European Court in Czech Republic: Three Individuals and Three Companies Convicted of Multi-Million Euro Funding Fraud 💥
The European Public Prosecutor’s Office (EPPO) in Zlín, Czech Republic, unearthed a multi-million euro EU funding fraud case on [date], resulting in the conviction of three individuals and three companies for a total of €3 million in false claims.
The Fraudulent EU Funding Scheme ❌
The intricate scheme, masterminded by the primary defendant, involved two applications for payment totaling €1.8 million from the Czech Ministry of Industry and Trade (MIT) for a project that was entirely financed by the European Union’s Structural Fund. The details of the case, as presented in court documents, reveal:
- Two applications for payment, each totaling €900,000, were submitted to the Czech Ministry of Industry and Trade.
- The prices of the machinery allegedly required for the new technological centre expansion were artificially inflated.
- Falsified documents were submitted as evidence.
Expanding the Investigation 🔍
The investigation did not end there. The intelligence gathered indicated that two other individuals and two companies had reportedly aided the primary defendant in obtaining the EU funds for the technological centre expansion. All six suspects confessed to their involvement and have agreed to pay damages amounting to €1.8 million and €1.2 million in fines, respectively.
Court Decision and Sentencing 🔓
The Olomouc branch of the Regional Court of Ostrava approved the plea agreements and handed down sentences. The individuals were given sentences between one and three years in prison with probation, while the companies were fined between €12,000 and €200,000. Furthermore:
- The primary defendant and his company were banned from applying for subsidies for a period of eight and ten years, respectively.
EPPO’s Zero-Tolerance Policy Against Fraud 🛡️
The European Delegated Prosecutor, who led the investigation, commented, “The EPPO takes a zero-tolerance policy toward any misappropriation of funds from the Union’s budget. Our team in Zlín acted swiftly and transparently to uncover this fraud, bringing those involved to justice.”
About European Public Prosecutor’s Office (EPPO) 🌍
The European Public Prosecutor’s Office is an independent public prosecution office of the European Union, responsible for investigating, prosecuting, and bringing to judgement crimes against the financial interests of the EU.