By V. E. K. Madhushani, Jadetimes News
Citizen's Committee Decides Distribution of Heiress's Fortune
A citizen's group has determined the allocation of the fortune inherited by Austro German heiress Marlene Engelhorn. Earlier this year, Engelhorn assembled a group of 50 individuals to decide the distribution of millions she inherited from her grandmother.
The group decided that the funds will be distributed to 77 organizations, including social, climate, and prominent left wing groups. Engelhorn, 32, gained media attention in January when she announced her decision to give away €25 million (£21 million), which constitutes the majority of her inheritance.
As a descendant of Friedrich Engelhorn, the founder of the major German chemical and pharmaceutical company BASF, Engelhorn is a vocal advocate for wealth redistribution. To align with her principles, she appointed a panel, selected by a pollster to be representative of Austrian society, to determine the fate of her inheritance.
From March to June, the group convened for six weekends in Salzburg to deliberate on the allocation of the funds. They decided to distribute the money to 77 different organizations, charities, and think tanks addressing a range of issues, including environmental protection, education, integration, health, social issues, poverty, homelessness, and affordable housing in Austria.
The smallest donation, €40,000 (£33,400), will support data based reporting on climate change, while the largest, €1.6 million, will go to the Austrian Nature Conservation Federation. Other significant allocations include €1 million each to the Momentum Institute, a left wing think tank, and Attac Austria, an organization opposing neoliberal economic policies and deregulated financial markets. Religious charities, such as projects by the Catholic aid organization Caritas, are also among the beneficiaries.
The group announced that most of the funds would be distributed over several years. Seventeen year old student Kyrillos Gadalla from Vienna, the youngest panel participant, remarked that he had "learnt a lot" from the experience.
In a statement, Engelhorn expressed her satisfaction: "A large part of my inherited wealth, which elevated me to a position of power simply by virtue of my birth, contradicting every democratic principle, has now been redistributed in accordance with democratic values.”
Engelhorn inherited millions after her grandmother, Traudl Engelhorn Vechiatto, passed away in September 2022. Traudl Engelhorn Vechiatto's wealth was estimated by Forbes at $4.2 billion (£3.3 billion; €3.8 billion).
Even before her grandmother's death, Engelhorn had declared her intention to distribute much of her inheritance. While the exact amount she retains is undisclosed, in 2021, Engelhorn stated her goal to give away at least 90% of her wealth, as she had done nothing to earn it and merely benefited from a "birth lottery".
Engelhorn has also advocated for the reinstatement of inheritance tax in Austria. Austria abolished inheritance tax in 2008, becoming one of a few European countries without inheritance tax or death duties.