🔗 Share this article Czech Populist Prime Minister-Elect Refuses to Sell Corporate Holdings During Ethical Dispute Andrej Babiš, the self-styled billionaire that won the recent Czech election, has refused to sell his vast business interests, while insisting he will address a ethical dilemma that could prevent him from taking the role of head of government. Stance on Business Holdings Babiš, whose political movement emerged victorious in the autumn vote but did not secure a parliamentary majority, declared in a online statement that he would not sell his Agrofert conglomerate, which is active in farming, food production, and chemical industries. “I have consistently stated I will never sell Agrofert. I have repeatedly said I will resolve the ethical issue in compliance with Czech and EU regulations,” the billionaire commented. “This is not like selling a pastry in a bakeshop.” President's Requirement The Czech president, Petr Pavel, announced that the 71-year-old populist must clarify openly how he will remove ethical conflicts stemming from his business activities before being appointed prime minister. The national charter “clearly mandates the head of state to take into account the possible emergence of a conflict of interest and the possibilities for its resolution” when appointing cabinet members, the presidential administration noted. The head of state “expects clarity in what precise manner Andrej Babiš will meet his statutory duties”, the statement added, noting that Pavel was prepared to appoint Babiš as prime minister “without delay” once the matter was resolved. Corporate Activities and Legal Concerns Babiš's numerous firms, mostly under the Agrofert group, operate in the Czech Republic and other regional countries, benefiting from millions of euros in domestic and European agricultural and other subsidies, as well as government deals. Under national legislation, government ministers are barred from obtaining state support or contracts. The anti-corruption watchdog Transparency International has stated that to prevent a conflict of interest, Babiš must either sell, refuse public contracts, or not enter government. Past Term and Current Plans Babiš said he would “abide by the regulations” if selected as prime minister, but declined to detail how in advance because the matter was “an extremely sensitive and personal matter for me, and journalists will invariably question me regardless”. During his initial tenure as premier, from 2017 to 2021, Babiš faced several court cases and an EU investigation over possible ethical issues. He placed his holdings into trust funds, while keeping certain control over them. A judicial body and the EU executive both determined that this did not suffice. Babiš stated recently that he was again the exclusive proprietor of Agrofert and insisted he was “implementing measures” to avoid a ethical problem, but refused to reveal specifics. Governing Agreement and Foreign Policy Consequences The billionaire populist has concluded a governing pact with two minor right-leaning groups, the far-right, pro-Russian SPD, which has called for a referendum on exiting the EU, and the Motorists for Themselves, which has mainly opposed the EU’s Green Deal. The incoming administration, if approved, is likely to strengthen the populist movement in central and eastern Europe and could strain backing from Western nations for Ukraine – although Babiš has called Ukraine’s president, Volodymyr Zelenskyy, to assure him of Czech support. Pavel, who as head of state shares responsibility for international relations, also demanded that the government agenda add a statement on the government’s position on Russia’s war in Ukraine, including a pledge to fulfilling Nato obligations. The head of state has earlier stated he would not endorse any ministerial nominees who might doubt the nation's EU and Nato commitments, a requirement that the far-right SPD has said it will meet by nominating independent technocrats.