Signa’s Benko Charged in Austria After €23 Billion Bankruptcy

Austrian real estate tycoon Rene Benko was formally charged with fraud after the collapse of his €23 billion ($27 billion) Signa property empire.

The businessman, who has been in detention since January, will stand trial for alleged insolvency fraud, prosecutors said in a statement on Tuesday.

Benko is alleged to have made unjustified pre-payments for a home rental contract and offered gifts including luxury watches and weapons, effectively hiding assets worth €660,000 ($770,418) from creditors involved with his personal insolvency, prosecutors allege.

Rene Benko

Photographer: Christian Bruna/Getty Images

The charges will be the first line of criminal inquiry into Signa’s financial meltdown at the ...