Czech Prime Minister Andrej Babiš is the only serving head of government in the EU that has ever been subject to the investigation by EU’s Anti-Fraud Office (OLAF). Czech daily newspaper Hospodářské noviny has obtained the complete report by OLAF on the investigation into the Farma Čapí hnízdo (Stork Nest Farm) case of an alleged subsidy fraud and damage to the EU financial interests by Babiš.
Hospodářské noviny published the translation of the complete report on its website www.ihned.cz. In order to protect its source who asked to remain anonymous, the paper isn’t publishing the report is its original English version.
The OLAF writes in conclusion that the Czech and EU laws were violated in the case and that the European Commission has the right to deny financial support for the Capi hnizdo farm and conference centre, previously owned by Babis's concern Agrofert. The subsidy for Capi hnizdo amounted to 50 million crowns, 85 percent of which, or 42.5 million /€1.6 million/, could have been claimed from European funds.
The OLAF recommends that the EU Directorate-General for Regional and Urban Policy (DG REGIO) secures the withdrawal of this sum from European funding due to the violation of rules.
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23rd January 2019
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