In May 2026, the Czech agricultural holding company Agrofert received a state subsidy totaling CZK 204 million. This development has sparked significant controversy due to concerns over potential conflicts of interest involving former owner and current Prime Minister Andrej Babiš (ANO party). The European Union has yet to confirm whether it will reimburse these funds, pending further investigation into the matter.
The situation began when Agrofert submitted its application for subsidies under the Common Agricultural Policy (CAP) of the European Union. These subsidies are typically paid directly to farmers based on criteria such as land area cultivated or livestock numbers. In this case, the State Agricultural Intervention Fund (SZIF) processed the payments for 63 companies within the Agrofert group. However, the EU has raised concerns about whether these payments were made without fully resolving the issue of conflict of interest related to Babiš's ownership of Agrofert.
According to the SZIF, the total amount requested from the European Commission was EUR 21.3 million (approximately CZK 519 million), of which CZK 204.7 million went to Agrofert. The fund regularly submits monthly reports to the EU, but the Commission has not yet approved reimbursement of these funds. Instead, it has asked the Czech authorities to provide detailed information on measures taken to prevent potential conflicts of interest.
The European Commission’s letter to Czech authorities emphasized that until all questions regarding Babiš’s potential conflict of interest are clarified, no financial support should be allocated to entities linked to him, including those controlled by his family or associated businesses. Czech authorities have been given until June 20 to respond to these inquiries.
The process of EU reimbursement typically involves the SZIF paying the subsidy first, followed by the European Commission verifying compliance with EU rules before reimbursing the Czech Republic. If discrepancies are found, the EU could refuse to reimburse certain amounts. According to the SZIF, the deadline for reimbursement would be July 3, assuming no issues arise during verification.
The SZIF has stated that it does not intend to reclaim previously issued subsidies to Agrofert, even though the European Commission has expressed doubts about the legality of the situation. It also noted that placing Agrofert shares into the independent trust fund RSVP Trust in February 2026 aligns with both national and European legislation, suggesting there is no legal basis to deny the company access to subsidies.
Opposition parties, including ODS, STAN, Pirates, KDU-ČSL, and TOP 09, have called for the suspension of subsidies to Agrofert until the EU confirms its approval. President Petr Pavel is scheduled to discuss the matter with Agriculture Minister Martin Šebesta (SPD).
Meanwhile, Agrofert has refused to return the subsidies, arguing that they were awarded in accordance with the law and that it is prepared to defend its position in court if necessary. The company maintains that Babiš has resolved any potential conflict of interest by transferring his shares to the RSVP Trust, which he claims is entirely independent.
The European Commission and domestic courts have previously concluded that Babiš did not resolve the conflict of interest during his first term as prime minister and still had influence over Agrofert, which was held in two then-active trust funds. Despite this, Babiš continues to assert that he has completely severed ties with Agrofert and that the transfer to the RSVP Trust resolves any potential conflict.
The debate surrounding the proposed amendment to the conflict of interest law has intensified. A group of lawmakers led by ANO MP Radka Vondráčková has introduced a bill aimed at reducing the period during which the government can reclaim improperly awarded subsidies from 10 years to four. Critics argue that this change would benefit Babiš and allow Agrofert to continue receiving subsidies despite ongoing concerns about potential conflicts of interest.
President of the opposition ODS and former Prime Minister Petr Fiala criticized the proposed changes, stating that they would enable members of the government to indirectly influence decisions affecting their companies' profits. He argued that the amendment is being pushed precisely because the European Commission has not confirmed that Babiš is free from conflict of interest.
The controversy surrounding Agrofert and Babiš has also extended to the broader economic landscape. For instance, Deza, a subsidiary of Agrofert, reported a record loss of over CZK 1 billion in 2025, attributed primarily to high energy costs and fierce competition from Asian producers. This highlights the challenges faced by the European chemical industry, which is struggling against global market forces and regulatory pressures.
As the situation unfolds, the focus remains on whether the European Union will ultimately approve the reimbursement of the CZK 204 million in subsidies to Agrofert. Until then, the political and legal implications of Babiš's continued involvement with Agrofert remain uncertain, with ongoing debates about the integrity of the conflict of interest resolution process and the potential impact on public finances.
7 reports
Novinky.czIndependentCenterFactual 85Objective 6521 days agoThe article discusses a proposed amendment to the Czech conflict of interest law, introduced by a group of MPs led by ANO deputy leader Radim Vondraček. The amendment would allow members of the government to participate in decisions affecting their companies' profits, among other changes. Current Prime Minister Andrej Babiš no longer holds the Agrofert holding, which he transferred to a trust fund, according to Justice Minister Martina Šcherbáková. However, the European Commission has not yet clarified whether this transfer resolves his potential conflict of interest. The opposition criticizes
Bias read (Center): The article presents both the government's position, as stated by Justice Minister Šcherbáková, and the opposition's criticism, including comments from former PM Petr Fiala. It does not exhibit clear bias toward either side, providing balanced perspectives without overtly favoring one over the other
Why these scores (Factual 85 · Objective 65): The article accurately reports on the proposed law changes and reactions from various political figures. It shows some bias in its tone toward Babiš.
Seznam ZprávyIndependentLeftFactual 80Objective 6026 days agoThe chemical company Deza, part of the Agrofert holding owned by Prime Minister Andrej Babiš, reported a record loss of over one billion Czech crowns last year due to high energy prices and cheap Asian competition. The firm specializes in processing coal tar and crude benzene, producing materials used in industries such as aluminum production, construction, and tire manufacturing. A spokesperson noted that Europe is increasingly recognizing the importance of its chemical industry amid challenges from Asia.
Bias read (Left): The article explicitly links the company's financial struggles to the impact of the war in Ukraine and mentions Prime Minister Andrej Babiš directly, implying criticism of his economic policies through the lens of corporate performance. It also frames European industrial policy as being challenged,
Why these scores (Factual 80 · Objective 60): The article provides factual information about Deza's performance and challenges. It remains somewhat neutral in tone.
Aktuálně.czIndependentCenterFactual 80Objective 5516 days agoThe article discusses Prime Minister Andrej Babiš's response to criticisms regarding a proposed amendment to the conflict of interest law, which would allow his business group Agrofert to receive state subsidies without restrictions. Critics argue this could benefit both Babiš and Agrofert, raising concerns about potential conflicts of interest. The article notes that Babiš has been focusing on anti-drug policies and other issues recently, possibly diverting attention from the Agrofert matter.
Bias read (Center): The article presents both Babiš's perspective and criticism from opponents, including legal experts, without overtly favoring either side. It frames the issue neutrally, highlighting concerns about potential conflicts of interest while also noting Babiš's recent focus on other policy areas.
Why these scores (Factual 80 · Objective 55): The article provides factual information about Babiš's response to criticisms and the proposed law changes. It has a slightly biased tone.
Novinky.czIndependentCenterFactual 80Objective 5521 days ago BRIEFLY: Babis says he has given up Agrofert and resolved the conflict of interests. Why does the EU doubt it?Andrej Babiš claimed he has resolved his conflict of interest regarding Agrofert by transferring shares into a trust fund. However, media investigations raise doubts about whether he and his family have completely disassociated from the company. The European Commission also questions this resolution and it remains uncertain if the Union will continue funding companies under the Agrofert holding.
Bias read (Center): The article presents both Babiš's claims and the skepticism from media and the European Commission without overtly favoring either side. It does not use emotionally charged language or selectively present information to support one perspective over another.
Why these scores (Factual 80 · Objective 55): The article gives a clear summary of the situation but has a critical tone toward Babiš, indicating some bias.
Deník NIndependentRightFactual 75Objective 5025 days agoThe article discusses a proposed amendment to the Czech conflict of interest law, which has been criticized for benefiting Prime Minister Andrej Babiš. Legal expert Petr Bezouška argues that the draft law clears Babiš of any conflicts of interest, allowing him to retain control over assets like Agrofert through the RSVP Trust fund. The amendment reduces the time frame for reclaiming improperly paid subsidies from ten years to four, retroactively applying this change. This could mean the Czech Republic would no longer be able to reclaim misallocated European Union funds from before 2022.
Bias read (Right): The article frames the proposed law as favoring Premier Babiš, suggesting it benefits his position and allows him to retain control over assets like Agrofert. It highlights concerns raised by an expert who criticizes the law’s wording and implications, implying a negative view of the government’s ul
Why these scores (Factual 75 · Objective 50): The article presents expert opinions but lacks specific details from the primary source document. It leans towards criticism of Babiš and the proposed law changes, showing bias.
Deník NIndependentRightFactual 75Objective 5026 days ago The government's lawmakers want to change the conflict of interest law.Members of three governing parties have quietly proposed changes to the conflict of interest law, which could allow Agrofert to access direct subsidies. The amendment would also shorten the period for reclaiming subsidies and narrow restrictions related to conflicts of interest to only apply to specific ministries. The proposal, published today on the website of the Chamber of Deputies, includes several key changes. According to the proposal, conflicts of interest would no longer apply to so-called 'eligibility' or direct subsidies, which are based on objective criteria such as the size of far
Bias read (Right): The article frames the proposed changes to the conflict of interest law in a manner that suggests they benefit specific entities like Agrofert, implying potential favoritism without providing balanced counterarguments or alternative perspectives.
Why these scores (Factual 75 · Objective 50): The article presents the proposed law changes but lacks specific details from the primary source document. It leans towards criticism of Babiš and the proposed law changes.
Deník NIndependentLeftFactual 70Objective 4525 days ago The conflict of interest news is a wake-up call for optimistsThe article discusses proposed changes to conflict-of-interest rules that would benefit Andrej Babiš, the leader of the Czech government. It criticizes these changes as legitimizing an oligarchic style of governance. The text highlights Babiš's longstanding ties to Agrofert, one of the largest corporate conglomerates in the country, and argues that even with the current arrangement involving a trust fund, Babiš remains closely connected to the company through his children. The article suggests this situation represents a significant anomaly in democratic principles.
Bias read (Left): The article uses critical language toward the proposed changes to conflict-of-interest rules, frames them as legitimizing an 'oligarchic' form of governance, and emphasizes concerns over democratic principles. It also critiques Babiš’s continued influence over Agrofert despite the trust fund setup,
Why these scores (Factual 70 · Objective 45): The article is biased against Babiš and his handling of the conflict of interest issue. It lacks neutrality and presents a strong opinion rather than objective facts.
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