Two Bulgarian Managers Face Charges Over Misuse of EU Funds

The European Public Prosecutor’s Office (EPPO) in Sofia has charged two executives of a Bulgarian company with fraud involving a waste processing project in Asenovgrad. The project, valued at nearly 3.46 million euros and co-financed by the European Regional Development Fund (ERDF), aimed to construct facilities for composting green and biodegradable household waste and pre-processing mixed household waste.

The investigation revealed that the suspects had submitted false information in 2022 regarding the professional qualifications of a key team member to secure the public procurement contract. This alleged deception led to the company receiving an advance payment of 412,000 euros, which was financed by the ERDF and national funds.

The fraud was uncovered during an inspection by the Management Board of the Operational Programme Environment. The findings were subsequently referred to the EPPO in February 2023. Following the investigation, the contract was terminated in April 2023, and the company refunded almost the entire advance payment.

The General Directorate of National Police (GDNP) provided support during the investigation. If convicted, the accused face prison sentences ranging from two to eight years.

The alleged fraud centered on securing the contract for constructing waste processing facilities in Asenovgrad. The project’s objectives included a composting plant and a pre-processing plant for household waste. The advance payment of 412,000 euros, or 811,285.72 leva, constituted part of the total project budget of 6,772,824.77 leva.

Sources:

• Bulgarian Naional Radio (BNR)
• Club Z