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This April, about six months after the sentences in the criminal proceedings became final, the city of Schaden and two former senior officials claimed the money for the costs of the proceedings. After ten days, the payment term was extremely tight. Schaden rejected the claim, but offered talks to reach a settlement. This followed, but did not lead to any results, so Damage’s successor, Harald Preuner (ÖVP), has submitted an official report to the local council to resolve the lawsuit.
“Completely incomprehensible” for claims attorney
The damages attorney had previously told the media that settlement talks had been on the right track when his client learned from the newspaper in mid-August that the talks would be interrupted. “For us this is completely incomprehensible.”
SPÖ and Bürgerliste (Greens) wanted to arrive at the city hall today with a counter-motion that an extension of the damages would be granted until the end of November, but this did not find a majority. Once the lawsuit was settled, the SPÖ spoke of a “sad day for the city council”. Mayor Preuner said no one wanted to fight the process to the end. There is still the possibility to talk about an agreement in court.
Out-of-court settlement with the magistrate and financial director
The City Council had also claimed money for procedural and legal expenses from the former municipal director (413,000 euros), who was the secretary of damages at the time of the exchange, and from the former director of finance (356,000 euros). The city reached an out-of-court settlement with the two before today’s meeting.
The swap process addressed a secondary aspect of the Salzburg financial scandal that was exposed in December 2012. In 2007, the city transferred six negatively rated interest rate swaps to the state of Salzburg without any consideration. As a result, the country suffered damages of at least three million euros, the court concluded. The accusation was infidelity. The damages received three years in prison, one year of which was mandatory. Your application for an electronic ankle was approved. The former finance director was sentenced to two years in prison, six months of which are unconditional. He was also under electronically supervised house arrest. Former state finance official Othmar Raus and former head of the state finance department Eduard Paulus also received partially conditional fines. The other defendants, including the former head of the magistrate, were sentenced to suspended prison.
(Those: APA)
