Czech Billionaire Beats Fraud Charge Before Presidential Run

Former Czech Prime Minister Andrej Babis was acquitted in a fraud case looking into his use of European Union funds, providing a potential boost to his campaign in this month’s presidential election.

(Bloomberg) — Former Czech Prime Minister Andrej Babis was acquitted in a fraud case looking into his use of European Union funds, providing a potential boost to his campaign in this month’s presidential election. 

A Prague court on Monday freed billionaire Babis of charges that a company belonging to his business empire illegally used 50 million koruna ($2.2 million) in EU subsidies about 15 years ago. The chemicals, agriculture and media tycoon had consistently denied wrongdoing. 

The case has weighed on one of the richest Czechs for a significant part of his political career and contributed to his election defeat in 2021. As prime minister, Babis clashed with the European Commission over conflict-of-interest accusations over funding he received from the bloc.  

“I am very happy that we have an independent judiciary and the court confirmed what I have been saying from the beginning,” Babis said on Twitter. “That I’m innocent and haven’t done anything illegal.”

The court issued the ruling less than a week before the first round of the presidential ballot on Jan. 13-14, in which Babis is in a solid position to advance to a run-off scheduled for two weeks later. Seeking a political comeback, he leads polls along with two other candidates, retired general Petr Pavel and Danuse Nerudova, an economist and university professor. 

He is the head of the strongest opposition party with a wide lead in opinion polls — and has repeatedly called the fraud case a political attack orchestrated by his rivals. 

Babis was a one-time supporter of Donald Trump before criticizing the then-US president after the Jan. 6 attack on the Capitol in Washington. He joined the ranks EU leaders challenging the establishment — often deriding traditional politicians as corrupt and incompetent. 

As prime minister, Babis embraced an anti-immigration agenda and became one of the closest allies of Hungarian nationalist leader Viktor Orban. 

In the Czech Republic, the president’s job is mostly ceremonial, with key executive powers held by the government. But the head of state plays a role in the creation of the cabinet, leads the military, picks central bankers and appoints judges.

Outgoing President Milos Zeman, Babis’s long-time ally, has repeatedly carved out more powers and impose his influence over the nation’s executive.  

Whether the ruling helps Babis in this week’s contest, his exoneration could offer him a tailwind in a run-off as he expands support beyond his base, according to Roman Chytilek, a political analyst at SYRI think tank.

“It slightly increases his chances of getting votes from beyond his staunch supporters who might no longer associate his campaign with an effort to gain immunity,” he said. 

Read more:

  • Czech Ex-Army Chief Enters Presidential Race Pledging Stability
  • Czech Economist Aiming to Be First Female President Takes Lead

 

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