Brokerage Manager Suspected of Major Fraud Skip to content

Brokerage Manager Suspected of Major Fraud

By Iceland Review

The manager of an Icelandic brokerage was arrested upon his return to the country on Monday, suspected of having participated in major money laundering and crimes of enrichment. However, the man was not sentenced to custody.

Reykjavík District Court yesterday rejected a demand of custody of the accused, reasoning that the suspicion of criminal intent is not supported by strong enough evidence, Morgunbladid reports.

Police believe that between October 5, 2007 to September 12, 2008 an amount totaling to almost ISK 250 million (USD 1.8 million, EUR 1.4 million) was deposited illegally into the personal account of the brokerage manager in question. He is suspected of having abused his position to secure profits from his trade.

A bank employee reported the unusual activity on his account to police in June 2008. On Friday the Unit for the Investigation and Prosecution of Economic and Environmental Crimes at the Commissioner of the Icelandic Police searched the facilities of the brokerage where the man works.

Following the house search, the manager’s two alleged accomplices were arrested, neither of whom is employed by the brokerage. One of these men was sentenced to custody but the other was released yesterday. The brokerage itself is not under suspicion of any criminal activity.

The manager maintains his innocence.

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