A Singaporean executive was charged for falsifying letters related to Wirecard. The move represents the latest chapter in an embarrassing collective failure of corporate Germany.
R. Shanmugaratnam, a director of Citadelle, was charged in Singapore for falsifying letters to Wirecard representing that it held money in an escrow account when it did not, several media outlets including «Reuters» reported on Friday. He is the first person to be indicted in the city-state over the collapse of Wirecard.
Since the German fintech's $2 billion hole was uncovered six weeks ago, CEO Markus Braun as well as other top executives have been arrested. The scandal has spread to German regulator Bafin, which is being sued by Wirecard investors for allegedly overlooking warning signs.
Germany's top finance and economic ministers are also under fire, while lenders like Commerzbank are taking hefty provisions due to their exposure to the Munich-based company. Meanwhile, former operating chief Jan Marsalek remains missing, according to some media reports either in hiding in Russia or Belarus.
Paper Trail
Shanmugaratnam, a 54-year-old Singaporean, faces four charges of false statements, according to charge sheets filed last month. Each charge carries a maximum ten-year jail term. Citadelle has been under scrutiny in the Philippines since a Filipino lawyer said he opened six euro bank accounts in the name of his law firm, MKT Law, on behalf of Citadelle. The accounts were supposedly for Wirecard.
According to a «Reuters» report last month, Singapore's Commercial Affairs Department (CAD), which deals with white-collar crimes, launched an investigation into Citadelle, payments operator Senjo Group and its subsidiaries after scrutinizing Wirecard's local operations.
