Face some complications: State seeks repayment of 130 million Corona relief funds
In the wake of the COVID-19 pandemic, the state of Schleswig-Holstein provided substantial financial aid to businesses, innkeepers, and self-employed individuals. However, as we approach five years since the pandemic began, there are still unpaid demands for repayment of Corona aid.
According to the latest figures, around 17,000 applications were made for so-called restart aid, primarily for solo self-employed individuals. Out of these, approximately 14,200 cases have been closed, but around 60 remain open. Around 175 of these cases have been transferred to another public prosecutor's office.
As of 31 July, there were still demands for repayment of 84 million euros in the area of Corona immediate aid in Schleswig-Holstein. In total, 467 million euros were paid out as immediate aid in the region, with 412 million coming from the federal program. An additional 36.7 million euros were paid out, and 47.5 million euros were demanded.
However, not all aid was repaid. Around 169 million euros have already been repaid by the recipients, and around 13.2 million euros of the demands have been repaid. Unfortunately, in around 1,000 cases, recipients of restart aid did not submit the required final settlement.
The state must handle tax funds responsibly, according to Economics Minister Claus Ruhe Madsen. This includes reclaiming aid if it is too high or unfounded. Madsen stated that Corona aid was intended to quickly and unbureaucratically cushion pandemic effects, and that overpaid aid would be reclaimed.
The Public Prosecutor's Office in Kiel initiated around 350 proceedings for suspected subsidy fraud between 2020 and 2025. The damages from each case of suspected subsidy fraud typically range between 1,000 and 18,000 euros.
It's important to note that there is no publicly available detailed data specifying which companies or self-employed individuals in Schleswig-Holstein still have unpaid Corona aid demands, the total amounts outstanding, or precise repayment expectations. The last deadline for final settlement of such Corona economic aids in Schleswig-Holstein is September 30, 2024.
Investigations related to COVID-19 aid are still ongoing in some cases. As of now, around 1.8 billion euros were paid out as bridge, November, and December aid. Around 83 million euros were paid out as restart aid, but only around 9.8 million of the approximately 21.3 million euros demanded have been repaid so far.
Overall, while the majority of Corona aid has been repaid, there are still outstanding demands that the state is working to recover. The aim is to ensure that tax funds are handled responsibly and that aid is distributed appropriately.
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