National Bank of Austria vice-governor faces bribery charges

Austrian prosecutors have charged nine people, including National Bank of Austria vice-governor Wolfgang Duchatczek, with bribery in relation to money-printing deals signed with Syria and Azerbaijan.

Following an 18-month investigation into Oesterreichische Banknoten- und Sicherheitsdruck (OeBS), the branch of the Austrian central bank responsible for note printing, Duchatczek and the other defendants have been charged with paying €14 million ($18.6 million) to win contracts, a spokeswoman for the public prosecutor said.

Duchatczek's link to the case stems from his position overseeing the Cashier's Division at the central bank, which includes the OeBS. If found guilty, the defendants face up to 10 years in prison.

However, Gabriel Lansky, the lawyer representing the vice-governor, said the evidence against Duchatczek was flimsy, adding that his client should be acquitted in the coming main hearing. "The only evidence on which the public prosecutor counts is an opinion of the presumed main perpetrator," Lansky told CentralBanking.com. "At an objective analysis of the situation it is clear that Dr. Duchatczek is innocent."

The National Bank of Austria (OeNB) yesterday called an extraordinary meeting, to be held on June 18, "which will advise on the next steps", a statement on the central bank's website said.

Other members of the central bank's governing board have been under suspicion in the past. Governor Ewald Nowotny and board member Peter Zoellner were investigated alongside Duchatczek in 2011 after an audit of the OeNB turned up evidence of "unlawful actions". However, the three were later cleared.