Business Round-Up: Police investigate fraud in corona aid packages

More than 23.5 million kroner of coronavirus financial aid could have gone to scammers. Meanwhile, SAS is laying off 1,593 employees in Denmark

Police have received 62 reports of possible fraud cases related to the financial aid packages that business owners could get from the government to deal with the COVID-19 crisis, TV2 reports.

The total value of packages that could have been received illegally reaches 23.5 million kroner.

Salary compensation for owners’ families 
About 57 of the investigated cases deal with the so-called salary compensation packages that have covered a major part of employees’ salaries if they have been sent back home without having been fired.

According to Finans, the companies were prone to use the following fraud scheme: a small business that only had an owner and a couple of employees suddenly included the owner’s whole family in the company’s payroll. In many cases, it was banks that notified authorities about possible fraud attempts.

In total, Danish companies have received over 10.1 billion kroner in salary compensation. Yet authorities will still investigate how much money was paid to scammers as the number of fraud reports keeps growing.

SAS to fire almost 1,600 employees in Denmark
SAS prepares to dismiss 1,593 employees in Denmark due to the Coronavirus Crisis, reports TV2. The company is going to fire members of cabin crews, pilots, ground-handling, technical and administrative staff, of which 1,420 were employed in full-time positions. However, the layoff affects fewer people than SAS expected as the airline initially said that 1,700 employees in Denmark would be dismissed. SAS on Tuesday announced a 9 billion kroner rescue package from the Danish and Swedish governments.

DFDS to dismiss 200 employees in Denmark
According to TV2, the shipping company DFDS will lay off 650 employees to spare a quarter of a billion kroner in costs. About 200 job positions account for employees in Denmark. The layoff is needed as the company wishes to “adjust to the new market conditions”.

ISS to fire 200 employees
Due to the COVID-19 crisis, the service company ISS has noticed a significant decline in its numbers of customers and decided to dismiss 300 employees, TV2 reports. The company also withdrew from the government’s salary compensation scheme. ISS explained that the layoff was a way to adapt to “a new reality”.

CEO of Denmark’s new energy cluster appointed
According to Erhverv+, Glenda Napier is now CEO of Denmark’s newly merged cluster organisation for the entire energy sector, Energy Cluster Denmark. Since 2016, Napier has been taking a leading position at Energy Innovation Cluster that is being merged with two other energy production clusters, House of Energy and Clean Energy.

Vestas to build the largest onshore wind project in the Netherlands
Vestas, Rabobank and Windpark Zeewolde have launched a collaboration to build the Netherland’s largest onshore wind project. Vestas has developed a customised solution that includes a mix of 2 MW and 4 MW platform turbine variants and a 20-year Active Output Management (AOM 5000) service contract that can maximise annual power generation without going beyond local constraints. Meanwhile, Vestas also partnered with Tokyu Land Corporation and Japan Wind Development to secure 76 MW order for Chitose Wind Farm and Noheji Mutsuwan Wind Farm in Japan. Vestas will also be responsible for Active Output Management 5000 (AOM 5000) service agreements for both wind farms over a multi-year term. The deal will ensure optimal efficiency and long-term market stability due to the energy-based availability guarantee.

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