• Fri. Mar 1st, 2024

Uros Founders Face Gross Aid Fraud Charges as Company Declares Bankruptcy

ByEditor

Feb 13, 2024
Trial of man commences as millions in development loans obtained under false pretenses

The founders of technology company Uros, who are now facing charges of gross aid fraud, are set to begin a trial in the district court today. During the preliminary investigation, the suspects denied any wrongdoing.

The case centers around product development loans and grants worth more than six million euros that Uros received from Business Finland in the 2010s. The police have accused the suspects of providing misleading information and concealing crucial details from Business Finland during the application process.

At the time of the alleged crime in 2011-2015, one of the suspects was CEO and another was chairman of the board. In 2022, Uros declared bankruptcy and it was determined that they were not temporarily insolvent. The company had debts of at least 13.5 million euros and only about 14,000 euros in cash.

In 2019 and 2020, Business Finland became aware that Uros had concealed important information that would have led to funding being denied. In December 2020, Uros sold assets to a parent company at significantly underpriced prices, leading to subsidiaries moving their assets out of reach of creditors. The Oulu District Court ordered the cancellation of these transactions in October 2021 after Jyrki Hallikainen failed to respond to a claim from Uros Ag within a deadline, resulting in an unilateral verdict by the court.

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