Fraud Scandal at Germany’s Bankrupt Wirecard Lead to More Arrests

The money is probably lost now that the company is insolvent, she added.

Leiding wouldn't break down the potential charges against the individual suspects but said they include fraud, breach of trust, misrepresentation and market manipulation.

The Wirecard debacle has raised questions about the effectiveness of German financial regulation, and about who in the government knew what when.

The German parliament's finance committee plans a special meeting next Wednesday, which the finance and economy ministers are expected to attend.

Officials also have acknowledged that the chancellery was in contact with Wirecard advisers.

The scandal has been viewed as a setback for the investment climate and attempts to promote the country as a base for financial services companies.

The whereabouts of one key figure at Wirecard — former chief operating officer Jan Marsalek, who was fired last month — remain unclear. Recent media reports have suggested that he may have fled to Belarus or Russia.

Asked where Marsalek is, Leiding replied: “You tell me.”

“It is obvious that we are trying to get in contact with everyone who may have been involved, but I can't say anything about that,” she added.

(Writer: Geir Moulson)

Source: https://apnews.com/ca49128730ad89498040ff45b8f71a4a