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(Luxembourg, 18 June 2024) – Yesterday (17 June), following an investigation led by the European Public Prosecutor’s Office (EPPO) in Bratislava (Slovakia), the Specialised Criminal Court convicted two individuals and one company of EU funding fraud.
According to the investigation, in April 2020, the two defendants submitted incorrect documents in the name of their company to apply for a project by the Slovak Innovation and Energy Agency (SIEA), financed by the European Regional Development Fund (ERDF). The purpose of the project was to insulate the production premises and buildings of the suspects’ company and the total costs amounted to €419 520. By applying for the project, the defendants asked for a non-refundable contribution of 50% (€209 760). The other half of the project costs were to be paid for by the applicants/defendants.
The investigation revealed that the defendants intentionally submitted incorrect documents to prove that they had sufficient financial resources to cover their half of the project costs. The defendants moved money between two bank accounts belonging to the company in order to obtain the needed bank statements for their application. After obtaining the statements, they moved the money away from the company accounts.
Both defendants pleaded guilty and the Specialised Criminal Court approved the plea agreement. The two individuals were sentenced to three years of imprisonment, with a probationary period of three years, and a fine of €5 000. In addition, they are prohibited from participating in subsidy procedures for a period of three years.
The convicted company had to pay a fine amounting to €5 000 and is also banned from receiving EU subsidies for four years.
The EPPO is the independent public prosecution office of the European Union. It is responsible for investigating, prosecuting and bringing to judgment crimes against the financial interests of the EU.