René Benko sentenced to two and a half years in prison

René Benko, the founder of the collapsed Signa real estate empire, has been sentenced to two and a half years in prison by the Regional Court of Innsbruck. The ruling follows a reopened legal proceeding regarding fraudulent bankruptcy.

The court found Benko guilty of harming creditors by making a €360,000 advance rent payment for a villa in the Hungerburg district of Innsbruck in late 2023. Prosecutors argued that Benko was already aware of his dire financial situation at the time and used the payment to divert assets away from creditors. The property in question reportedly belonged to the Laura Foundation, an entity owned by Benko’s family.

This sentence increases his previous penalty, which was two years in prison for a separate conviction involving a €300,000 gift to his mother. Benko has maintained his innocence, claiming the villa rental was intended to provide a “normal life” for his family and that he believed the Signa Group could still be restructured. He remains in custody.