Innsbruck court expected to rule in Benko fraud trial

A verdict is expected early Thursday evening in Rene Benko’s trial on charges of serious fraud and fraudulent insolvency, ORF Tirol reported. After the final witness testimony, the lay judges are due to retire to deliberate.

At the hearing, the presiding judge read transcripts of intercepted calls between Benko and investor Hans Peter Haselsteiner. Prosecutors allege that Benko defrauded Haselsteiner’s private foundation of five million euros by falsely promising to repay the money himself if necessary. The repayment never happened.

Benko’s lawyer argued that Haselsteiner was already obliged to pay the money for an earlier share purchase, and that Benko had simply demanded what he was owed. But in one recorded call, Benko again promised to repay Haselsteiner and said the claim would be recognised in his personal insolvency proceedings.

A senior public prosecutor questioned Benko about the apparent contradiction. His lawyer intervened, prompting a heated exchange that the presiding judge stopped, saying: “There will be no arguing in my courtroom.”

Benko’s former longtime finance chief, described as his right-hand man, was due to testify in the afternoon. Proceedings are also underway against him, and he was expected to appear with a lawyer to avoid incriminating himself.