Ponzi Record

Spain · To May 2006, when the company was judicially intervened

Afinsa Bienes Tangibles stamp investment contracts

According to Orain and Legal Today reports of the 2016 ruling, the Audiencia Nacional described the case as a pyramid fraud (estafa piramidal), called the business fictitious, and said it relied on constant overvaluation of stamps with no intrinsic value, with clients promised their money back with interest well above bank rates.1,3

Losses as statedThe 2016 ruling ordered the convicted parties to jointly compensate clients with 2,574 million euros, according to Orain. Vozpópuli reported that at the time of the court intervention liabilities to clients were 2,574 million euros against assets of 766 million euros.1,5
Victims as stated190,022 clients whose contracts were recognised by the court appointed administrators, about 200,000 savers in all, according to Orain. Vozpópuli put the number of investors at about 196,000.
Recovered for investorsVozpópuli reported on 30 November 2017 that the court appointed administrators had returned 15 percent of recognised credit to former clients they had located, in instalments of 5 percent described as advances on the final proceeds of the liquidation.5

People and outcomes

Juan Antonio Cano Cuevas

Former president. Sentenced by the Audiencia Nacional in July 2016 to 12 years and 10 months and a 240,000 euro fine as a principal perpetrator of aggravated fraud, as reported by Orain and Legal Today. On appeal the Supreme Court reduced his sentence to 8 years and 7 months, El Independiente reported on 23 November 2017, citing EFE. Vozpópuli reported the reduced fraud sentences as eight years. On 15 February 2018 the Audiencia Nacional ordered him and other former executives to enter prison within ten days of notification, El Independiente and Orain reported.1,3,4,5,6,2

Response: No response is recorded in the sources reviewed.1

Timeline

  1. Afinsa judicially intervened.1
  2. Audiencia Nacional convicts 11 defendants, with up to 12 years and 10 months for the former president.1,3
  3. Supreme Court ruling reducing sentences reported, with 8 years and 7 months for the former president.4,5
  4. Audiencia Nacional orders former executives to enter prison.2,6

Sources

  1. Orain (agency copy), La AN condena al presidente de Afinsa a 12 años de cárcel (27 July 2016)
  2. Orain (agency copy), La Audiencia Nacional ordena el ingreso en prisión de la excúpula de Afinsa (15 February 2018)
  3. Legal Today (Europa Press), La Audiencia Nacional condena a 11 directivos de Afinsa con penas de hasta 12 años de prisión (28 July 2016)
  4. El Independiente (EFE), El Supremo rebaja la condena a los responsables de la estafa de Afinsa (23 November 2017)
  5. Vozpópuli, El juez da tres meses para localizar a 54.000 clientes de Afinsa (30 November 2017)
  6. El Independiente, La Audiencia Nacional ordena el ingreso en prisión de la ex cúpula de Afinsa (15 February 2018)