New allegations against Markus Braun's detention complaint failed ....
Wirecard's Deceit Went Beyond Its Fraudulent Asian Operations ...
Bavarian top official embarrassed himself in Wirecard survey ...
Thursday, 24. SEPTEMBER 2020 - the latest from the WireCard scandal - it is expanding - ISAAN-NEWS - reports on independently and non-politically
.... ... Markus Braun has failed with his appeal and has to stay in prison. But that's not all: The Munich public prosecutor has also applied for a new arrest warrant. There is still justice, has the public prosecutor's office in Munich finally understood what this is about?
oe was not its only deception. The rest of the once-lauded German payment provider's business was chaotic, beset by byzantine reporting lines, hobbled by lamentable IT and racking up losses, according to a report by Wirecard's administrator and accounts of former employees
Read below about the report by Isaan News IT security experts like WireCard deliberately and with criminal intent the data center and network in Aschheim operated! The entire IT network and many members of the IT team operated the network of intent for fraud and money laundering!
... Karl Michael Scheufele is the head of office in the Bavarian Ministry of the Interior and may be partly responsible for the failure of the authorities in the Wirecard scandal. Now he is clueless (did he get a wink from former boss Jan Marsalek? Jan 'activated list? ...
The Reports in detail
... Markus Braun ..After the balance sheet scandal at the insolvent payment service provider Wirecard, the former CEO Markus Braun (51) remains initially in custody. An investigative judge of the Munich district court opened the Austrian Manager on Wednesday issued a new arrest warrant that the prosecutor had requested, as the court requested communicated. A complaint filed by Braun's lawyers was unsuccessful.
Braun has been in custody since July 22nd, as have two other Wirecard managers. The new arrest warrant replaces the previous one. Public prosecutors usually apply for new arrest warrants when new issues arise in the investigation. The allegations have been expanded, said a spokeswoman for the public prosecutor's office, without giving details.
The public prosecutor sees in Braun a main person responsible for "commercial gang fraud", in which the Wirecard executive suite is said to have booked billions of dollars in bogus business over the years to get that Keeping businesses afloat and cheating on credit. This is how Braun and his Accomplices have cheated lending banks and investors by up to 3.2 billion euros, which is now very likely are lost.
The public prosecutor's office has frozen the assets of four natural persons
Wirecard is a payment processor for credit cards at checkouts and on the Internet. The business with does not exist According to the current status of the investigations, customers were via subcontractors in the Middle East and Southeast Asia settled. The actually existing business with payment processing, however, was so small that Wirecard in truth wrote losses.
The alleged balance sheet fraud helped Wirecard climb into the Dax in 2018 . Braun went with his share to Wirecard, in the meantime, the billionaire, before the crash of the Wirecard share was discovered, after the discovery of the scandal the the Austrian manager's fortune shrank. Braun has to fear that he will lose his former wealth nothing will remain, since in addition to the criminal proceedings, he will face many civil actions for compensation.
The public prosecutor's office had previously frozen the assets of "four natural persons" and three companies in the Wirecard case ,but had not stated that Braun's assets were included. The manager had to manage his money and founded his own company, he also owns houses.
The arrest orders for the assets of the "natural persons" were according to earlier statements of the investigators by sums up to the mid double-digit million range, in the case of the companies in the lower three-digit range Million range.
As far as is known, a Wirecard shareholder has so far also obtained an asset arrest against Braun at the Munich Higher Regional Court. It is about compensation for the losses that he made with Wirecard shares.
... The ailing IT system of WireCard and WireCard Bank, perfectly planned for fraud and money laundering!
... Wirecard's Asian organization was not just a delusion.
The rest of the organization of the once lauded German payment service provider was disorganized and haunted by Byzantines, according to a report by the Wirecard administrator, who is being hampered by deplorable IT and suffering losses and accounts of former employees.
The picture that emerges of the existing Wirecard organizations is a clear contrast to that of former President Markus Braun welcomed the group as an extremely successful market leader in payment transactions. It shows the extent to which the business, Germany's biggest fraud in years, is also a misguided financier about his real organizations.
"Only a few units in the group have actually been involved in the conduct of operations that are customer-centric and Income generated, "wrote the administrator Michael Jaffe in his report.
On paper, the previously soaring business achieved a pre-tax profit of EUR 1.9 billion between 2015 and 2015 first quarter of 2020. However, if the deceitful Asian operations fail, the remaining organizations will be collected According to the report, pre-tax losses of EUR 740 million were recorded over the same period. The losses were never revealed due to the fact that Wirecard only reported numbers for the entire group instead of their specific operations.
Wirecard was valued as an unusual example of the world's best German technology organization and promoted to the nation Dax index of the leading business in 2018. Even on the verge of bankruptcy three months ago, the group had a market capitalization of EUR 13 billion.
However, the administrator estimates that the actual value of Wirecard's assets is only EUR 428 million, a lot overshadowed by the EUR 3.2 billion financial obligation the company had when it collapsed.
The assessment of the value of the group by Mr. Jaffe is also linked to internal quotes from Wirecard Days After a first insolvency strategy by Wirecard on June 25, the bankruptcy approached on June 25 According to a discussion, the group could raise EUR 560 million by offering some operations.
The projection was positive, in part due to the fact that some of his clients - including a large one Fintech, which made up 40 percent of Wirecard Bank's profits, quickly left the business.
The administrator was officially selected by a Munich judge last month to oversee the relaxation of Wirecard trying to take over the offered business a little. Mr. Jaffe answered to discuss the report.
Details of the administrator's findings will be released just a few weeks after the German Parliament decided to issue a full statement Questions about the collapse of Wirecard, which was activated after its outsourced organization in Asia as a Appearance. The death of the group has in fact shaken confidence in business in Germany and the national currency regulators. Mr. Braun rejects allegations of fraud and embezzlement.
While technological know-how was of decisive importance for the sales discussion with customers, Wirecard's own IT facilities were a specialty weak spot.
The computer systems have been bought out of a small banking business over the years and have never been completly incorporated. Wirecard Bank, for example, is still working with a software application that was originally set up for Germany's small cooperative banks, which will be shut down by their IT company by the end of this year, According to people familiar with the matter.
The security and software expert from Isaan News in German, inspects the network in 2017 at the request of a WireCard IT manager for a proposal to upgrade the old network. In his report, the expert informed management that the current data center was completely out of security and suggested A completely new network to be designed and installed based on the latest security standards of the German financial industry. This proposal was rejected because it took too long and would have disrupted current operations. Today we know Why, it would have exposed the scams and frauds committed by WireCard, the money lauding would be stopped and no more criminal fruits are harvested Isaan News reported this earlier and brought it to the attention of the responsible authorities!
"If IT auditors had been professional and serious, enormous risks, weaknesses and violations would have occurred A long time ago, "said a former Wirecard IT employee who was worried about the" unbelievable brittleness of " IT infrastructure from [Wirecard] ".
Even when Wirecard dealt with the increasing auditing of its accounting, the number of employees in the group continued to rise. Increase from the beginning of 2015 by a quarter to 6,300 at the time of the implosion. In the same period Actual revenues increased by less than half, according to the administrator.
The report points to inflated spending and a gigantic amount of business waste.
"Employees never had to reduce the services they used to those that were really needed as cash was abundantly available in the past, "people thought, including the fact that the business had to contend with" excessive " Overheads and manpower ".
"Only a fraction" of the staff was really needed to run Wirecard's non-fraudulent organization, the report says as was discovered.
And when business was in a rush in June to encourage its longtime auditor, EY, to accept its most recent accounts, Wirecard burned money.
At the time of the decryption at the end of June, the total amount was EUR 10 million per week and the internal company preparation forecasts that this number will rise to more than EUR 15 million - around EUR 200 million according to the entire 3rd quarter to the administrator report. At this point in time, Wirecard would have to collect fresh money by the end of this year pay his expenses.
If wasteful costs are among the results of Mr Jaffe, the report is also described as "completely opaque" by Wirecard. and ineffective structure, including at least 55 subsidiaries on 4 continents.
The employees at headquarters on the border with Munich did not understand what the various systems in the group were doing. The administrator concluded, neither with their jobs and duties nor with the payments and loans between departments. glued accordingly.
Some of its systems had "a small business mentality," former employees said and explained Organizations that Wirecard had actually sucked in worldwide and mainly delegated their own devices.
The inner chaos led to unusual results. A group of IT professionals working in Athens but part of one Subsidiary with headquarters in Neus
EY declined to comment
Wirecard's internal organization and paperwork were far from "what one would expect from a company of this size". keep an eye on the report.
The administrator's findings will do little to alleviate the shockwaves that the scandal actually sparked German politics and organization.
... Bavarian top official embarrassed himself in Wirecard survey ...
Karl Michael Scheufele is head of office in the Bavarian Ministry of the Interior and possibly jointly responsible for the failure of the authorities in the Wirecard scandal. Now he is clueless. Did he get a hint from "above?"
The Free State of Bavaria benefits a lot from its functioning administration, the competence of its officials and its superiority in general compared to other federal states. Its representatives like to recommend themselves and their work as models for the rest of the republic.
But the Wirecard case has recently permanently demystified Bavaria's self-image. The members of the Finance Committee have been trying for weeks to understand in the Bundestag what exactly went wrong in the authorities ping-pong about the supervision of the scandal company. The hearing of a top official from the Munich Ministry of the Interior turned into a memorable spectacle at the end of August. STARRING: ignorance, incompetence and Flight of responsibility.
Information which Isaan News got from the meeting, to what extent the complex German money laundering law the authorities involved Overwhelmed - and so dubious companies like Wirecard easily get away with it in the confederation and states of the federal states.
Each country regulates its involvement in the fight against money laundering differently. But it is particularly bizarre in Bavaria. The Isaan News expert explains: It's actually very easy According to the German and Bavarian money laundering laws, these ONLY apply to banks or e.g. Insurance. WireCard was and is not a bank, but a Payment processor, an intermediary between customers, credit cards and payees. This is not a bank, but a so-called "payment gateway" you have to make a strict distinction here, unlike the WireCard Bank, which is a completely separate company and has nothing to do with the payment gateway.
But this is where the "geniuses" Jan Marsalek and Marcus Braun come into play , they have many years of experience at the banks they worked for, including Deutsche Bank (known for their money laundering over many decades) and used a gap.
First the payments were processed by the WireCard and then the money, what a coincidence , was deposited into the accounts of the payees at the WireCard Bank. Something that takes place in the European IBAN / SEPA system, completely digitally, without manual controls. WireCard as a payment processor, was not subject to German controls (BaFin), The WireCard Bank was completely unsuspicious and had the payments digitally under control, nothing was noticed, because only CASH payments over EUR 10,000 at the bank, must be reported.
Since WireCard Bank is probably the FIRST fully digital bank in the world, there was nothing to control.
The BaFin has withdrawn to this gap and, incidentally, did a lot of stock insider business, the Ministry of Finance under Olaf Scholz "could not have known anything", because a law was actually not broken.
Isaan News IT experts have already pointed out the inadequate IT security of the German authorities, but it was always rejected with the Advice "everything is going well, the economy is booming, why should we do something else". Everyone has collected their millions, only the poor taxpayer has to now Pay the "WireCard" bill.
Ultimately, skilled lawyers, who also live off Markus Braun's millions, will keep him out of everything and he will be a slightly battered Baenker Live your luxury life in one of your foreign villas or castles. Because it was so good, he and his best friend Jan Marsalek will come up with something new!
Don't forget ! Bundestag investigation committee is running, FDP asks unpleasant questions, rightly! In the months leading up to the Wirecard bankruptcy, employees of the financial supervisory authority Bafin did not only deal with shares in the Payment processor traded, but also with high risk derivatives, as reported by Isaan News.
Can a candidate for Chancellor be so "inept" or has he knowingly violated his own orders?
More Isaan News - More Isaan News - about BaFin and Olaf Scholz
BaFin and the Wirecard fraud
Olaf Scholz on July 17, 2020 right in the middle of it
Scholz Knew about the entire WireCard since February2019-but Jan Marsalek was the Darling of the Nation and everybody needed to protect his millions!
Scholz knew a lot more