MOL Rejects Accusations in Croatian Ex-PM Bribe Case, Concerned About Ruling

By Veronika Gulyas

BUDAPEST--MOL Nyrt. (MOL.BU), Wednesday said that no substantive evidence on MOL's alleged involvement was presented in a Croatian court case against former Croatian Prime Minister Ivo Sanader, who was found guilty of accepting bribes related to energy company INA, in which MOL has management rights.

Tuesday a Zagreb court sentenced Mr. Sanader to 10 years in prison for corruption, including taking bribes from MOL for granting the company full management rights in INA d.d. (INA.ZG) in 2008.

MOL said in a statement Wednesday that it's concerned about factual misconceptions in support of this initial ruling. It said some comments made on the corporate structure at INA, and MOL's corporate governance procedures and actions in relation to INA, are factually incorrect; and it intends to question whether the court procedures regarding the claims about MOL were compatible with established legal procedures elsewhere in Europe.

"As the largest foreign investor in Croatia we reserve our rights to take action internationally if this should be necessary," MOL said.

MOL owns a 49.1% stake in INA while the Croatian government controls 44.84%. Over the past two years Croatia has been seeking to change the shareholders' agreement, in particular over management rights, between the two companies.

Hungarian state news agency MTI cited Croatian Finance Minister Slavko Linic as telling Croatian state radio on Wednesday, that the shareholders' agreement between Hungarian MOL and INA should be renegotiated as soon as possible.

MOL is set to review its position further after the defense team of Mr. Sanader decides whether to appeal against the verdict, and once a final verdict on the case has been reached.

Write to Veronika Gulyas at [e-mail]