Czech Republic could lose billions by failing to meet registration deadline

The Czech Republic may lose over 11 billion crowns (600 million francs) in assets frozen by the Swiss government earlier this year in connection with suspected fraud and money-laundering in one of the Czech Republic’s biggest energy firms –the coalmining company Mostecká Uhelná. Switzerland began a probe into the case in 2005 on suspicion that the company’s directors were embezzling huge sums of money some of which were allegedly being transferred to Swiss accounts within an extensive money-laundering scheme. Seven people have been charged in connection with the case. Deputy Prime Minister Karolína Peake told Czech Television on Sunday the money could fall through to the Swiss authorities or end up in the hands of the company’s new owner because the Czech Republic had failed to meet a deadline confirming participation in the judicial proceedings.