Bulgaria Media Tycoon Backs out of Scandalous State Property Deal

Mincho Spasov (left) and Vladimir Karolev (right) were the two NMSP members who voiced the greatest opposition against the "NRA deal" of the Stanishev government in April 2009. Photo by BGNES

 The emerging Bulgarian media tycoon, Irena Krasteva, has backed out of a scandalous deal put forth by the former government of Sergey Stanishev.

The deal with the state provided for the creation of a joint public private venture with state participation of less than 50%; most of the venture was to be owned by Krasteva, who is a former head of the State Lotto and has bought out several media outlets in the past year.

The venture was supposed to receive four real estate properties of the National Revenue Agency at top locations in downtown Sofia; in exchange, it was supposed to construct a new building for the NRA.

The information about the backing out of the deal by Krasteva has been confirmed by Bulgaria's former Finance Minister Oresharski before the Kapital Weekly. According to the reports, certain factors at the Stanishev government were trying to get the deal sealed until the very end of the government's work but met with the opposition from the National Movement for Stability and Prosperity, a partner in the former three-way coalition.

The alleged motive for the withdrawal from the deal on part of Krasteva's company is that the deal was not profitable for it.

On Sunday, Bulgaria's new Finance Minister, Simeon Djankov, said he had been informed about the deal as one of the most blatant violations with state property.

Irena Krasteva is reported to be close to the ethnic Turkish Movement for Rights and Freedoms (DPS) and its leader, Ahmed Dogan. The DPS was one of the partners in the three-way coalition government of outgoing PM Sergey Stanishev.

 

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