Political drumbeat

Thomas Schmid gets crown witness status!

Around two years have passed, but now the political bombshell has been confirmed. Thomas Schmid has been granted key witness status in connection with the allegations surrounding former Chancellor Sebastian Kurz (ÖVP). This could now influence further proceedings against high-ranking politicians.

The Economic and Corruption Prosecutor's Office (WKStA) has granted Thomas Schmid leniency in the so-called Casag proceedings. A corresponding project report was approved by the Chief Public Prosecutor's Office and the Ministry of Justice, the WKStA announced on Thursday.

Must now make partial restitution
Schmid must continue to contribute to the investigation and pay a fine of 60,000 euros as well as partial restitution of 200,000 euros. If he fulfills these obligations, the criminal proceedings against him will be dropped.

The former Secretary General of the Ministry of Finance and ex-head of ÖBAG plays a central role in several corruption proceedings surrounding former Chancellor Sebastian Kurz.

High-ranking ÖVP politicians heavily implicated
Schmid has already made extensive confessions to the investigating committee in the trial concerning alleged false testimony by Kurz and has heavily incriminated prominent ÖVP politicians, including the former chancellor.

His testimony is particularly explosive, according to which he initiated the so-called "Beinschab tool" to manipulate polls on Kurz's instructions. This affair also involves suspected corruption, financed with taxpayers' money.

Status brings reduced sentence
It was clear early on in the trial that Schmid was likely to seek crown witness status. At the time, he cited his mother, who had made it clear to him that he should come clean about the allegations. Now that he has been granted this status, he will subsequently be granted a reduced sentence, as his previous statements have been deemed comprehensive and credible.

How to become a leniency applicant

In order to be granted leniency in proceedings, a potential leniency applicant must voluntarily approach the public prosecutor's office and make a remorseful confession about their contribution to the crime.

In addition, he must "disclose new facts or evidence, knowledge of which will make a significant contribution to the comprehensive investigation of criminal offenses beyond his own contribution to the crime". There is no direct legal remedy against the granting of this status.

Schmid's statements have already led to a non-appealable guilty verdict against Kurz for false testimony in the U Committee. The latter had most recently attempted to demonstrate by means of statements that Schmid had invented several facts or provided false information.

The Economic and Corruption Prosecutor's Office (WKStA) had already ruled on this for some time, but the Ministry of Justice had not yet given its sanction.

Lawyer sees the "rule of law" proven
His lawyer Roland Kier expressed his satisfaction in a press release: "The rule of law is serious about fighting corruption. Government crime is also effectively prosecuted in Austria and cooperation with the prosecution authorities is appreciated." He therefore also sees the approval of leniency as "proof of the rule of law".

Investigations have also been discontinued
It was only recently announced that investigations against the former Secretary General of the Ministry of Finance on suspicion of giving false evidence had been discontinued or dropped in further proceedings due to a lack of initial suspicion. 

The result of the investigation showed that the statements made by Schmid before the parliamentary committee were in part objectively correct and in part incomplete, as he had made use of his legal right to refrain from testifying as a defendant in a corresponding investigation. The investigations therefore had to be discontinued.