Czech PM Babis Admits $200 Million Agrofert Dividend Before Establishing Trust
Details of Andrej Babis' Agrofert Dividend and Trust Arrangement
Dividend Payment Prior to Trust Establishment
PRAGUE, July 1 (Reuters) - Czech billionaire Prime Minister Andrej Babis said on Wednesday that he received a 4.25 billion crown ($200 million) dividend from his main company Agrofert last year before putting the firm into a trust, Czech media reported.
Addressing Conflict of Interest Rules
Babis says he moved Agrofert irrevocably to the trust this year to address Czech and European rules on conflicts of interest.
Agrofert, a conglomerate with agriculture, chemicals and food production businesses, is a recipient of EU farming and development subsidies.
Taxation and Financial Details
"Before I put the company into the fund, I was paid a dividend of 5 billion crowns," news website www.idnes.cz quoted Babis as saying. "Agrofert paid 750 million in tax from that."
EU Scrutiny and Ownership Structure
The European Union has been looking into whether Babis' arrangement meets EU rules, as he is a policymaker on the EU budget as a member of the European Council of national leaders.
He has insisted that neither he nor his family will regain actual ownership of Agrofert and that the setup is in line with EU and national rules.
Trust Statutes and Succession
Czech news website www.seznamzpravy.cz had earlier reported that the trust's statutes would hand control to his children after he leaves office.
Babis' Other Assets and Financial Standing
Worth $4.1 billion according to Forbes, Babis owns other assets, including dozens of health and fertility clinics across Europe, through his Hartenberg fund. He retained ownership of those assets after taking the government post late last year.
Exchange Rate Information
($1 = 21.2690 Czech crowns)
(Reporting by Jan Lopatka; Editing by Joe Bavier)
