Gero Strauß in court over fraud allegations: Trial of the former head of the Kopfzentrum

He has been under investigation by the judicial authorities for some time, and must now answer charges at Leipzig Regional Court: the prosecution accuses the well-known ENT specialist, Prof. Gero Strauß, of serious fraud, breach of trust and making a false statutory declaration. Among other things, the 54-year-old is alleged to have used loans ostensibly intended for investment to finance his luxurious lifestyle.

On Tuesday morning at the Leipzig Regional Court, Public Prosecutor Silke Kühlborn took a very long time to read out her extensive indictment. She alleges that Gero Strauß is guilty of eight counts of serious fraud, in addition to 57 counts of breach of trust and making a false declaration under oath.

Investors deceived? Prosecution estimates losses at around 1.5 million euros

According to the indictment, between the end of February and the end of June 2022 – at a time when he was still managing partner and medical director of the Kopfzentrum Group – he sold shares and, in doing so, also entered into seven loan agreements with the other party. The medical empire, which specialises in the diagnosis and treatment of disorders of the head, nervous and sensory systems, had run into difficulties at that time.

However, Strauß is alleged not to have used the money received from investors to acquire medical practices or invest in technology, as suggested, but rather for private purposes to finance his lavish lifestyle. The prosecution estimates the total loss in this case to be more than 1,480,000 euros.

Did he rent a luxury flat and conceal his financial circumstances?

And this substantial sum is said not to have been the end of it. According to the indictment, funds were transferred from the company’s accounts in 57 transactions which Strauß is alleged to have arranged in his capacity as managing director of the Kopfzentrum Group. These funds are said to have been spent on items such as private jet flights, club memberships, luxury flats and hospitality. The alleged loss here amounts to around 214,500 euros.

Following his dismissal, Strauß is alleged to have rented a flat in Berlin for more than 5,700 euros a month in mid-January 2023, whilst falsely claiming to be willing and able to pay. However, according to the public prosecutor’s office, the landlady was ultimately left out of pocket by more than 51,000 euros: Strauß is said to have paid the rent for the 180-square-metre flat in Charlottenburg-Wilmersdorf only in small, sporadic instalments, leaving a total of 40,000 euros outstanding by September 2023. On 14 February 2024, the property was evicted.

On 22 December 2023, the renowned professor had also finally provided incomplete information about his financial situation to the Leipzig tax office, concealing, amongst other things, foreign bank accounts and his co-ownership of a property.

Further proceedings are pending

The leading medical specialist, who is now reportedly practising in the capital, appeared at the start of the trial on Tuesday showing no outward emotion; he appeared stiff and nervous. According to his defence lawyer, Christian Schößling, the defendant did not initially wish to comment on the allegations against him. The lawyer referred to his client’s poor health, which is to be further substantiated by a medical certificate from the Charité in Berlin. It is said that this could also affect the 54-year-old’s ability to stand trial.

Another case is currently pending against Prof. Strauß because, following his departure from the Kopfzentrum Group, he failed to return a company car and a flat. Whilst this relatively minor allegation would have been settled with a penalty order – against which Strauß, however, lodged an appeal – other allegations carry greater weight: Investigations are still ongoing into alleged billing fraud in connection with Kopfzentrum and Acqua-Klinik, which had already led to raids in October 2022.

Furthermore, Strauß’s name has also come up in connection with irregularities in the issuing of prescriptions, as well as expensive and unnecessary operations which patients are alleged to have been pressured into undergoing. The MDR had already reported on this several years ago. Strauß has denied these allegations.

Further hearings in the current trial at the Regional Court are scheduled until August.