Novomatic owner and former Ainsworth CEO charged in Austrian bribery case
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- Austrian prosecutors have filed bribery charges against Novomatic owner Johann Graf and former CEO Harald Neumann over an alleged scheme to appoint a politically affiliated board member at Casinos Austria.
- Former Vice Chancellor Heinz-Christian Strache is charged with accepting advantages in his official capacity.
- The charges carry a maximum penalty of two years’ imprisonment and prosecutors have also requested a corporate fine against Novomatic.
Austria’s Public Prosecutor’s Office for Economic Affairs and Corruption (WKStA) has filed formal bribery charges against Johann Graf, owner of gaming technology giant Novomatic, and Harald Neumann, the company’s former CEO.
The charges escalate a corruption investigation that has shadowed Austria’s political and gambling establishment since 2019.
Former Vice Chancellor Heinz-Christian Strache, who led the far-right Freedom Party of Austria (FPÖ), is charged alongside them. The maximum penalty under Austrian law is two years’ imprisonment. Prosecutors have also requested a corporate fine against Novomatic under Austria’s Association Liability Act.
The Casinos Austria appointment
The case centres on the 2019 appointment of Peter Sidlo, an FPÖ-affiliated politician, to the board of Casinos Austria. Prosecutors allege that Strache demanded that Novomatic nominate Sidlo; not based on professional qualifications, but because of his political alignment with the FPÖ.
In exchange, the WKStA contends, Strache signalled he would use his government position to advance Novomatic’s interests. This allegedly included introducing favourable legislation, exercising voting rights in the Council of Ministers, and participating in policy negotiations.
Novomatic held a 17.2% stake in Casinos Austria at the time and exercised nomination and voting rights as a shareholder. Prosecutors argue that Graf and Neumann used this influence to facilitate the arrangement.
The WKStA stated that Strache allegedly accepted the possibility of being influenced in his official activities through the appointment of his preferred candidate. It added:
“The two Novomatic executives allegedly acted with at least conditional intent to influence Strache in his activities as a public official through the described conduct.”
Seven years in the making
The investigation originated in the aftermath of Austria’s Ibiza affair, a secretly recorded video showing Strache allegedly offering public contracts in exchange for media support. That scandal brought down the ÖVP-FPÖ coalition government and triggered parallel probes into suspected bribery and political financing involving Novomatic.
At its peak, the investigation covered more than 100 individuals. Over the years, prosecutors discontinued most strands after finding insufficient evidence. The WKStA completed its investigation in spring 2024 and forwarded a report to the Vienna Higher Regional Prosecutor’s Office.
Despite the WKStA’s earlier indication that it intended to discontinue the final allegation, the Justice Ministry directed the case to proceed. The indictment was served around 26–27 February 2026, relating to the one remaining allegation, which is the Casinos Austria board appointment.
Novomatic said it was surprised by the decision to proceed, noting that no new evidence had emerged.
Alexandra Lindlbauer, Novomatic spokesperson, said:
“Novomatic has consistently rejected all allegations as untrue from the very beginning. Of the originally numerous accusations, all except this last allegation have already been proven to be unfounded during the course of the investigation and thus resulted in legally binding discontinuations. We are therefore convinced that this last remaining allegation will also prove to be groundless, and we welcome clarification by an independent court.”
Consequences for Ainsworth Game Technology
The charges carry direct implications for Ainsworth Game Technology, the Australian slot machine supplier in which Novomatic holds a 67.39% controlling stake. Neumann served as AGT’s CEO from October 2021 until his resignation in October 2025, after the Nevada Gaming Control Board declined to renew his state gaming licence.
AGT confirmed in a filing with the Australian Securities Exchange on 2 March that Novomatic had informed it of the prosecution. The company said it would keep the market informed of material developments and was alerting applicable regulators.
The timing compounds governance pressures at AGT. Novomatic’s recent attempt to take the Australian supplier private failed after the bid fell short of the 75% shareholder approval threshold. Minority shareholders led by Kjerulf Ainsworth, son of founder Len Ainsworth, blocked the bid and have publicly criticised AGT’s board for its handling of disclosures related to the investigation.
For regulators in jurisdictions where Novomatic holds licences, the charges add another layer of scrutiny to the company’s suitability assessments at a time when its governance record is already under the microscope.
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