Defense in Cases Involving Section 266a of the German Criminal Code (StGB): Withholding of Wages

The charge under Section 266a of the German Criminal Code (StGB): What does this mean for you?

You have received a letter from customs, the police, or the public prosecutor’s office accusing you of an offense under Section 266a of the Criminal Code (StGB). Specifically, this means that the authorities are accusing you, as an employer, of failing to pay social security contributions for your employees to the relevant funds (health, pension, long-term care, and unemployment insurance) or of paying them in an incorrect amount.

This allegation is at the heart of “White-Collar Crime Law for Small and Medium-Sized Businesses” and hits the construction industry particularly hard. It often stems from the use of subcontractors, the hiring of temporary workers, or ambiguities in payroll processing. Important to know: Ignorance is no defense. Even conditional intent—that is, “willingly accepting” an incorrect payment—is sufficient to establish criminal liability.

The consequences can be life-threatening

A criminal investigation under Section 266a of the German Criminal Code (StGB) is no trivial matter. The potential consequences could ruin your company and your personal future:

• Heavy fines or prison terms: The law provides for a prison term of up to 5 years (up to 10 years in particularly serious cases) or substantial fines.
• Devastating Retroactive Claims: Social security agencies demand payment of unpaid contributions for up to four years retroactively—including hefty late fees. These amounts can quickly reach six or seven figures.
• Exclusion from Public Contracts: A conviction generally results in an entry in the competition registry and excludes you from public construction projects for years.
• Revocation of Business License & Personal Liability: As a managing director, you risk having your business license revoked and may be held personally liable with your private assets.

Our Defense Strategy: Your Path Out of the Crisis

There is no one-size-fits-all defense. We analyze the allegations and the evidence in detail and develop a tailored strategy for your case. Our approaches are proven and effective:

1. Assessing Intent: Can investigators truly prove that you acted intentionally? We uncover inconsistencies and argue why you were justified in relying on the correctness of the procedures.
2. Correcting Damage Calculations: Customs authorities and prosecutors tend to rely on blanket estimates, which often result in inflated damage amounts. We meticulously review the calculations, correct errors, and thereby significantly reduce the potential amount of fines and back taxes.
3. Analysis of Employment Relationships: We focus in particular on distinguishing between genuine self-employment and bogus self-employment, as well as on complex subcontracting chains, and refute allegations of a dependent employment relationship.
4. Settlement of Proceedings Through Negotiation: Our goal is always to achieve a quiet and swift settlement of the proceedings—often in exchange for a monetary payment and without a public trial. We negotiate directly with the public prosecutor’s office and social security agencies.

KNOWN FROM:

BUSINESS WEEK 2026 | Top Law Firm in White-Collar Crime

F.A.Z. INSTITUTE 2026 I Recommended Attorney

HANDELSBLATT 2025 | Germany's Best Lawyers in Criminal Tax Law

FOCUS BUSINESS 2025 | Germany's Top Criminal Defense Attorneys