October 19 (SeeNews) - The Zagreb county court has ordered the detention of Ivica Todoric, owner of Croatia's ailing concern Agrokor, the Chief State Prosecutor's Office (DORH) said.
The court decided to launch criminal investigation against Todoric and 14 other people, most of them former top Agrokor officials. The court, however, denied DORH's request to remand in custody the remaining 14 persons also suspected of wrongdoing that led to the financial woes of the food-to-retail concern, DORH said in a statement on Wednesday. They are suspected of racking up 1.14 billion kuna ($179.3 million/151.9 million euro) in unlawful material gains for Todoric as well as an additional 320 million kuna for an unnamed legal entity.
Twelve of those 14 people were arrested by police on Monday as part of a probe into suspected wrongdoing in Croatia's largest privately held company. The 12 detained suspects were let go just before midnight on Wednesday, after the court decided there is no risk that they will exert influence on witnesses, experts and participants in the investigation.
Ten of the 12 suspects arrested on Monday are former top executives of Agrokor, while two are employees of accountancy and business advisory firm Baker Tilly Croatia, auditor of the concern's financial statements, in which a subsequent audit carried by PricewaterhouseCoopers LLP found gross accounting errors.
Local media reported on Wednesday that since Ivica Todoric is not in the country, the court will issue an international arrest warrant if he is not back in three days. News broadcaster RTL also reported that Todoric has enlisted the legal help of Michaela O'Kanea, a London lawyer, and that he is preparing for a fierce legal battle against extradition.
Todoric described the actions of the Croatian authorities against him as 'political persecution' in a blog post published on Wednesday evening.
The government stepped in to prevent the collapse of Agrokor in April 2017, appointing a receiver under a special law governing the management of systemically important companies. Todoric was stripped of his managerial rights under the law popularly known as Lex Agrokor but remains owner of the indebted concern.
(1 euro=7.50478 kuna)