In 1912, while selling "majblomma" charity pins, Kurt and another boy scout were granted an audience with King Gustaf V of Sweden.
While trying to escape prison in 1923 he fatally shot a police officer, being convicted of manslaughter after successfully convincing the court he was about to commit suicide and hit the policeman by accident.
Being a convicted criminal, he could not acquire a license needed to sell wine and liquor, which severely set back his business.
Fearing the allegations would become public knowledge, officials of the Royal Court convinced the couple to settle for an amicable no-fault divorce and separation by paying Anna Haijby 15,000 kronor.
For several years, money from the Court financed a number of Haijby's failed enterprises, including a coffee store and a boarding house at the Trystorp estate.
In 1939, a new deal was arranged in which Haijby was forced to emigrate to Germany, then under rule by the Nazis, who engaged in intense suppression of homosexual conduct.
After a short while in Berlin, he was put in prison by the Gestapo, probably by request of the Swedish Court, officially after molesting a hotel bellboy.
In the meantime, another scandal, the Kejne affair, had broken in the press where celebrity author and journalist Vilhelm Moberg wrote lengthy articles about homosexual conspiracies among Swedish officials.
These papers were immediately classified but were smuggled out of the Attorney General's office by Vilhelm Moberg, and the whole affair thus came to public attention.
However, the fact that the Swedish Court was prepared to pay Haijby such large sums to suppress his accusations has by some[citation needed] been taken as evidence that they were true.