Polish Prosecutors Indict Ex-Orlen Managers Over $378 Million Oil Losses
Three former Orlen managers face trial in Poland over $378 million in losses from undelivered crude oil contracts.
Polish prosecutors have formally charged three former managers of state-controlled refiner Orlen and its Swiss trading arm, Orlen Trading Switzerland (OTS), over crude oil supply deals that resulted in losses of nearly $400 million. The indictment, filed on Friday, could see the defendants face up to 25 years in prison if convicted.
The case stems from prepayments totaling $378 million that Orlen made for crude oil—primarily of Venezuelan origin—that was never delivered. Investigators allege the three men failed in their duty to properly supervise and protect company assets when they entered into three separate purchase contracts that were detrimental to the firms and caused substantial financial damage.
The accused, identified under Polish privacy laws as Michal R., a former Orlen management board member; Marcin O., a former OTS board member; and Filip W., a former executive director at both companies, have all denied any wrongdoing. The investigation, which has been running for over two years, remains open.
Prosecutors are also continuing to look into the actions of Samer A., the former head of OTS, who was detained in the United Arab Emirates last year. Poland has formally requested his extradition. Neither the defendants nor Orlen have issued public comments on the indictment.