Soktan's CEO arrested in alleged biofuel tax scam

The company's shares lost 5% of their value as the news broke. Yesterday the prosecutor accused Ślak of having caused the State Treasury a loss of zł.800 million between 2002 -2004 by selling components free of excise duty which were used for fuels production. Investors were relying on Ślak to fulfill Skotan's plans to post a profit of zł.34.9 million this year, zł.74.8 million next year while in 2008 the company promised to make a profit of zł.211 million. The matter however, remains very vague and strange, as the charges are weak and ambiguous. Arrest is rarely used in such situations, which implies that the case may be politically motivated. (Parkiet, July 1-2, pp.1-3) J.L.