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Couple charged with €5m fraud for selling tap water as "innovative product" to Poland's largest power plant

8 days ago
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Couple charged with €5m fraud for selling tap water as "innovative product" to Poland's largest power plant

Key Insights

  • A Polish couple has been charged with defrauding Bełchatów Power Plant, Europe's largest coal plant, by selling tap water as a patented industrial product for €5 million.

  • The fraudulent scheme targeted the plant's flue gas desulfurization system, which aims to reduce sulfur dioxide emissions, but the product had no meaningful effect.

  • The suspects, arrested in Spain, face charges including fraud, tax evasion, and leading a criminal group, with potential prison sentences of up to 25 years.

  • The case highlights broader issues of corruption and inefficiency in Poland's coal-dependent energy sector, which ranks among the EU's worst for air pollution.

Prosecutors in Poland have charged a husband-and-wife duo with defrauding Bełchatów Power Plant, the largest coal-fired facility in Europe, out of 21 million zloty (€5 million) by supplying tap water disguised as a patented industrial product. The alleged scam, which lasted several years, targeted the plant's flue gas desulfurization system—a critical component for reducing sulfur dioxide emissions. Bełchatów, notorious as the EU's highest-emitting power plant, relies on such systems to mitigate its environmental impact.

The 45-year-old woman, who led the company behind the scheme, and her 55-year-old husband were arrested in Spain under a European arrest warrant and extradited to Poland. They now face charges of fraud, tax evasion, and leading a criminal group. Prosecutors allege the couple sold the power plant an "innovative and patented preparation" to limit sediment formation in sulfur absorbers, but the product was merely tap water with minor additives like chlorine and phosphoric acid. Independent lab tests were reportedly falsified to support the fraudulent claims.

The investigation, led by the Łódź prosecutor's office and the Internal Security Agency (ABW), has implicated eight individuals, including a Bełchatów employee accused of accepting bribes. Authorities have seized assets linked to the case, including cash and a historic palace valued at 4 million zloty. "We are planning further charges," said a prosecutor, underscoring the case's complexity.

Bełchatów's reliance on coal has made it a focal point of environmental concerns. In 2022, the plant emitted 35 million metric tonnes of CO2—more than any other facility in the EU. Poland's coal-heavy energy sector contributes significantly to the country's poor air quality, ranking among the worst in Europe. This fraud case underscores systemic vulnerabilities in Poland's energy infrastructure, where corruption and inefficiency persist amid efforts to transition to cleaner technologies.