Thousands of investors could be affected by the scandal over the Hessian investment company PIM Gold. The company and the associated distribution company Premium Gold Germany would have filed for bankruptcy at the district court Offenbach, reported the mirror . PIM has lured investors in recent years with gold investments. With the customer money the enterprise wants to have acquired 3.38 tons of the precious metal with a market value of at present approximately 150 million euro.

The prosecution Darmstadt has the suspicion that a large part of the gold does not exist and the PIM managers have operated a pyramid scheme. It raided company premises in early September, froze PIM Gold accounts, and arrested the CEO. PIM was not available for comment, the report says.

The firm had promised investors returns of three percent and more if they stored the gold, which most did. The interest should be generated through trading. Sales were made via customers who paid commission for their services. The syndicate lawyer Mirco Lehr of the Frankfurt legal questions platform Qthority assumes that in approximately 10,000 investors could be affected.