FBI thanks French police for high-profile arrest of Luxembourg’s former top spy

Luxembourg City

AGENTS OF THE UNITED States Federal Bureau of Investigation visited the northeastern French city of Nancy last week, reportedly to thank its local police force for arresting a former senior officer in Luxembourg’s spy agency. The case is said to be connected to a notorious cyptocurrency-based fraud scheme, which some claim may be the largest in history.

Frank Schneider headed the operations directorate of the Service de Renseignement de l’État Luxembourgeois (SREL), Luxembourg’s intelligence agency. Although he left the service in 2008, his name came up frequently in the context of a spy scandal that eventually brought down Luxembourg’s prime minister, Jean-Claude Juncker. The former spy was eventually acquitted of illegal conduct in that case —but he now appears to be in legal trouble of a different kind.

According to reports, US authorities have been looking for a man referred to in French media as “Frank S.” in connection to a massive Ponzi scheme that allegedly involves OneCoin, a Bulgarian-based cyptocurrency firm. British newspaper The Times has described the scheme as “one of the biggest scams in history”. It is believed that the OneCoin scheme defrauded victims around the world of over $4 billion.

Schneider was reportedly arrested on April 29 in Audun-le-Tiche, a small town on the French-Luxembourg border and not far from the Belgian and German borders. His arrest took place pursuant to an international warrant, which was later confirmed to have been issued by authorities in New York. It was reported at the time that Schneider’s arrest involved the deployment of members of Brigade de recherche et d’intervention —France’s equivalent of the Special Weapons And Tactics (SWAT) teams in the US.

The former spy is currently being held in detention at the Nancy-Maxéville prison, and is highly likely to be extradited to the US. American authorities have until June 28 to submit a formal extradition request to the Nancy office of the prosecutor.

Author: Joseph Fitsanakis | Date: 14 June 2021 | Permalink

Luxembourg to further-probe Jean-Claude Juncker’s role in spy scandal

Jean-Claude JunckerA judge in Luxembourg has launched a criminal investigation into whether officials working for the country’s former Prime Minister and current European Commission President, Jean-Claude Juncker, tried to conceal his role in a spy scandal. Until he stepped down from his post in 2013, Juncker, a member of Luxembourg’s Christian Social People’s Party, was Europe’s longest-serving elected leader, having served as Prime Minister since 1995. His resignation from his post came after a parliamentary inquiry found that the country’s State Intelligence Service (SREL) had engaged in serious criminal activity.

The investigation was launched in 2012, after a local newspaper alleged that SREL’s Director, Marco Mille, employed a surreptitious recording device disguised as a watch to record a private conversation with Juncker. This led to revelations that the SREL had carried out countless illegal wiretaps around the country and that it maintained extensive secret files on over 13,000 citizens and residents of Luxembourg. The report also alleged that SREL set up a front company in order to facilitate the transfer of $10 million from a corrupt Russian businessman to a Spanish intelligence operative, as a personal favor to the Russian. The probe also examined, but did not confirm, allegations that the Grand Duke of Luxembourg had been a trusted informant of MI6, Britain’s Secret Intelligence Service. The release of the report prompted calls for Juncker to resign, because, according to Luxembourg law, the Prime Minister is directly responsible for the conduct of the country’s intelligence services, including SREL.

Now Judge Eric Schammo has launched a new criminal investigation into whether government officials working for Mr. Juncker deliberately falsified crucial evidence during the 2012 parliamentary investigation and the subsequent judicial investigation. Government prosecutors believe that a small group of officials falsified evidence in order to protect Mr. Juncker and shield him from any political fallout caused by the scandal. According to reports, former SREL Director Mille, who is currently on trial over his role in the spy affair, has in its possession a recording of a private conversation with Juncker. It is said that the recorded conversation shows that Juncker was aware of and approved the wiretap operation. This evidence was allegedly shared with members of the parliamentary inquiry in 2012. However, according to reports, pro-Juncker officials deleted it from the committee’s files. Juncker denies having had any knowledge of, or having authorized, SREL’s illegal activities.

Author: Joseph Fitsanakis | Date: 13 December 2017 | Permalink

Luxembourg government resigns following spy scandal

Jean-Claude JunckerBy JOSEPH FITSANAKIS | intelNews.org |
The prime minister of Luxembourg announced his intent to resign on Thursday, after a parliamentary investigation revealed scores of illegal operations conducted by the country’s intelligence service. Jean-Claude Juncker, a longtime member of Luxembourg’s Christian Social People’s Party, is Europe’s longest-serving elected leader, having been in power constantly since 1995. But on Wednesday, the astute center-right politician, who is also President of the Eurogroup —the eurozone’s finance ministers’ group— announced on Wednesday that he would step down, following seven hours of heated debate in the Luxembourg parliament. Juncker announced his intention to resign after the junior partner of his governing coalition, the Luxembourg Socialist Workers’ Party, which is the country’s second-largest, said it could no longer lend its support to the government. The reason is a parliamentary inquiry, which found that the country’s State Intelligence Service (SREL) has been engaging in serious criminal activity. The investigation was launched last year, after a local newspaper alleged that SREL’s Director, Marco Mille, had employed a surreptitious recording device disguised as a watch to record a private conversation with Prime Minister Junkcer. The parliamentary inquiry, which was released last week, found that SREL has been carrying out countless illegal wiretaps around the country and that it maintains detailed secret files on over 13,000 citizens and residents of Luxembourg. The report also alleges that SREL had set up a front company in order to facilitate the transfer of $10 million from a corrupt Russian businessman to a Spanish intelligence operative, as a personal favor to the Russian. The report did not confirm allegations, made in the country’s press, that the Grand Duke of Luxembourg has been a trusted informant of MI6, Britain’s Secret Intelligence Service. Read more of this post