The Governor of the Central Bank of Slovakia and member of the Governing Council of the European Central Bank (ECB), Peter Kažimír, was found guilty of bribery and fined €200,000 on Thursday.
The court found him guilty of giving a bribe of €48,000 to a high-ranking official in the tax administration in exchange for expediting tax refunds for a number of companies. The offence took place while Kažimír was finance minister.
The court ruled that if the fine is not paid, the former minister will have to spend a year in prison. Kažimír himself did not attend the court hearing as he was on a business trip to Hong Kong. His lawyers intend to appeal the verdict.
The Slovak central bank said it took note of the court’s decision, which has not yet entered into force. At the same time, “the court decision does not affect the bank’s activities,” the regulator also said in a statement.
Kažimír’s term as head of the central bank expires on June 1, but the government has not yet appointed a replacement, and he will remain acting head of the central bank after that date. He will take part in the next ECB meeting, which will be held on June 4-5.
Analysts and market participants expect that at this meeting, the key interest rate on deposits will be lowered again by 25 basis points to 2%.
