Formal investigation launched in power plant scandal
Ljubljana, 17 December - More than six years after the first house searches were conducted related to the controversial EUR 1.4bn unit at the Šoštanj coal-fired power plant (TEŠ) built by French contractor Alstom, it was reported in August that 14 suspects were under formal investigation, their appeals having been rejected.
Šmartno pri Slovenj Gradcu
Smoke billowing from the Šoštanj coal-fired power station.
Photo: Tamino Petelinšek/STA
The suspects list reportedly includes former TEŠ chief executive Uroš Rotnik, former Alstom Power official Frank Lehmann and former Alstom Austria executive director Josef Reisel. The suspects have been charged with abuse of office, document falsification and money laundering in a bribery scheme that caused damages exceeding EUR 250m.
The cost of the investment ballooned from the initial estimate of EUR 650m to the final price tag of EUR 1.41bn due to poor management and cost overruns.
The Specialised Prosecution Service has 12 more years to prove its suspicions before one of the longest-running criminal cases in Slovenia becomes statute-barred; there has been some concern about undue delays given how long the court in Celje has needed to bring the case involving TEŠ and Alstom officials to its current stage.
The new generator at the state-controlled power plant, launched in 2015, has also been a major political scandal, having involved several governments since planning began in 2006.
In April this year parliament unanimously endorsed the final report of an inquiry commission dealing with the investment. It decided to report President Borut Pahor in his capacity of PM between 2008 and 2012 and his ministers of finance and economy, Franc Križanič and Matej Lahovnik, to the authorities on suspicion of failure to exercise due oversight.