Utz Claassen, former executive of Syntellix, envisioned transforming his company into a leader in medical implants using a unique magnesium alloy. However, the COVID-19 pandemic severely impacted revenue, leading to missed payroll and legal issues with employees claiming unpaid salaries. Claassen faces accusations of mismanagement and has struggled to provide financial transparency, resulting in a public prosecutor’s investigation. Amidst these challenges, he continues to assert his innocence while the company’s future remains uncertain.
Utz Claassen’s Ambitious Vision for Syntellix
Utz Claassen, a once-renowned executive, had grand aspirations for his implant company, Syntellix, aiming to establish it as a global leader in the medical industry. Unfortunately, his journey has been marred by challenges, and now an investigation by the public prosecutor’s office looms over his endeavors.
Claassen’s impressive career began with an exceptional academic record, graduating high school at just 17 with a remarkable average of 0.7. His professional trajectory saw him serving as a board member at Seat, leading Sartorius in the pharmaceutical sector, and restructuring the energy powerhouse EnBW. His political and business connections run deep, and he has also acted as a consultant for the federal government.
With Syntellix, Claassen aimed to replicate the success of iconic brands like ‘Tesa’ or ‘Tempo’, but within the realm of medical implants. The company specializes in implants crafted from a unique magnesium alloy that gradually integrates into bone, eliminating the need for costly follow-up surgeries. Esteemed investors, including former Deutsche Bank board member Jürgen Fitschen and multi-entrepreneur Rolf Elgeti, have poured millions into this vision.
The Downfall Amidst a Global Crisis
Claassen’s troubles began around the onset of the COVID-19 pandemic, which led to a significant decline in surgeries and consequently, a sharp drop in Syntellix’s revenues. As financial strain intensified, delays in employee salary payments became apparent, with records from Panorama 3 and Süddeutsche Zeitung revealing that Claassen failed to meet his payroll obligations.
As he prioritized payments to select suppliers, employees faced increasing delays in receiving salaries, with some payments ceasing altogether. A former employee shared, “We realized that Syntellix couldn’t meet its obligations in the upcoming weeks, and if nothing changed, insolvency was inevitable.”
Frustrated by their circumstances, a group of employees filed a lawsuit in the Hanover District Court in 2022, claiming approximately 1.3 million euros in owed salaries, health insurance contributions, and unpaid invoices. Although they won their case, Claassen’s failure to comply with payment orders raised further concerns.
In response to his absence from enforcement hearings, Claassen claimed illness, a defense not accepted by the district court, which subsequently issued arrest warrants against him. However, Claassen’s departure from Germany complicated matters, leading to difficulties in enforcement across international borders.
Despite Claassen’s claims of successful operations in Singapore and agreement on salary deferrals with employees, he has faced accusations of mismanagement and financial distress. He has characterized the situation as a ‘liquidity sacrifice’ and described the allegations against him as unfounded, portraying himself as a victim of a smear campaign.
As the legal proceedings unfold, the Hanover District Court emphasizes the necessity for Claassen to disclose Syntellix’s financials, a request he has repeatedly ignored. Without his cooperation, the court’s ability to assist creditors, including employees awaiting their salaries, is severely hampered.
In the meantime, Syntellix has not released any financial data for several years and has not convened any shareholder meetings. Prominent investors have remained silent regarding their involvement, and the public prosecutor’s office in Hanover continues its investigation into the company’s financial practices. Amid these challenges, Claassen announced a relocation to ‘larger and more modern premises,’ but the new address revealed itself to be a small, unremarkable office space, raising questions about the company’s future.