Developer Vaclav Klan will not go to prison for six years for attempting fraud against the state-owned company ČPP Transgas. The Prague Supreme Court of Appeal today overturned the original verdict and imposed a three-year condition on Klán, together with a fine of CZK 5 million. The developer’s company Amádeus Real (AR) has to pay another CZK 10 million, according to the annulled judgment it should have been three times as much. The current decision is final.
The High Court reduced the amount of damage that the Klan intended to cause to the state from CZK 85.8 million to CZK 19 million. According to the Court of Appeal, the court of first instance erred in its determination. “We refuse to embark on another duel of experts and expert opinions,” said Petr Píša, chairman of the court panel. According to him, another opinion would be the tenth in the case and would unbearably prolong the criminal proceedings, which last for seven years. “Such a procedure is not necessary and expedient,” he said.
It was the long time that had passed since the crime was committed, and the current integrity, was perceived by the court in Klára as a mitigating circumstance.
The case concerns the purchase of shares in Nemo Sever, which Transgas acquired in December 2013. At the time when it was a question of purchasing a 100% stake, Klán was the only member of Nema’s Board of Directors and Klán’s AR was the sole shareholder. According to the verdict, the businessman then concealed Transgas from the purchase of shares that Nemo had financial obligations to AR.
According to the judgment, the obligation arose from the fact that in September 2013 Klán concluded four purchase agreements between AR and Nemo, by which AR sold real estate in Liberec and Ústí nad Labem for the price of CZK 90.5 million, although their market price was CZk 71 million. Nemo had to pay the money within a year. However, the director of Transgas, Jan Švábenický, subsequently learned about Nemo’s obligations to the AR and took steps to eliminate them.
“Mr. Defendant Klán is a long-term experienced real estate entrepreneur. He knew that the content of the business transaction had changed and that these were circumstances that were of considerable importance to the buyer. “the judge stated.
The clan denied guilt. His lawyers have previously argued, among other things, that he bought the property at a price he was convinced was appropriate. They also noted that he was not responsible for what documents the state-owned company obtained.
“Amádeus Real and its representatives have been claiming from the very beginning of the whole case that the criminal prosecution in this case was unjustified, and it is still worth it,” Karel Samec, the company’s media representative, told ČTK in a statement. “In any case, the ruling has no effect on the business activities of the company, which now continues as standard in all implemented projects and will continue to properly fulfill all its obligations,” he added.
Today’s verdict also includes a three-year condition and a five-year ban on Pavel Troch’s entrepreneurs. He was convicted in a case of embezzlement from the time when Švábenický liquidated the state-owned company Potraviny Středočeský kraj before joining Transgas. Together with Švábenický and another convicted Josef Kubas, Troch is to take part in compensating the Ministry of Industry for damages in the amount of CZk 39 million. In the appeal, the public prosecutor demanded a five-year prison term for Trocha, ie the same high sentence as Švábenický is already serving.
Source: CTK
