/s3/static.nrc.nl/wp-content/uploads/2025/12/05100826/051225VER_2026074062_Babis.jpg)
Prague - In a move to allay conflict of interest concerns as he prepares to assume the premiership, Czech billionaire Andrej Babiš has transferred control of his vast Agrofert conglomerate into two trust funds, effective November 28, 2017. The transfer aims to distance Babiš from the sprawling business empire encompassing agriculture,food processing,and media holdings,fulfilling commitments made during negotiations to form a new government.
The relinquishing of direct control over Agrofert, valued at approximately $11.7 billion, represents a important step for Babiš, who founded the company in 1993. Concerns have swirled for years regarding potential conflicts of interest stemming from Babiš’s dual role as a major businessman and a leading political figure. The transfer is intended to address European Commission scrutiny and public criticism surrounding potential misuse of EU subsidies received by companies within the Agrofert group. The move paves the way for Babiš to be formally appointed Prime minister, potentially as early as December 6, 2017, following a vote of confidence in his proposed cabinet.
Babiš stated the decision was made to ensure the smooth functioning of his government and to demonstrate his commitment to ethical governance. “I have fulfilled my promise,” Babiš told reporters. “I want to focus entirely on the affairs of the state.” The trust funds will be managed independently, with beneficiaries including Babiš’s children and a charitable foundation.
Agrofert is one of the largest companies in the czech Republic, employing over 33,000 people. The company’s holdings include farms, food producers, chemical plants, and media outlets such as the Mafra publishing house. The European Commission launched an audit in 2017 into potential conflicts of interest related to EU subsidies received by Agrofert, raising questions about whether Babiš improperly benefited from funds allocated to support agriculture and rural development.
Andrej Babiš, born September 2, 1954, in Bratislava, czechoslovakia (now Slovakia), rose to prominence as a successful businessman following the fall of communism in 1989. He founded Agrofert, initially focused on agricultural trading, and rapidly expanded it into a diversified conglomerate. Babiš entered politics in 2011,founding the ANO 2011 movement,which campaigned on an anti-corruption platform and a promise to run the country like a business. ANO 2011 won the most seats in the Czech parliamentary election in October 2017, setting the stage for Babiš’s bid for the premiership.
