Three charged with fraud involving €4.1 million subsidy for innovative toast bread project
The European Public Prosecutor's Office in Prague has brought charges against two individuals and one company for fraud involving a €4.1 million subsidy for a project involving a production line for new types of toast bread.
Three charged with fraud involving €4.1 million subsidy for innovative toast bread project
The European Public Prosecutor's Office (EPPO) in Prague has filed charges today with the Regional Court in Prague against two individuals and one company in connection with fraud involving a subsidy worth €4.1 million (100 million crowns).
The charges relate to a project which was intended to include an innovative production line for new types of toast bread. According to the prosecution, the defendants submitted false information and concealed material facts in order to obtain European funds from the Business and Innovation for Competitiveness programme, which was administered by the Czech Ministry of Industry and Trade.
The ministry paid out the subsidy in full from the national budget. Subsequently, however, the European Commission conducted an audit, following which the funds were returned as ineligible for payment. The state thus suffered damage worth €4.1 million.
If convicted, the two individuals face imprisonment of between five and ten years. They may also receive fines of up to €20,000 and €41,000 respectively, and a five-year ban on subsidy receipt.
The company, if found guilty, could be required to pay compensation of approximately €4.1 million. It also faces a fine of up to €2 million and a fifteen-year ban on receiving subsidies.
During the EPPO investigation, assets of the company were seized, including real estate, as compensation for the damage caused.
All defendants are considered innocent until their guilt is proven by the appropriate Czech courts.
Source: European Public Prosecutor's Office
Source: Google News UK — Crime (en)