Reykjavík Energy Gardening Director Sued Skip to content

Reykjavík Energy Gardening Director Sued

The Office of the Special Prosecutor has filed a lawsuit against the former gardening director of Reykjavík Energy (OR) for embezzlement of ISK 26 million (USD 210,000, EUR 164,000). He could face six years in prison.


The headquarters of Reykjavík Energy. Photo by Páll Stefánsson.

According to the charge, which was issued late last year, the embezzlement began in 2003 and continued throughout September 2008, reports.

The former gardening director is accused of having issued 58 false invoices in this period of five years. In many cases he allegedly made the vouchers himself, received the invoices and approved them on behalf of OR.

At the same time the man served as chair of the Gardening Association of Iceland and he is suspected of having used the money to pay the salaries of two women who served as the association’s managing directors. Neither of them are facing charges.

The case has been under investigation for some time, at first by the Economic Crime Department of the National Commissioner of the Icelandic Police and later by the Office of the Special Prosecutor after the two institutions were merged.

The man was laid off at OR in the autumn of 2008 after the case surfaced. OR demands that the man repay the ISK 26 million with interests.

The prosecutor also demands that the man be made to cover legal costs and serve the appropriate punishment; according to the penal code such a crime may result in up to six years in prison.

Click here to read more about the Special Prosecutor’s Office, which is primarily responsible for investigating the Icelandic banking collapse.


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