Regensburg Builder Sentenced for €1M Wage Evasion in 43 Cases
A builder from Regensburg has been sentenced for aiding and abetting wage evasion and misappropriation, involving 43 cases. The builder, who was given a ten-month prison sentence suspended on probation, evaded social security contributions totaling over €1 million between 2017 and 2021.
Investigations were sparked by suspicious business registrations at the builder's address, many claiming activities in drywall construction and partnerships in various civil law partnerships (GbR). However, the builder did not register the workers with the social security office, despite them being employees. The workers were paid hourly and given specific instructions, fulfilling conditions for a normal employment relationship, not self-employment.
The builder confessed in court, expressing remorse and insight. Leading Government Director René Matschke, head of the Regensburg Customs Office, stated that the case highlights how some entrepreneurs try to avoid social security contributions through constructions with alleged self-employed persons, harming social security funds and giving them an unfair advantage over honest businesses. The Regensburg Customs Office will continue to combat such forms of black work in the future.
The builder's actions resulted in a significant loss to social security funds, with €1,006,288.03 in contributions evaded. Despite the seriousness of the offence, the builder was given a suspended sentence, reflecting their remorse and insight. The case serves as a reminder of the ongoing efforts by authorities to combat wage evasion and black work.
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