site.btaEx-Finance Minister Djankov Charged in Case of Sale of State-Owned Stake in EVN

Ex-Finance Minister Djankov Charged in Case of Sale of State-Owned Stake in EVN

Sofia, January 13 (BTA) - Former Bulgarian finance minister Simeon Djankov has been constituted as a party accused of malfeasance in office in connection with the privatization of a 33 per cent residual state-owned shareholding in the EVN electricity distribution company in 2011, the Sofia City Prosecution Office said in a press release on Friday.

Former economy, energy and tourism minister Traicho Traikov and businessman Ivo Prokopiev have also been charged in the same pre-trial proceeding.

According to the prosecution case, in May-June 2011, abetted by Prokopiev, Djankov exceeded his authority and rights for the purpose of obtaining a benefit of 1,276,618.85 leva for Bulbrokers EAD (the investment intermediary that handled the privatization sale and that is owned by Prokopiev).

By unlawfully ordering the Executive Director of the Privatization and Post-privatization Control Agency to assign the appraisal of the shares to Bulbrokers instead of to an independent appraiser, Djankov allegedly aided the intermediary (which, in conflict of interest, also represented the prospective buyer, EVN AG Austria) to understate the share price and, as a result, the Exchequer sustained a detriment of 20,829,200 leva.

Djankov was to be charged back in December 2016 together with Traikov, but then he could not be located at his present address in Bulgaria to be served with the warrant, and prosecutors said they would put him on a national wanted list. Even on the same day, the ex-finance minister contacted the prosecution office and they fixed January 18 as the date on which he would present himself. Djankov, though, surprisingly appeared at the Sofia Investigation Service several days earlier than arranged.

He was released on his own recognizance.