Amber Gold 'parabank' chief to remain in custody

The district court in Gdansk, northern Poland, heeded recommendations from a prosecutor's office in Lodz that the suspect was capable of “foul play” if released on bail.

Marcin P. (full name withheld under Polish privacy laws), was originally arrested on 30 August, three weeks after he declared the company to be bankrupt. Amber Gold promised high returns on investments in gold.

The director faces seven charges, including conducting banking operations without a license, and fraud.

According to the Gdansk court, as many as 15,000 former clients of Amber Gold claim to be owed money by the company.

Clients have until the 25 December to file their claims, and it has been estimated that the company could face claims of up to 700 million zloty (170.5 million euro) in total.

Meanwhile, assets of Amber Gold went up for sale in Gdansk on Monday, with a three-day auction offering some 134 vehicles, including cars and minibuses, to bidders.

Among the 22 vehicles sold on Monday was a BMW 740, once driven by Marcin P.

The car went under the hammer for 318,800 zloty (77,450 euro), almost 100,000 zloty over the original asking price.

Another auction is due to be held on 7 December, including iPods, modems and other gadgets. (nh)