Petrich Mayor: EU Funds Fraud Indictment Filed by EPPO

• The European Public Prosecutor’s Office (EPPO) in Sofia has indicted Dimitar Brachkov, the mayor of Petrich, Bulgaria, for fraud.
• The charges relate to the alleged misuse of €646,857.59 in EU funds for a cultural heritage museum project.
• Funds from the European Regional Development Fund (ERDF) under the INTERREG V-A Greece-Bulgaria Programme were intended for rehabilitation, but a new building was constructed.
• Mayor Dimitar Brachkov is accused of concealing the prior demolition of the original military barracks, violating funding eligibility conditions.
• If convicted by Bulgarian courts, the mayor faces a potential prison sentence of two to eight years.

By withholding this critical information, Mayor Dimitar Brachkov is accused of directly violating the eligibility conditions stipulated by the INTERREG V-A Greece–Bulgaria programme, thereby constituting a case of EU financial interests crime in Petrich.

The European Public Prosecutor’s Office (EPPO) in Sofia, Bulgaria, has formally indicted Dimitar Brachkov, the mayor of Petrich, a municipality situated near the Greek border, on charges of fraud. This significant legal action, filed at the Sofia City Court on October 21, 2026, centers on alleged irregularities concerning an EU-funded initiative aimed at establishing a cultural heritage museum. The project, titled 'Cultural Dipole in Cross-Border Area,' was designed to highlight the shared historical and cultural ties between Bulgaria and Greece.

This specific project received substantial financial backing, with the European Regional Development Fund (ERDF) contributing €646,857.59. These funds were allocated under the 2014-2020 INTERREG V-A Greece-Bulgaria Cooperation Programme. The core of the accusation against Petrich mayor Dimitar Brachkov involves the alleged misuse of these funds, specifically related to the transformation of a former military camp in Petrich into the planned museum. The investigation by the EPPO suggests that Mayor Dimitar Brachkov concealed a crucial fact: the original military barracks had been completely demolished before any reconstruction work commenced.

According to the terms of the funding agreement, the EU funds were strictly designated for the *rehabilitation* of the existing structure. However, evidence gathered indicates that a new building was constructed from the ground up, rather than the intended renovation of the original barracks. By withholding this critical information, Mayor Dimitar Brachkov is accused of directly violating the eligibility conditions stipulated by the INTERREG V-A Greece–Bulgaria programme, thereby constituting a case of EU financial interests crime in Petrich. This indictment of Petrich Mayor Dimitar Brachkov for EU funds fraud underscores the EPPO's commitment to scrutinizing the proper use of European funds.

The European Public Prosecutor’s Office operates as the independent public prosecution body of the European Union, tasked with the vital responsibility of investigating, prosecuting, and bringing to judgment criminal offenses that impact the financial interests of the EU. In this instance, the EPPO Bulgaria cultural heritage fraud investigation highlights the stringent requirements associated with cross-border cooperation programs like INTERREG V-A Greece-Bulgaria. These programs are designed to foster regional development and collaboration, often involving significant financial contributions from the European Regional Development Fund.

The specific conditions for the 'Cultural Dipole in Cross-Border Area' initiative clearly stipulated that the allocated funds were to be utilized for the rehabilitation of the former military camp. This distinction between rehabilitation and new construction is fundamental to the eligibility criteria for such projects. The alleged act of constructing an entirely new facility while claiming it as a rehabilitation project represents a direct contravention of these established rules. The Sofia City Court fraud indictment now places the burden of proof on the prosecution to demonstrate this breach.

The integrity of the INTERREG V-A Greece-Bulgaria Programme fraud investigation hinges on proving that Mayor Dimitar Brachkov deliberately obscured the demolition of the original structure to secure funding under false pretenses. Such actions, if proven, not only undermine the specific project but also cast a shadow over the broader framework of EU-funded initiatives. The EPPO's involvement signifies a serious allegation of European Regional Development Fund misuse, emphasizing the need for meticulous adherence to all contractual obligations.

The potential legal ramifications for Dimitar Brachkov, the mayor of Petrich, are severe; if found guilty by the competent Bulgarian courts, he faces a prison sentence ranging from two to eight years. It is important to note that, as with all legal proceedings, the individual involved is presumed innocent until proven otherwise. However, this case serves as a stark reminder of the rigorous oversight applied to projects receiving European Union funding and the serious consequences for any alleged breaches.

This indictment of Petrich Mayor Dimitar Brachkov for EU funds fraud underscores the critical importance of transparency and strict compliance with funding regulations for all entities involved in EU-supported projects. The EPPO's proactive role in pursuing cases of fraud against the EU's financial interests demonstrates a clear commitment to protecting taxpayer money and ensuring that funds are used precisely as intended. For organizations and individuals participating in cross-border initiatives, particularly those leveraging ERDF or INTERREG funds, meticulous adherence to eligibility conditions and accurate reporting are not merely administrative tasks but essential safeguards against potential legal challenges.

The outcome of this case will have broader implications for how EU-funded projects are managed and monitored, reinforcing the message that any attempt to circumvent established rules, especially regarding the fundamental nature of a project like rehabilitation versus new construction, will be met with robust investigation and prosecution by bodies like the EPPO. This incident highlights the imperative for robust internal controls and legal counsel to ensure full compliance, thereby mitigating risks of fraud and protecting the integrity of European development initiatives.

Compliance officers and legal counsel advising entities involved in EU-funded cross-border projects, especially those receiving ERDF or INTERREG funds, must ensure rigorous adherence to eligibility conditions and transparent reporting to avoid potential fraud investigations and indictments by the European Public Prosecutor's Office.

Source: Original reporting via the European Public Prosecutor’s Office