September 01, 2002

Exposed: Massive Corruption in Polish Hypermarkets

Local governments are estimated to have lost a total of $6.44 million due to irregularities, while Treasury Agricultural Ownership Agency (AWRSP) losses amounted to $5.44 million. The city of Wroclaw lost some $2.3 million and Lodz around $3.34 million in zoning fees that should have been levied but were not.

Typically, private intermediaries who’s ownership was unknown bought land from local governments or the state at bargain prices, and then quickly re-sold it to hypermarkets at a mark-up sometimes 50 times the original price. (Reports from the Polish Ecological Transport Campaign, TET)

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