It's urgent! Tusk threatens with KPO. Who will endure the consequences for millions from the Union?

dailyblitz.de 2 weeks ago

Prime Minister Donald Tusk announced decisive action in relation to the increasing scandal surrounding the National Reconstruction Plan (KPO), peculiarly in the context of controversial grants to the HoReCa sector. The Head of Government, during a visit to the Chemical Plant “Nitro-Chem” in Bydgoszcz, made it clear that he did not exclude personnel decisions. The full issue raises immense emotions and raises questions about the transparency of spending EU funds, which were to support Polish companies after the pandemic. The next gathering of the government is to be crucial for further settlements, and the Minister of Funds and Regional Policy, Katarzyna Pełczyńska-Nałęcz, will supply explanations. The stake is high: billions of PLN from KPO, which Poland has yet begun receiving, are under scrutiny and citizens anticipate full work for possible abuses.

Prime Minister Tusk puts up an ultimatum. Who will answer for KPO?

Donald Tusk stressed that he was not going to scare anyone, but if he felt that individual had failed at political level, he would endure the consequences. The Prime Minister expects from Minister Pełczyńska-Nałęcz detailed explanations concerning the spending of funds from the KPO, as well as information about existing supervisory activities. Tusk pointed out that the problem with the KPO, inherited from the government of the United Right, was that Poland may not have spent the funds allocated, which forced ‘relaxing of procedures’. The aim was to send money to Polish companies as shortly as possible to prevent them from disappearing. Although no corruption or theft has been found for the time being, the Prime Minister has announced that all case of a grant will be investigated and, in situations where abuse is obvious, contracts will be cancelled and funds taken.

Millions for yachts and saunas? HoReCa Scandal Under the Mirror

The HoReCa support programme, designed for micro, tiny and medium-sized enterprises in the hospitality, gastronomy, tourism and culture sectors that have suffered the most from the Covid-19 pandemic, was the focus. Controversies broke out erstwhile X-platform users (formerly Twitter) began publishing examples of companies that received KPO grants for doubtful purposes, specified as purchase of yachts or saunas. These reports rapidly picked up the media, which led to a nationwide debate and government response. The aim of the programme was to compensate for losses and to support investments to aid the sector recover. At present, however, it is crucial to settle each euro and make certain that the funds have gone to the right beneficiaries and to the right targets.

The Ministry of Funds controls. What's next on the grants?

The Minister of Funds and Regional Policy Katarzyna Pełczyńska-Nałęcz actively reacted to the allegations, informing that the grants from the KPO would be checked in detail. On platform X, she wrote that "where doubts arise as to the promotion of investment with KPO funds, they will be cleared and, in the event of infringements, beneficiaries will be called back". The Minister besides dismissed allegations of alleged coordinated trading of companies under the HoReCa programme, stressing that the ownership past of companies is not a criterion for assessing applications. Possible ownership manipulations before the competition are, in her opinion, the area of activity of the services, not the Ministry or the Polish Agency for Enterprise improvement (PARP). Due to irregularities, the president of PARP has already been recalled and the prosecution is besides investigating. The results of comprehensive checks are to be known by the end of the 3rd 4th of this year.

What criteria did HoReC support?

The rules for the selection of applications under the HoReCa programme were laid down in 2023. Entrepreneurs could submit applications in 2 rounds: in May-June and July-October 2024. The key criterion eligible for the grant was the decrease in turnover, calculated year to year between 2020 and 2021. In the second circular of recruitment any facilitations were introduced, including a minimum decrease in turnover to 20% has been reduced., which would let access to funds of more companies. In addition to the fall in turnover, the second condition was to introduce a fresh service or extend the offer. Although the programme's intentions were right – fast support for the pandemic sector – Prime Minister Tusk acknowledged that the request to act "faster" could have resulted in a "less careful" verification process, which is presently under intensive research.

The consequences and future of KPO: What does this mean for Poland?

The KPO scandal and announcements by Prime Minister Tusk about the personnel consequences and detailed checks are a signal that the government is addressing the issue of spending EU funds with full seriousness. For Polish entrepreneurs, especially those who apply for or have already received grants, this means maintaining the highest transparency and compliance with the procedures. Each KPO gold is presently under close observation. The work for fraud, both at political level and among beneficiaries, is to be enforced with full determination. The aim is not only to settle the past, but besides to guarantee that future tranches of funds from the National Recovery Plan will be spent efficiently and as intended, strengthening assurance in the Polish strategy of management of EU funds.

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It's urgent! Tusk threatens with KPO. Who will endure the consequences for millions from the Union?

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