A Czech court on Monday convicted a former associate of populist Prime Minister Andrej Babiš of fraud, handing her a three-year suspended sentence and a fine. Jana Nagyová, a member of the European Parliament, was found guilty in a case involving $2 million in European Union subsidies.
The Case and the Verdict
Prague’s Municipal Court also fined Nagyová 500,000 koruna ($24,000). The verdict is not final and she can appeal. Babiš was also a defendant in the case but could not be sentenced because lawmakers in the lower house of Parliament rejected in March a motion to lift his immunity from prosecution.
Political Context
The populist billionaire began his third term as prime minister in December. He has said that the case was “clearly politically motivated.” The rejection of the motion means that he can only stand trial after his term ends in 2029.
The case centered around a farm known as the Stork’s Nest, which received EU subsidies after its ownership was transferred from the Babiš-owned Agrofert conglomerate to his family members. Later, Agrofert again took ownership of the farm. The subsidies were meant for small- and medium-sized enterprises, meaning that Agrofert would not have been eligible. The conglomerate later returned the subsidy.
Coalition and Policy Direction
Babiš returned to power after his ANO (YES) movement won big in an October election, forming a governing coalition with two small political groups: the Freedom and Direct Democracy anti-migrant party and the right-wing Motorists. The coalition’s agenda includes steering the country away from supporting Ukraine and rejecting some key EU policies.
