ECONOMY

Energa, Hellas Power chiefs placed under arrest

The chiefs of private energy providers Energa and Hellas Power were arrested on Tuesday morning and are facing charges of smuggling and money laundering on top of older accusations that their companies embezzled funds from the state.

Five high-ranking executives of the two companies were served with arrest warrants on Tuesday and were being held at central police headquarters prior to appearing before an examining magistrate.

Hellas Power and Energa had their licenses suspended in January by DESMIE, Greece?s electricity grid operator.

The move was in response to unpaid debts run up by Hellas Power and Energa, which are both controlled by the Russian-Arab fund Worldwide Energy Ltd, according to the Athens-based Regulatory Authority for Energy.

Later charges of embezzlement suggested that the two providers owe as much as 200 million euros to DESMIE and the state-owned Public Power Corporation (PPC).