Mattias Rutgersson, former head of Sweden Yachts Group (SYG) has been handed a one year prison sentence by the Criminal Division of Sweden’s Uddevalla District Court after misappropriating company funds.
Rutgersson was also banned from practicing his profession for three years and ordered to pay substantial fines for ‘serious tax evasion.’
According to a report in YACHT, the court case brings to an end ‘one of the most brazen cases of insolvency delay in international boatbuilding in recent years’.
Rutgersson had cheated yacht buyers out of advance payments totaling more than four million euros for a number of years.
The two biggest losers were a German boat buyer, a doctor from North Rhine-Westphalia, and the Swedish tax authorities.
Financing shortfalls
SYG customers had contributed hundreds of thousands of euros during the coronavirus pandemic to enable the continued construction of their boats.
However, Rutgersson actually used the funds to bridge other financing shortfalls including his own tax liabilities.
The doctor is thought to have transferred €522,000 in installments to SYG, with the final installmen due when his yacht was handed over. He was left with a nearly empty GRP hull when the boatbuilder went bankrupt.
Rutgersson was able to maintain the scheme until autumn 2023 due to the good reputation of the Orust boat builders, his trustworthy demeanor, and the good faith of the owners before the scam was exposed and SYG went bankrupt.
€4.8 million debts
The boatbuilder is reported to have had debts of SEK 53 million (approximately €4.8 million).
Originally known as Sweden Boats, the company’s origins date back to 1976. To start, the company concentrated on custom built yachts, later switching focus to production sailing yachts and rebranding as Sweden Yachts.
At its peak the shipyard produced around 25 hulls a year.
The shipyard was previously declared bankrupt in 2008, however there was a revival of production in 2018 under the Sweden Yachts Group name, which also included Malö Yachts, CR Yachts, and Regina Yachts.
CR Yachts and Regina Yachts moved their production and employees to the Malö shipyard at Kungsviken, Orust, where Sweden Yachts were also produced.
.){kind=link}