BL launches internal review after sales director questioned by police

Icelandic car importer BL is conducting an extensive review and internal audit after its sales director was questioned by police in connection with a case involving serious drug offences and money laundering, mbl.is reports.

Sources told mbl.is that the director’s business dealings had attracted attention in the car market. They said he had arranged for trade-in vehicles from BL to be transferred to other parties in the industry and had personally received payments from those transactions.

BL chief executive Erna Gísladóttir said in a written response to mbl.is that the company could not comment further while its review and the police investigation were under way. The company had previously said it was not involved in the case and had no more information about it than had been reported in the media.

BL said last week that the director had been temporarily relieved of his duties until more was known and the company could decide what further steps to take. The company was also asked whether it knew of or had approved the transactions, and whether it had reviewed them since the director was questioned.

Seventeen people were arrested during police operations in the capital area last Tuesday, including searches at several locations. Six were remanded in custody. The sales director was not among them and was released after questioning. Three of the six were released on Friday, and the detention of the other three was extended. One of those was released yesterday; two remain in custody until Friday.

Ævar Pálmi Pálmason, an assistant chief superintendent with the capital area police, told mbl.is that the number of people still in custody did not indicate that the investigation had gone off track. He said police were satisfied with the information gathered in questioning and that detention was a coercive measure that had to be used carefully.