Supreme Court Decision opens new Chapter in Long-Running Saga

In a significant advancement, Austria’s Supreme Court (OGH) has mandated a partial retrial for former Finance minister karl-Heinz Grasser and ex-lobbyist Peter Hochegger, reigniting the contentious corruption case that has gripped the nation for years. The decision stems from appeals related to a prior judgment by the Vienna Court of Criminal Court. Grasser faces scrutiny over alleged forgery of evidence, while Hochegger is implicated in the UNTREUE-CAUSA involving Telekom Austria, with damages estimated at €5 million, and for providing false testimony before a parliamentary committee.

Legal Errors and Statute of Limitations Cited

The OGH’s decision to order a retrial hinges on legal errors due to the lack of findings, specifically concerning individual facts and the clarification of the statute of limitations. The future of the indictment remains uncertain, as prosecutors retain the option to withdraw it if they deem a conviction unlikely to significantly impact the overall sentence. Both Grasser and Hochegger where previously convicted of breach of trust.

Hochegger’s Confession and Potential Impact

The court’s reasoning also addressed Hochegger’s partial confession during the initial proceedings.

Sence the now 75-year-old Dr. Hochegger, who was the only one of the defendants and has made a significant contribution to finding truth, has been punishable for several months and has been in the meantime for almost two decades. Determination of a three -year trial period.

Procedural Hurdles and Judicial Changes

OGH spokesman Frederick Lendl indicated that a new trial is absolutely possible this year if the indictment stands. However, Judge Marion Hohenecker of the Vienna Criminal Court will no longer preside over the case, due to her transition to the economic and corruption prosecutor’s office and the stipulations of the Code of Criminal Procedure.

Lengthy Proceedings and Mitigation of Penalties

The OGH previously reduced the sentences of Grasser, Hochegger, and other defendants in the Buwog process in 2020, citing the excessive length of the proceedings. OGH President Georg Kodek described the 15-year duration as an outlier and emphasized the need to avoid such delays in the future. He acknowledged that the reduced sentences were intended to compensate for the violation of fundamental rights caused by the prolonged legal battle.

Georg Kodek, OGH President
Due to the “measurable and noticeable” reduction of the punishment, the present violation of fundamental rights is now compensated for. One can also learn from such a procedure… There are “a whole bundle of causes”.

Expert Analysis: The Impact of Prolonged Trials

Robert kert, an economic criminal law expert from the Vienna University of Economics, echoed the sentiment that the length of the proceedings played a crucial role in the mitigation of penalties. He noted that the initial sentences were relatively high and that prolonged trials are a significant factor in reducing punishments.

Calls for Reform in Criminal Procedure

Kert further suggested that the Austrian code of Criminal Procedure, which mandates meticulous examination of every detail, contributes to the protracted nature of such trials. He advocated for legislative reforms that would allow for the streamlining of complex criminal proceedings.

Transparency International‘s Concerns

Georg Krakow of Transparency International expressed concern over the significant penalty reduction resulting from the lengthy procedure, stating that it is unusual in Austria and raises questions about efficiency and cost-effectiveness for taxpayers.

Imprisonment Looms for Grasser

Grasser, 56, now awaits the formal request to begin his prison sentence.Once the OGH transmits the judgment to the lower court and the convict, he will be required to report to custody within 30 days. Typically, first-time offenders must serve two-thirds of their sentence, which would amount to two years and eight months for Grasser.

Potential for Early Release

Under ideal circumstances,Grasser’s sentence could be reduced to half,or two years. Moreover,he could perhaps be released a year early in exchange for a daily payment (currently €22). If this occurs,he would spend approximately one year in prison,likely at the Innsbruck (Zieglstadl) facility,given his residence in Kitzbühel.

Appeal to the European Court of Human Rights

Grasser and ex-lobbyist Walter Meischberger,who received a three-and-a-half-year sentence,have announced their intention to appeal to the European Court of Human Rights (ECHR). While this appeal will not immediately halt the proceedings, a ruling in their favor by the ECHR could result in Austria being obligated to pay compensation.

Compensation to the Republic

The OGH has directed private parties to pursue civil claims. The court upheld the Republic of Austria’s claims for damages against Grasser and meischberger (€9.8 million), Petrikovics (€9.6 million), and another defendant (€4.8 million).