On day two of testimony in the first of a number of criminal cases against Austrian real estate developer Rene Benko, the court quickly moved to sentencing.

The 48-year-old ex-billionaire was found guilty by the Innsbruck State Court of having defrauded investors out of large sums of cash — €660,000 ($698,000) in this instance — €300,000 of which he reportedly attempted to shield by "gifting" it to his mother. 

He was found not guilty in connection to the remaing €360,000, which he used to rent a luxury villa.

Prosecutors accused Benko of seeking to diminish his creditors' claims by transferring funds tied up in his bankruptcy into other private accounts. The accused had pleaded innocent to the charges and refused to answer further questions before the court.

Benko was sentenced to two years in prison.

What are the charges?

Benko is facing numerous commercial and personal bankruptcy charges.

In all, he has 14 cases pending. Most charges against the former tycoon revolve around fraud and breach of trust.

Benko amassed large sums of money with his company Signa — a conglomerate of more than 1,130 opaquely arranged companies founded in 2000 — until low interest rates sent the behemoth into a financial tailspin that ultimately resulted in bankruptcy.

Edited by: Wesley Rahn