# Danish transport company bankruptcies and scandal > Live situation record from CLSTR: https://clstr.news/situations/danish-transport-company-bankruptcies-and-scandal > Updated: 2026-10-11T16:03:00.000Z. Sources: 7. Developments: 2. Four Odense-based transport companies—HA Logistik, Flex Fyn, Flex Syd, and Flex Midt—were declared bankrupt following petitions from the Danish Debt Agency and labor unions. These companies managed public flex traffic contracts in Funen and Jutland valued at nearly 250 million DKK. The companies were previously owned by Hussein Salem Al-Badri, who received a 13-year prison sentence for amphetamine smuggling, before ownership transferred to Yahya Majid Al-Shimmari. During the bankruptcy proceedings, the court noted that neither the director nor a lawyer appeared. The collapse has evolved into a broader scandal involving allegations of organized economic crime and systemic regulatory failure. Investigations indicate that the Danish Transport Authority was aware of significant tax debts for months but failed to revoke operating licenses. Critics have described the authority as ‘conflict-averse’ regarding its oversight duties. In response, the Danish People's Party has proposed new measures to combat fraud, such as ‘chain liability’ for suppliers, arguing that current procurement models favoring the lowest price allow companies with links to organized crime to gain unfair advantages. ## Timeline ### 2026-10-11: Denmark transport scandal exposes regulatory failures and fraud The collapse of several Danish transport companies has sparked criticism of the Danish Transport Authority for failing to act on known financial irregularities and tax debts within the flextrafik sector. 2 sources. https://clstr.news/cluster/denmark-transport-scandal-exposes-regulatory-failures-and-fraud ### 2026-09-22: Four Danish transport companies declared bankrupt Four Danish transport companies, HA Logistik, Flex Fyn, Flex Syd, and Flex Midt, have been declared bankrupt after their director failed to appear in court. 6 sources. https://clstr.news/cluster/four-danish-transport-companies-declared-bankrupt --- Cite as: Danish transport company bankruptcies and scandal. CLSTR, https://clstr.news/situations/danish-transport-company-bankruptcies-and-scandal