A diagram of connections of investors in the beach Karadere and violators of the law in the beach Shabla
Scott James Perkins, representative of “Madara Europe,” rebutted his compatriot Tim Chadwick’s statement that he had a friend in the government who helped him obtain a class A investment certificate. Perkins told bTV in a live broadcast that this was British humor.
“My colleague in the company, Tim Chadwick, said “friend,” but this is just an expression of the British sense of humor; there is no story behind it,” said Perkins.
He, however, was not so confident in his answer whether, in addition to investment proposals, his company has in its assets actual illegal construction, breaching Bulgarian law.
“In terms of Shabla, this is not one of our projects; this is not the project of “Madara Europe.” Shabla is a project of “Black Sea Gardens.” Shabla is a project related to one of our shareholders, but it has nothing to do with “Madara,” said Perkins.
A check, conducted by Bivol, established that Mr. Perkins has every reason to distance himself from the project in Shabla because the investor there misled the state and this has been proven in court. However, this investor and the investor in Karadere are simply the same person.
British lies and illegal concrete in the “Tuzlata” sea site
The project in question in Shabla became infamous in 2009 when the environmental inspectorate in Varna stopped construction in the “Tuzlata” site. It became clear then that the investing company “Bulgarian Property Investment Trust” started pouring concrete without ever notifying the Regional Waters and Environment Inspectorate in Varna.
To avoid the environmental impact assessment report, the company implemented a time-tested trick, known from the illegal and already destroyed vacation village “Golden Pearl.” It has divided the resort in 8 smaller properties for which it obtained building permits before the entry into force of the Act for the Development of the Black Sea Coast. The company also received an opinion from the Regional Waters and Environment Inspectorate that the investment proposal for each property was not subject to a mandatory environmental impact assessment report because the buildings were presented as “family houses” rather than a resort and vacation village.
The trick, however, did not fly and the construction was stopped by order № 208/October 7, 2009 of the Director of the Regional Waters and Environment Inspectorate in Varna. The company appealed before the Varna Administrative Court, where it won, but after a cassation appeal of the Regional Waters and Environment Inspectorate, its order was confirmed by the Supreme Administrative Court on August 2, 2012.
The Supreme Court judges ruled that “the issued construction permits, as detailed, did not fit the description of the investment proposals in the notifications sent to the administrative authority,” i.e.to the Regional Waters and Environment Inspectorate.
In other words, the shrewd investors have lied before the environmental inspectorate about what they were planning to build. They have stated that they will build “houses with domestic-administrative purposes” for which an environmental impact assessment report is not needed, and began building “hotel complexes, respectively vacation villages” for which, however, an environmental impact assessment report is a must, concluded the magistrates. The rule of the Supreme Administrative Court is final and cannot be appealed (see here) and the construction will remain frozen, as it is now, until it passes all procedures of the environmental impact assessment report.
Nothing in common, come on!
As early as 2009, Bulgarian media published information that the company which breached the law, “Bulgarian Property Investment Trust,” is 99 % owned by an offshore company “Rainbow Group Services Limited,” registered in the British Virgin Islands. This remians a fact at the moment as well.
The same company from the British Virgin Islands – “Rainbow Group Services Limited” – owns the Maltese “Malta Holding Rainbow,” which, on its part, is the owner of “Madara Europe.” Please, note that at the moment we are talking about full 100% ownership of “Bulgarian Property Investment Trust” and 99% ownership of “Madara Europe.”
Provided that the owner is the same, it is, at the least, ridiculous to claim that “Bulgarian Property Investment Trust” and “Madara Europe” have nothing to do with each other.
But Mr. Perkins has helpful memory not only about what company is the actual owner of the firm in which he operates. He seems to also have forgotten old business acquaintances. Among them is Sava Nikolov Sabev, who since July 11, 2006, is the Executive Director of “Bulgarian Property Investment Trust” and of “Black Sea Investment Trust.” Precisely he was responsible for the illegal site of the company in Shabla.
Registries, however, do remember. Sava Sabev and Scott Perkins, together, are members of the boards of two companies: “Madara Capital Bulgaria” and “Santel Capital.”
References from the Daxy Registry showing connections between Scott Perkins from “Madara Europe” and Sava Sabev from “Bulgarian Property Investment Trust”
Against the backdrop of these facts, the question whether “Madara Europe” and “Bulgarian Property Investment Trust” have something to do with each other is simply eliminated. They are just one and the same – same owner and closely related managers.
However, questions to the government, which has given a first class investor certificate to an owner, who was exposed in proven lies before a government body in order to circumvent the law, do remain.
This post is also available in: Bulgarian