PM Sobotka called as witness in connection with alleged undervaluation of OKD

Prime Minister Bohuslav Sobotka has been called as a witness in a criminal case linked to the privatisation of the OKD mining company. Mr. Sobotka was minister of finance when OKD was sold off in 2004. The state prosecutor says the CZK 4.1 billion received by the Czech state from buyers Karbon Invest was less than half the real value of the mining firm. Two months after the sale Karbon Invest sold OKD to magnate Zdeněk Bakala’s RPG Industries for a price reported at between CZK 9 billion and CZK 12 billion. The expert who assessed the value of the state’s share in the company and two former senior people at the state agency that oversaw the sale are on trial for misconduct. The prime minister is due to appear in court on September 1.

Author: Ian Willoughby