Czech Tycoon Ex-Premier Faces Trial in $2 Million Fraud Case

(Bloomberg) -- A Prague court opened a trial in which former Prime Minister Andrej Babis, the leader of the Czech Republic’s most popular party, is accused of involvement in fraud related to European Union subsidies.

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The allegations have dogged the chemicals, agriculture and media billionaire for a significant part of his political career -- and contributed to his ouster from power last year. Babis, who had also sparred with the EU over ties to his businesses, has rejected all charges as an attack orchestrated by his political rivals.

“Of course it was a politically motivated criminal investigation,” the CTK newswire cited Babis, 68, as saying on Monday. Still, he said he expects to receive a fair trial.

The charges followed a lengthy police probe into whether a company belonging to Babis’s business empire illegally used 50 million koruna ($2.1 million) in EU subsidies 15 years ago. Prosecutors have proposed a three-year suspended sentence and a fine for Babis.

Babis rose to power by attacking traditional politicians as corrupt and incompetent. As prime minister, he adopted an anti-migrant agenda and became one of the closest allies of Hungarian nationalist leader Viktor Orban.

While his party, ANO, holds a wide lead in opinion polls, Babis is contemplating whether to run for the presidency in an election in January.

Surveys show he would most likely advance to the second round, but could struggle in the run-off. Babis said he may announce his decision on the presidential bid next month.

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