Three charged, €5m seized in Hesperange fraud probe
Three people have been charged and around €5 million in real estate and funds have been seized as part of an investigation into alleged embezzlement of public money through Hesperange commune, the judiciary said on Friday.
The controversy came to light in 2019 during a local council meeting with accusations that two employees of the communal council of Hesperange just south of Luxembourg’s capital had allegedly been fraudulently withdrawing millions of public money through fake companies and accounts for years.
After an almost two-and-a-half-year investigation two civil servants aged 52 and 55, as well as a 61-year-old man have now been indicted, Luxembourg’s court said in a press release.
The investigating judge closed the investigation on Thursday, the court said. Real estate and funds totalling €5 million were seized as part of the investigation with a view to confiscating them in the long-run.
All the evidence involved in the police investigation has now been sent to Luxembourg’s court, and the case will likely appear before judges at a trial, the court's spokesperson added.
It is believed the fraud could have been taking place for as long as two decades, it was claimed during the council meeting in 2019. Questions about control mechanisms were also raised during the meeting some two and a half years ago although it emerged state inspectors never suspected anything was wrong before the alleged fraud was discovered.