NEWS

Piraeus prosecutor investigating use of funds for building renovation

A Piraeus prosecutor has launched an investigation into the alleged misappropriation of state funding by the Piraeus Society, one of Greece's oldest sports clubs, for the renovation of its historical building between Alkiviadou and Karaiskou streets in the port city.

According to a report submitted to the prosecutor by the public administration inspector Leandros Rakintzis based on findings by the Financial Crimes Squad (SDOE), a total of 2.3 million euros in funding was earmarked for the Piraeus Society by the Environment and Public Works Ministry in 2000, 2001 and 2004 for reconstruction work on three of its properties, which have been listed for preservation.

Of this amount, just over 1 million euros was intended for the building on Alkiviadou and Karaiskou streets, though the work has not been carried out and the property remains a ruin to this day.

SDOE's investigation uncovered evidence to suggest that the society may have used bogus invoices to claim more than 700,000 euros of this funding package without actually commissioning any work.

The Piraeus Society has responded to the accusations by saying that the 700,000 euros was used on the other two properties, a claim that Rakintzis has challenged.

SDOE is also conducting its own investigation into the matter, further focusing on the three companies that issued the bogus invoices.

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