The director of a furniture business has been detained on suspicion of fraud. The Interior Ministry’s press service said the investigation was launched following complaints from citizens.
According to police, the Minsk-based company had operated in the kitchen furniture market for 15 years. However, the business ran into difficulties at the end of last year.
According to investigators, the company director continued accepting new orders even after the firm was no longer able to fulfill previous ones and some of its equipment had broken down. Debts were covered with money from new customers. In effect, a financial pyramid was created.
“The total amount of damage caused to the victims currently exceeds 1 million rubles. Investigators have opened a criminal case and the man has been detained,” the statement said.
There are about 100 victims.
