Polish parabank Finroyal allegedly loses PLN 85.5 mln in illegal financial pyramid
The Warsaw regional prosecutor’s office found that parabank Finroyal, may have lost some PLN 85.5 mln due to the creation of an illegal financial pyramid, the Polish dailies reported July 5.
“Up till now, the prosecutors found that clients from the parabank belonging to Andrzej K. lost PLN 78 mln, USD 1.1 mln, EUR 744,000 CAD 50,000, GBP 128 and CHF 2,000,” business daily Puls Biznesu wrote. “This amounts to PLN 85.5 mln.”
An analysis carried out by the Internal Security Agency (ABW) indicates that Andzej K. invested the funds in Polish companies, as well as on the Forex market. Part of the funds were also transferred to U.K. bank accounts.
So far some 1,200 people have come forward claiming to be wronged by Finroyal.
Andrzej K. was accused of braking banking laws and possible fraud in the Summer of 2012.
The investigation continues.