European Interest

The return of Stork Nest EU subsidy

Flickr/NATO/CC BY-NC-ND 2.0
Czech Prime Minister Andrej Babis, his wife Monika Babisova, brother-in-law Martin Herodes and Babis' two adult children, as well as two others face prosecution over the suspected fraudulent drawing of the subsidy for the Stork Nest project.

The Imoba firm – the successor of the recipient of a subsidy granted to the Capi hnizdo (Stork Nest) project, over which PM Andrej Babis and others face prosecution – has been ordered by the Central Bohemia office to return the 50m crown subsidy voluntarily.

The Central Bohemia office issued a press release announcing that it sent this request to Imoba on May 4. Imoba, a part of the giant Agrofert Holding, should return the money in 30 days.

“On May 4, 2018, the Office of the Regional Council of the Central Bohemia Cohesion Region sent a call for a voluntary return of the subsidy to the company that is the successor of the original recipient of the subsidy designed for the ‘Capi hnizdo Multifunctional congress centre’ project,” the office wrote in the press release.

As reported by the Prague Daily Monitor, the office’s spokeswoman Klara Fronkova confirmed for CTK that the request had been sent to Imoba.

Meanwhile, Agrofert spokesman Karel Hanzelka told CTK that Imoba has received the request. At present, the request is studied by lawyers and it will be discussed by the Imoba board of directors.

“We will comment on it afterwards,” Hanzelka said.

He said Agrofert insists that the subsidy was drawn in accordance with law, which several checks, made by various authorities, confirmed.

Czech Prime Minister Andrej Babis, his wife Monika Babisova, brother-in-law Martin Herodes and Babis’ two adult children, as well as two others face prosecution over the suspected fraudulent drawing of the subsidy for the Stork Nest project. Babis has repeatedly dismissed any wrongdoing.

Explore more