Key witness says Babis is behind opaque Unipetrol deal
WARSAW/PRAGUE- Krzysztof Kluzek, a former member of Polish PKN Orlen management and a key witness in the alleged Unipetrol corruption scandal, told CTK today that Czech Agrofert company owner Andrej Babis is behind the recent opaque privatisation of Unipetrol, a Czech petrochemical holding.
"The course of the privatisation indicates this," said Kluzek, a former member of the supervisory board and of the management of PKN Orlen, which won the tender for Unipetrol privatisation.
In reaction to Kluzek's assertions, which he also published in the Czech press, Babis's Agrofert today announced that it is going to lodge a criminal complaint against Kluzek on suspicion of slander.
"Members of [PKN Orlen] management asserted that either Orlen will sign an agreement with Babis or it will not win [the Unipetrol tender]. This was said openly," Kluzek told CTK.
He gave no evidence to prove his assertion.
"No one would put something like that down in the contracts. However, it ensues from the developments. Still before the bids for Unipetrol purchase were submitted, [PKN Orlen signed] a contract with Agrofert. Later, all the time long, literally in every phase, [PKN Orlen] negotiated with Agrofert and discussed the price to be paid," Kluzek said.
Kluzek is a crucial witness as it was his testimony before a special commission of the Polish Sejm, which inquires into PKN Orlen's dubious deals, which raised doubts about Unipetrol privatisation transparency.
Kluzek mentioned the bribes allegedly addressed to Czech and Polish politicians. He said he heard about the bribes, worth 42 million euros altogether, from Polish lobbyist Jacek Spyra.
According to the Czech daily Mlada fronta Dnes, Spyra confirmed the information about the bribes to the Czech police.
The former PKN Orlen management signed a contract with Agrofert - still before Unipetrol privatisation - in which it pledged to sell stakes in five of the Unipetrol holding's firms to Babis's company.
The firms involved are Agrobohemia, Kaucuk, Aliachem, Paramo and Chemopetrol.
Babis told CTK today that the whole case "fundamentally harms me and our firm. It is highly desirable that investigators in the two countries immediately examine all facts and definitively put an end to the neverending wave of speculations and false accusations," Babis said.
He asserted that Agrofert had not participated in any corruption within Unipetrol privatisation. Neither did it attend any negotiations where any proposals or signs of corruption appeared, he said.
Agrofert lodged a criminal complaint against Spyra recently.
Agrofert was to pay about 103 million euros to PKN Orlen for the stakes in the five companies, which, however, is about one- third of their current value. The Agrofert-Orlen contract does not contain any provision to determine the final price in connection with possible changes in the firms' value after Unipetrol privatisation.
The current PKN Orlen management is therefore considering withdrawing from the contract and prefers paying a fine equivalent to more than 2 billion crowns.
"The [PKN Orlen's] approach to the matter and the signing of the contract with Agrofert indicated, already when [the Unipetrol deal] was underway, that something is not in order," Kluzek said.
He pointed to the fact alone that PKN Orlen had negotiated with Agrofert.
"What use the contract was? Orlen is a large concern. It knew that Babis has [good contacts] in the Czech Republic," Kluzek said, referring to Babis's alleged close relations to some Czech politicians.
Kluzek, nevertheless, conceded that he had not attended the Unipetrol purchase negotiations in person.
"I think that the decisive figure on the Czech side was Andrej Babis and people around him," Kluzek said.
In PKN Orlen, the main role was played by former CEO Zbigniew Wrobel and board deputy head Janusz Wisniewski, he added.
The two have been unavailable for comment.
Kluzek indicated that two years ago, when Babis was to buy Unipetrol within the first Unipetrol privatisation attempt by the then cabinet of Milos Zeman (Social Democrats, CSSD), Agrofert signed long-time contracts with it, which could now have a negative impact on PKN Orlen as Unipetrol's new owner. Link
WARSAW/PRAGUE- Krzysztof Kluzek, a former member of Polish PKN Orlen management and a key witness in the alleged Unipetrol corruption scandal, told CTK today that Czech Agrofert company owner Andrej Babis is behind the recent opaque privatisation of Unipetrol, a Czech petrochemical holding.
"The course of the privatisation indicates this," said Kluzek, a former member of the supervisory board and of the management of PKN Orlen, which won the tender for Unipetrol privatisation.
In reaction to Kluzek's assertions, which he also published in the Czech press, Babis's Agrofert today announced that it is going to lodge a criminal complaint against Kluzek on suspicion of slander.
"Members of [PKN Orlen] management asserted that either Orlen will sign an agreement with Babis or it will not win [the Unipetrol tender]. This was said openly," Kluzek told CTK.
He gave no evidence to prove his assertion.
"No one would put something like that down in the contracts. However, it ensues from the developments. Still before the bids for Unipetrol purchase were submitted, [PKN Orlen signed] a contract with Agrofert. Later, all the time long, literally in every phase, [PKN Orlen] negotiated with Agrofert and discussed the price to be paid," Kluzek said.
Kluzek is a crucial witness as it was his testimony before a special commission of the Polish Sejm, which inquires into PKN Orlen's dubious deals, which raised doubts about Unipetrol privatisation transparency.
Kluzek mentioned the bribes allegedly addressed to Czech and Polish politicians. He said he heard about the bribes, worth 42 million euros altogether, from Polish lobbyist Jacek Spyra.
According to the Czech daily Mlada fronta Dnes, Spyra confirmed the information about the bribes to the Czech police.
The former PKN Orlen management signed a contract with Agrofert - still before Unipetrol privatisation - in which it pledged to sell stakes in five of the Unipetrol holding's firms to Babis's company.
The firms involved are Agrobohemia, Kaucuk, Aliachem, Paramo and Chemopetrol.
Babis told CTK today that the whole case "fundamentally harms me and our firm. It is highly desirable that investigators in the two countries immediately examine all facts and definitively put an end to the neverending wave of speculations and false accusations," Babis said.
He asserted that Agrofert had not participated in any corruption within Unipetrol privatisation. Neither did it attend any negotiations where any proposals or signs of corruption appeared, he said.
Agrofert lodged a criminal complaint against Spyra recently.
Agrofert was to pay about 103 million euros to PKN Orlen for the stakes in the five companies, which, however, is about one- third of their current value. The Agrofert-Orlen contract does not contain any provision to determine the final price in connection with possible changes in the firms' value after Unipetrol privatisation.
The current PKN Orlen management is therefore considering withdrawing from the contract and prefers paying a fine equivalent to more than 2 billion crowns.
"The [PKN Orlen's] approach to the matter and the signing of the contract with Agrofert indicated, already when [the Unipetrol deal] was underway, that something is not in order," Kluzek said.
He pointed to the fact alone that PKN Orlen had negotiated with Agrofert.
"What use the contract was? Orlen is a large concern. It knew that Babis has [good contacts] in the Czech Republic," Kluzek said, referring to Babis's alleged close relations to some Czech politicians.
Kluzek, nevertheless, conceded that he had not attended the Unipetrol purchase negotiations in person.
"I think that the decisive figure on the Czech side was Andrej Babis and people around him," Kluzek said.
In PKN Orlen, the main role was played by former CEO Zbigniew Wrobel and board deputy head Janusz Wisniewski, he added.
The two have been unavailable for comment.
Kluzek indicated that two years ago, when Babis was to buy Unipetrol within the first Unipetrol privatisation attempt by the then cabinet of Milos Zeman (Social Democrats, CSSD), Agrofert signed long-time contracts with it, which could now have a negative impact on PKN Orlen as Unipetrol's new owner. Link
posted by BEING HAD at 4:35 AM
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