeswoman and the Standard, that the decision is final for now.
The Economic and Corruption Prosecutor’s Office accuses the former manager of exploiting the plight of flood victims in 2024 through a discount campaign. At least 4,700 customers are believed to have been affected, with losses of at least 15 million euros.
Kika/Leiner offered customers a 20 percent discount after storm Boris caused more than one billion euros in damage. According to prosecutors, the campaign took place when the furniture retailer was already short of liquid funds. Many customers paid deposits for furniture in good faith but received neither the goods nor refunds.
Prosecutors also suspect that the former manager deliberately transferred assets out of the furniture chain shortly before insolvency proceedings began, reducing the amount available to creditors. He allegedly approved payments for invoices without adequate services in return, resulting in the removal of 1.1 million euros.
The former managing director’s lawyer has denied all allegations and called for his release. He told the Standard that his client would do everything to disprove the criminal accusations and described him as a committed restructuring manager who had fought for the company until the last moment.
The lawyer said his client had not run the company alone and had involved advisers and auditors, as is customary. A promised investor had unexpectedly withdrawn at the last moment, he added. The former manager, who was arrested at the end of August on suspicion of fraud, is presumed innocent.
Kika/Leiner, once Austria’s largest furniture chain, closed its remaining stores in early 2025 after a prolonged decline. The company filed for insolvency for a second time in November 2024 after management failed to secure new funding or an investor, leading to bankruptcy.