site.btaEU Prosecutors Indict Contractor in EUR 4.5 Mln Fraud Involving Trolleybuses for Vratsa Municipality

The European Public Prosecutor’s Office (EPPO) in Bulgaria said on Tuesday that it has filed an indictment at the Sofia District Court against the manager and owner of a company, suspected of fraud in a public procurement procedure to acquire trolleybuses for the municipality of Vratsa, a project worth EUR 4.5 million. 

At issue is a public procurement procedure launched to purchase nine electric trolleybuses to be used for public transport in the municipality of Vratsa. The project was financed by the European Cohesion Fund, under the measures to reduce air pollution. The beneficiary of the project was the municipality of Vratsa and the municipal company responsible for public transportation, EPPO said.

During the public tender, the defendant declared that the trolleybuses originated from a Polish company, solely for the purpose of obtaining the contract.  

Based on the evidence, the company purchased the trolleybuses from a Belarusian state-owned company instead. This company was later subject to EU restrictive measures for supporting Russia's war against Ukraine, after the purchase had taken place. The Polish company went into liquidation shortly after the completion of the public procurement procedure, EPPO said. 

The investigation revealed that the trolleybuses were sold for nearly twice the initial acquisition price paid by the contractor, which constitutes a clear case of price inflation.

If found guilty, the suspects face two to eight years of imprisonment, as provided under Bulgarian law. 

This investigation was opened only after a private party alerted the EPPO, as none of the responsible national authorities has detected and reported it to the EPPO. In the course of this investigation, the European Delegated Prosecutor was also confronted with the unprecedented situation in which measures he requested, having been authorised by the Bulgarian Court, were only partially executed by the responsible police authority. This lack of cooperation demonstrates the added value of dedicated and specialised investigators in support of EPPO cases. 

All persons concerned are presumed innocent until proven guilty in the competent Bulgarian courts of law. 

The EPPO is the independent public prosecution office of the European Union. It is responsible for investigating, prosecuting and bringing to judgment crimes against the financial interests of the EU.