ANNOUNCEMENT: Expert Investor is now PA Europe. Read more.

EU initiates corruption investigation into former EIB boss

Probe related to abuse of influence and misappropriation of EU funds

|

Pete Carvill

The European Public Prosecutor’s Office (EPPO) has revealed the European Investment Bank (EIB) has accepted its request to lift the immunity of two of its former employers, one of whom is understood to be former EIB president Werner Hoyer.

According to the EPPO, the EIB has also agreed to lift the “inviolability of its premises, buildings and archives in Luxembourg”. A lawyer for Hoyer later confirmed to Politico the former EIB president was being investigated for corruption. The news site added that German and Luxembourgish police were understood to have seized material related to the two investigations in recent months.

Politico also reported that Hoyer, who left his position at the EIB at the end of last year, had denied any wrongdoing, and the probe related to compensation paid to a departing EIB employee. Hoyer’s legal team maintains that, while he signed off on the package, he had no part in its negotiation.

The EPPO said in a statement: “The request was made as part of an ongoing investigation involving two individuals suspected of corruption and abuse of influence, as well as the misappropriation of EU funds. The suspicions were reported to the EPPO by the European Anti-Fraud Office.”

‘Diligent and effective pursuit’

It added: “In line with their legal obligation under the Union law (Protocol 7 on the Privileges and Immunities of the EU), as specified by the Court of Justice of the European Union, the EIB has granted the lifting of the immunity of two former employees, which will allow the diligent and effective pursuit of the EPPO’s investigation.” The EPPO said no further details would be made public so as not to endanger the outcome of the investigation.

For his part, Hoyer emailed a statement to Politico to deny the allegations, which he described as “absurd” and “unfounded”. He added: “I now expect them to be fully investigated and clarified and ask the EIB to co-operate fully with the EPPO. I am also co-operating fully with the EPPO and demand a full clarification of the facts from there.”

MORE ARTICLES ON