Wölbern Invest owner arrested in €137m fraud case

Heinrich Schulte, the owner of German closed-end real estate fund business Wölbern Invest, is facing allegations that he embezzled €137 mln.

Hamburg's public prosecutor's office had Schulte taken into custody on Tuesday and a large number of files were seized from Wölbern's offices in the city.

Schulte, the prosecutor said, faces over 300 charges in relation to embezzling money from the fund business. He is also charged with having personally made €37 mln by deception.

Wölbern is currently working to sell almost €1 bn of assets from funds that have reached their termination date. The company has not commented on the arrest of its owner.