Czech Member of the European Parliament Jana Nagyová, a close ally and former adviser to Czech Prime Minister Andrej Babiš, has been found guilty of EU subsidy fraud in a case involving approximately €2 million and the Agrofert conglomerate.
Prague’s High Court upheld a lower court ruling on Monday, sentencing Nagyová to a suspended three-year prison term with a five-year probation period. She was also ordered to pay a fine of approximately €20,000.
The ruling upheld a verdict issued by a lower court in May.
Nagyová to Appeal Supreme Court Ruling
Nagyová, an MEP representing the Patriots for Europe group, has repeatedly denied the allegations against her.
Her lawyer said she will appeal the High Court’s decision to the Czech Supreme Court.
Nagyová was stripped of her parliamentary immunity by the European Parliament in April, allowing the criminal proceedings against her to continue.
The case concerns allegations that the Čapí Hnízdo — or Stork’s Nest — recreational and conference complex was temporarily separated from Agrofert in order to qualify for EU subsidies intended for small and medium-sized enterprises.
According to prosecutors, the complex was presented as an independent company to meet the eligibility requirements for the grant. Agrofert later regained ownership of the property.
Case Previously Included Prime Minister Babiš
The long-running investigation involved both Nagyová and Babiš and was examined by Czech authorities as well as the European Anti-Fraud Office, OLAF.
However, the case against Babiš was separated from the proceedings against Nagyová after the Czech Parliament refused in March to lift the prime minister’s parliamentary immunity.
Criminal proceedings against Babiš will therefore remain suspended for the duration of his parliamentary mandate.
Babiš has denied any wrongdoing.
The Czech prime minister placed Agrofert into a trust fund after returning to office in December and has said he is no longer connected to the conglomerate he founded.
Critics, however, have continued to question whether the arrangement sufficiently addresses concerns about potential conflicts of interest.
The ruling against Nagyová marks another major development in the long-running Čapí Hnízdo case, which has remained one of the most politically significant legal controversies involving Babiš and his business empire.
