Global fintech and funding innovation ecosystem

Wirecard: A Facade of Innovation…How the Biggest Fraud in German History Unravelled

Jan Marsalek Wirecard’s C.O.O. - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History Unravelled

Jan Marsalek, Wirecard’s C.O.O., who embezzled tens of millions of dollars from the company, rented a secret mansion near the Russian consulate in Munich, where he held meetings with spies and government officials.Illustrations by Harol Bustos

The tech company Wirecard was embraced by the German élite. But a reporter discovered that behind the façade of innovation were lies and links to Russian intelligence.

  • Late in the spring of 2020, Jan Marsalek, an Austrian bank executive, was a widely admired figure in the European business community—charismatic, trilingual, and well travelled. Even at his busiest, as the chief operating officer of Wirecard, Germany’s fastest-growing financial-technology company, he would assure subordinates who sought a minute of his time that he had one, just for them. “For you, always,” he used to say. But he would say that to almost everyone.
  • Marsalek’s identity was inextricable from that of the company, a global payment processor that was headquartered outside Munich and had a banking license. He had joined in 2000, on his twentieth birthday, when it was a startup. He had no formal qualifications or work experience, but he showed an inexhaustible devotion to Wirecard’s growth.
    • The company eventually earned the confidence of Germany’s political and financial élite, who considered it Europe’s answer to PayPal. When Wirecard wanted to acquire a Chinese company, Chancellor Angela Merkel personally took up the matter with President Xi Jinping.

See:  Research: Which UK Bank Customers are Most at Risk of Fraud?

  • Then, on June 18, 2020, Wirecard announced that nearly two billion euros was missing from the company’s accounts. The sum amounted to all the profits that Wirecard had ever reported as a public company. There were only two possibilities: the money had been stolen, or it had never existed.
    • The Wirecard board placed Marsalek on temporary leave. The missing funds had supposedly been parked in two banks in the Philippines, and Wirecard’s Asia operations were under Marsalek’s purview. Before leaving the office that day, he told people that he was going to Manila, to track down the money.

Continue to the full article --> here


NCFA Jan 2018 resize - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History UnravelledThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

Latest news - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History UnravelledFF Logo 400 v3 - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History Unravelledcommunity social impact - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History Unravelled

Support NCFA by Following us on Twitter!







NCFA Sign up for our newsletter - Wirecard: A Facade of Innovation...How the Biggest Fraud in German History Unravelled




 

Leave a Reply

Your email address will not be published. Required fields are marked *

9 + three =