Connect with us

Hi, what are you looking for?

Jewish Business News

Business

Convicted Real Estate Speculator Rene Benko to Take Over German Retailer

Karstadt Branches Face Uncertain Future Following Benko Takeover

Read also: ‘Homeless Billionaire’ Nicolas Berggruen Finally Lets Go Of Failing Karstadt Department Store

The German department store chain Karstadt is going to be sold to real estate shark Rene Benko, who was recently brought up on corruption charges. In August, right before the Karstadt deal closed, Benko was convicted of corruption charges with a 12 month suspended sentence. In 2009, he was tried to manipulate tax findings in Italy and tried to manipulate Italian government officials.

Please help us out :
Will you offer us a hand? Every gift, regardless of size, fuels our future.
Your critical contribution enables us to maintain our independence from shareholders or wealthy owners, allowing us to keep up reporting without bias. It means we can continue to make Jewish Business News available to everyone.
You can support us for as little as $1 via PayPal at office@jewishbusinessnews.com.
Thank you.

Benko, who is just 37 years old, along with his Signa real estate company, will take possession of  83 stores with employ 17, 000 people. More interested in real estate than retail, he plans to close a large number of stores and convert the remainder into shopping malls, which will command high rents. The current owner, Nicolas Berggruen, has instituted wage cuts and layoffs, declared that the sale would be a success. Many workers fear that the union is in cohoots with Benko, and don’t count on a fair shake when the ink dries on the deal.

Newsletter



Advertisement

You May Also Like

World News

In the 15th Nov 2015 edition of Israel’s good news, the highlights include:   ·         A new Israeli treatment brings hope to relapsed leukemia...

Entertainment

The Movie The Professional is what made Natalie Portman a Lolita.

Travel

After two decades without a rating system in Israel, at the end of 2012 an international tender for hotel rating was published.  Invited to place bids...

VC, Investments

You may not become a millionaire, but there is a lot to learn from George Soros.