Vsetin authorities dismiss Lidove Noviny story as false

In related news, the east Moravian town of Vsetin, where Jiri Cunek was mayor, has denied a story by Czech newspaper Lidove Noviny suggesting inappropriate dealings over 4.5 million crowns (around 250,000 US dollars). The sum was received as a down payment, the daily writes, in the town's sale of its majority stake in its professional ice hockey club. A first payment of 4.5 million crowns was paid out after the sale was agreed with a Russian company, but according to Lidove Noviny the funds later disappeared. Town Hall representatives have dismissed the story as false, saying they did not receive the money at all and will consider suing Lidove Noviny for libel.

Vsetin hockey club chairman Oldrich Stefl has told the media that the 4.5 million, roughly a fifth of the agreed price, were received by the club but invested. The deal then fell through and procedures were begun on the cancellation of the contract. According to Mr Stefl, negotiations with the Russian buyer on the return of the funds will now depend on the final cancellation of the sale.

Author: Jan Velinger