{"id":45206,"date":"2019-01-27T16:30:06","date_gmt":"2019-01-27T13:30:06","guid":{"rendered":"https:\/\/bivol.bg\/?p=45206"},"modified":"2019-01-29T17:31:48","modified_gmt":"2019-01-29T15:31:48","slug":"bulgarian-municipality-sells-valuable-land-for-pocket-change-to-notorious-gp-group","status":"publish","type":"post","link":"https:\/\/bivol.bg\/en\/bulgarian-municipality-sells-valuable-land-for-pocket-change-to-notorious-gp-group.html","title":{"rendered":"Bulgarian Municipality Sells Valuable Land for Pocket Change to Notorious GP Group"},"content":{"rendered":"\n

In the last days of last year, the municipality of\nBozhurishte, near the capital Sofia, which is run by the ruling Citizens for\nEuropean Development of Bulgaria (GERB), has sold 80 decares of land suitable\nfor industrial construction literally for pocket change \u2013 BGN 2 to 3 per square\nmeter. Actual market prices range between BGN 30 and BGN 40 leva per square meter.\nThe beneficiaries are companies associated with GP Group, as well as a lady\ninvestigator from the National Investigative Services (NIS).<\/p>\n\n\n\n

The red flag about the scandalous low price was first raised\nby the Chairman of the Bozhurishte Municipal Council, Georgi Dimitrov, in an interview<\/a> with the website\nFrogNews<\/em>. He claims that he has alerted\nthe Commission for Combating Corruption and the withdrawal of illegally\nacquired property (KPKONPI<\/a>) (sic) and\nthe prosecution about the case. Mayor Georgi Dimov fired\nback<\/a> with arguments that such was the decision of the Municipal Council,\nthat the land was farmland and the price was fair and corresponding to the\nmarket one.<\/p>\n\n\n\n

Farmland on a main\nstreet with sewerage, water supply and gas pipeline<\/strong><\/p>\n\n\n\n

The Bozhurishte Municipality has ordered last year a market\nappraisal to the company N.D.\nExpert Ltd<\/a> of four plots with a total area of \u200b\u200b80 decares, located in one\nof the most attractive areas for clean industry around Sofia. The experts have\nappraised the plots at BGN 1.68 per square, a market price that does not exist\nanywhere in the area. <\/p>\n\n\n\n

\"\"

The terrains in the red square are 20 km away from downtown Sofia and suitable for industrial construction <\/figcaption><\/figure>\n\n\n\n

On October 29, 2018, the Municipal Council voted<\/a>\nto sell the plots at an auction with a starting price aligned with the\nappraisal.<\/p>\n\n\n\n

\u201cLand on the main street with sewerage and plumbing, a gas pipeline, this price is not realistic<\/em>,\u201d municipal councilor Asparuh Asparuhov said during the debates.<\/p>\n\n\n\n

There were also other voices, pointing out that the municipality\nis in good financial condition and there is no need to sell these terrains.\nBut, in the end, the municipal councilors from GERB prevailed in the vote and\nit was decided that the terrains would be auctioned by secret bidding.<\/p>\n\n\n\n

Who won?<\/strong><\/p>\n\n\n\n

Two of the winning bidders – Jurist Group Ltd and Infinity\nProperties Ltd are linked to the scandalous GP Group, Bivol found.<\/p>\n\n\n\n

Infinity Properties was registered at the address of the GP Group headquarters at 59\u0410 \u201cCherni Vruh\u201d boulevard in Sofia by Krassimir Bogdanov Krastev<\/a>. The registration is dated December 4, 2018, just a few days before the land auction. The company bought 18,070 square meters for BGN 39,900 or BGN 2.2 per square meter.<\/p>\n\n\n\n

\"\"

The sales contracts were concluded on December 27, 2018.<\/figcaption><\/figure>\n\n\n\n

Jurista Group<\/strong> Ltd\nis a small advertisement company but has been chosen by GP Group to serve as PR\nand provide information on the reconstruction<\/a> of the sewage\ntreatment plant (STP) in the Belitsa Municipality. For this purpose GP Group\nand Jurista Group have formed the consortium DZZD STP Belitsa 2014, which has\nwon public procurement for BGN 3,163,655. Jurista recently won the tender in\nBozhurishte for the land with an area of \u200b\u200b19,880 square meters with an offer\nof BGN 51,975 or BGN 2.61 per square meter<\/p>\n\n\n\n

The third winning bidder company is Magor 01<\/strong> from the central city of Veliko Tarnovo, which is engaged mainly\nin logging. It has paid BGN 37,800 for 18,000 square meters or BGN 2.1 per\nsquare meter.<\/p>\n\n\n\n

The fourth terrain went to the former Head of the\nInspectorate of the NIS, Vanya\nAtanassova Doycheva<\/a><\/strong>, for the price of BGN 52,500 for 20,567 square\nmeters or BGN 2.55 per square meter. She was among the magistrates holding\nsenior posts in the NIS, who were dismissed by Prosecutor General Sotir Tsatsarov\nin early 2014, after he found that the national investigation was “in coma\nvigil”.<\/p>\n\n\n\n

We will learn who will actually benefit and profit from\nthese lucrative lands once they are resold. This will surely happen someday, as\nnone of the above-mentioned entities have the capacity to use them as intended i.e.\nas industrial sites.<\/p>\n\n\n\n

Damage to the Municipality\nin the amount of BGN 6 million<\/strong><\/p>\n\n\n\n

The Mayor’s argument that the land was farmland and the\nprice was fair and a market one because it is not in regulation is not\nconvincing. The real estate prices in the area can be easily verified by\nchecking property listing sites. The search for farmland near locations in regulation\nand infrastructure around Bozhurishte in a specialized\nsite<\/a> shows an average price of EUR 13,882 per decare.<\/p>\n\n\n\n

Thus, the Bozhurishte Municipality could sell the lucrative\n80 decares for over BGN 2 million. Instead, it sold them at a price twenty\ntimes lower than the market price. But not to some random people.<\/p>\n\n\n\n

In addition, the Municipality could gain even more if it\nturns the terrains into lands in regulation. The change of status would cost\nabout BGN 500,000, but then the price jumps by BGN 70-80 per square meter. In\nother words, the Municipality has lost nearly BGN 6 million from this strange\ndeal.<\/p>\n\n\n\n

“GPGate” at\nstandstill despite Prime Minister\u2019s orders<\/strong><\/p>\n\n\n\n

Following the European funds scandal #GPGate<\/a>, revealed by Bivol, which\ninvolves the until-recently darling of the government – GP Group, associated\nwith the boss of Lukoil Bulgaria Valentin Zlatev and the alleged drug\ntrafficker and underground boss Hristoforos \u201cTaki\u201d Amanatidis, Prime Minister Boyko\nBorisov ordered GP to be removed from all public procurement contracts. The\nProsecutor’s Office also intervened and charged two of the GP bosses with money\nlaundering in particularly large scale. EUR 14 million were seized.<\/p>\n\n\n\n

At the same time, the Prosecutor’s Office has not yet questioned\nany of the owners of the consultancy companies which had carried out a bribery\nand manipulation scheme for BGN hundreds of millions. Petar Elen Petrov, Tatyana Delibasheva (Tanya) and Lilyana Zorteva\n(Lily<\/strong>) continue to work undisturbed in the same field to finish old and to\napply for new public contracts through their companies.<\/p>\n\n\n\n

There is also no movement in the investigation into the destroyed\ndocuments<\/a>, removed from the building on 59A \u201cCherni Vruh\u201d boulevard in a\ncompany car of a company owned by Peter Elen Petrov and Tatyana Delibasheva,\nand burned in a field near the western village of Egulnica.<\/p>\n\n\n\n

There is no law enforcement activity against Theodora\nTreneva (Tedi), who, according to the documents published by Bivol, deals with\nthe laundering of the diverted European funds. The two Russian billionaires Roland\nIsaev<\/strong> and Paata Gamgoneishvili, <\/strong>who patronize the scheme,are not in the crosshairs of the\nProsecutor’s Office either. It also turned out that they had received Bulgarian\ncitizenship, probably on merit or as investors.<\/p>\n\n\n\n

The scheme with the municipal land in Bozhurishte, as well\nas other deals and public contracts that Bivol follows closely, prove that\nBorisov’s order to remove GP Group from the \u201cgovernment feeder\u201d is a smoke\nscreen for diverting attention.<\/p>\n\n\n\n

Bivol is preparing another publication that will reveal that\nGP Group continues to enjoy the loving care of GERB\u2019s structures.<\/p>\n\n\n\n

After the publication<\/strong><\/p>\n\n\n\n

On January 28, at the end of the business day and with a\n30-minute interval, Bivol\u2019s editorial office received a rebuttal from GP Group\nand a right of reply from Krassimir Krastev from Infinity Properties.<\/p>\n\n\n\n

GP\nGroup rebuttal (in Bulgarian)<\/a><\/p>\n\n\n\n

Both documents state the same thing – that the companies\nhave nothing to do with each other, and the address of Infinity on 59A \u201cCherni\nVruh\u201d boulevard is not the same as the one of GP Group, as it is located in a\nneighboring office building that has the same address.<\/p>\n\n\n\n

“I insist that\nthe article denigrating my name and my company be corrected, and I expect my\nright of reply to be published without any editorial intervention. If not, I\nwill be forced to defend my rights in all legal ways,<\/em>” Krastev writes.<\/p>\n\n\n\n

Right\nof Reply Infinity (in Bulgarian)<\/a> <\/p>\n\n\n\n

It is not clear which exact words denigrate his name and his\ncompany, but he hardly means only the address.<\/p>\n\n\n\n

An interesting fact is that the GP Group rebuttal contains the metadata of attorney Raycho Kotov as author. In its investigation #GPGate, Bivol established that Kotov had appeared as an independent expert in public procurement committees, where the public orders had been won by consultancy companies in the GP Group orbit. At the same time, he had been an employee of GP Group.<\/p>\n\n\n\n

The name “Raycho” also appears in lists of bribes and commissions for officials and businesses that are yet to be addressed by the prosecution.<\/p>\n\n\n\n

\"\"<\/figure>\n","protected":false},"excerpt":{"rendered":"

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