The Municipal State Attorney’s Office in Gospić has filed an indictment against two Dutch nationals on suspicion of organising a fake investment chain through which they collected money from citizens in Croatia and the Federation of Bosnia and Herzegovina.
According to the indictment, the basis of the scheme used to attract citizens was oil, gold and other commodities traded on world markets. Citizens interested in investing and making profits were offered investment via futures contracts.
The fraud took place between January and May 2006, in Croatia and the Federation of Bosnia and Herzegovina. The method used was a Ponzi scheme of a fake investment chain.
The primary accused, K. K. H. M. P., is a 58-year-old healthcare worker, while the secondary accused, A. S. E., is a 53-year-old courier who works in his own company. They are charged with fraud in business operations and money laundering, with the prosecution claiming the funds were obtained through criminal activity.
Through their companies, citizens in Croatia and BiH paid in excess of 1.06 million kuna over a few months. In addition, 67,780 US dollars and 46,100 euros were paid in.
