The RCMP in Montreal says it has finally located Wolfgang Stolzenberg. Police have been looking for him since 1993. He's now 60 years old and police say, living in Germany. Stolzenberg is the former president of Castor Holdings. The RCMP says he defrauded Canadian and European residents out of hundreds of millions of dollars.
A 50 thousand page police report calls the former Montrealer a con man who bilked the money from from big Canadian companies, several European banks, and more than a hundred Canadian residents
"I think he was one of the major con artists. If the charges are proven, it will establish that he was really good at it," says Inspector Yves Roussel of the RCMP.
In the 80's Stolzenberg ran Castor Holdings, the company that financed the construction of the Montreal Eaton Centre. It made money through investments, promising clients interest rates higher than what banks were offering.
Stolzenberg maintained the company was on secure financial ground. But in 1992 Castor declared bankrupcy. Hundreds of millions of its clients' money was gone. "He embellished the financial portrait of the company by saying it was a high profit company and at the same time he was hiding some information," according to Roussel.
Lawyer Leonard Flanz represents more than 20 clients of Castor holdings in a civil suit against Coopers and Lybrand, the accounting firm who audited castors books. "The claims total close to a billion dollars with capital and interest."
The suit alleges various acts of negligence on the part of Coopers and Lybrand. It includes allegations of corruption on the part of a senior partner in charge of the Castor audit.
Flanz says the whole thing was masterminded by Stolzenberg.
Stolenzenberg is now living in Germany. The RCMP has contacted his relatives and is trying to get him to surrender to Canadian police. If that doesn't work the RCMP says it will try to get an international arrest warrant and bring Stolzenberg back to Canada.