Defendants allegedly evaded taxes through straw man companies in the construction industry
The Public Prosecutor’s Office in Wuppertal has brought charges against the six defendants for aiding and abetting tax evasion, for aiding and abetting withholding and embezzling pay and for fraud. A defendant was also accused of criminal tax evasion.
The public prosecutor’s office accuses the accused of having founded “Strohmann companies” in the construction industry. For the individual Strohmann companies, foreign managing directors are said to have been appointed who left Germany shortly after the founding of the companies and thus escaped the grip of the German authorities. These Strohmann companies are not said to have carried out any construction activities of their own. It is said that fictitious invoices for services not actually rendered were sold to third parties. Commissions are said to have been paid for this.
In addition, employees who were registered with the Strohmann companies are said not to have worked for these Strohmann companies, but for the customer companies. In addition, the volume of work is said to have been far greater than that reported to the social security authorities. The main defendant alone is said to have reduced sales tax by around 470,000.00 euros in this way.