TVP reports arrest of PKN Orlen president Modrzejewski

Andrzej Modrzejewski, president of oil giant PKN Orlen, is reported to have been detained by officers from the State Security Office (UOP). Modrzejewski's arrest, which was reported on TVP's Wiadomosci evening news bulletin, is believed to be linked to the PZU Zycie scandal. The development comes just ahead of a PKN Orlen supervisory board meeting today, at which changes to the company's management are to be discussed. The State Treasury is known to be seeking Modrzejewski's dismissal, and has been soliciting minority shareholders' support for a motion to remove him at a shareholders meeting scheduled for February 21. Uncertainty over the future of the PKN Orlen management is believed to be behind the company's recent stock market decline. Yesterday PKN Orlen shares lost almost 7% of their value, closing at zl.20.20, their lowest level since the beginning of the year. (Rzeczpospolita, p. A1; Gazeta Wyborcza, p. 29) P.J.