German platinum refiner Heraeus systematically understated precious metal concentrations in processed materials for over 450 customers worldwide from 2015 to 2025, according to an independent investigation by CMS Hasche Sigle. The practice, described as "legally highly questionable," involved reducing test results to lower payments owed to customers after processing. The company has set aside €170 million to cover potential fallout, adding to earlier provisions of €460 million related to allegations of unlawful retention of metal during processing.
Prosecutors are investigating 16 current and former employees for fraud and embezzlement. Former CEO Jan Rinnert left the company just before the matter was reported to authorities in 2025 and is among the suspects. The manipulation initially relied on subjective manual adjustments recorded in Excel spreadsheets, later replaced by a statistically based "Risk Mitigation" system approved by Clifford Chance, though manual deductions continued for some customers.
Heraeus CEO Frank Stietz stated the company is negotiating individual settlements and has not lost any customer relationships.
Source: Financial Times Markets · Summarized by HeadlinesBriefing