Report highlights mismanagement in state companies

The government has published a report on rampant mismanagement and financial abuse in state-owned companies during the previous government's reign. The report focuses on 22 selected state-owned companies, such as copper group KGHM Polska Miedz, state lottery Totalizator Sportowy and insurer PZU. Some of the more spectacular cases of abuse include KGHM paying its president's driver a monthly salary of zl. 40,000. PZU Zycie is said to be exposed to losing up to $200 million as a result of unfavorable contracts signed by its former president Grzegorz Wieczerzak, currently under arrest. Another company in which the state still has a significant stake, PKN Orlen, is being investigated for illegally spending zl. 20 million on Marian Krzaklewski's presidential campaign. Today Justice Minister Barbara Piwnik is to announce in which cases the government has filed motions with prosecutors' offices. It is estimated that there are several dozen such cases. (Rzeczpospolita, p. A1; Zycie, p. 3) T.J.