site.btaContinue the Change: Defence of State Interest in International Fair Plovdiv Case Will Show Whether Government Will Fight Oligarchy

Defending the State's interest in the case concerning International Fair Plovdiv will show whether the government intends to fight oligarchy, as stated in its programme, representatives of Continue the Change told a news conference at BTA's National Press Club in Plovdiv. The case seeks to establish that the State has the status of a shareholder holding rights over 29% of the company's capital.

Participants included MP and former economy and industry minister Bogdan Bogdanov, Plovdiv's Western District Mayor Toni Stoycheva and Plovdiv Municipal Councillor Alexander Rakshiev.

"We are not against public-private partnerships, but when we have seen poor management of this asset for 20 years, we have reason to suspect that the aim of taking control of the majority stake is not to preserve the fair but to turn it into yet another residential complex in Plovdiv," Bogdanov said. He noted that since 2006, successive governments had turned a blind eye to what he described as the covert privatization of the fair.

According to Bogdanov, the fact that the autumn international technical exhibition will not be held this year is a serious indication that the fair is heading in the wrong direction. "We keep talking about innovative companies and high added value in the government programme, but where will our companies be showcased?" he asked. He called for the Council of Ministers to state its position on the case and welcomed the Finance Minister's declared readiness to defend the State's interest.

The official website of International Fair Plovdiv says its exhibitions development concept is being updated, including restructuring of the autumn technical exhibition, which will therefore not be held this year. The new model envisages separate sector-specific exhibitions, which the fair's management says will ensure greater efficiency, a clearer focus and better conditions for professional contacts.

The concept is being developed following an expert discussion involving the Ministry of Economy, Investments and Industry, the Ministry of Innovation and Digital Transformation, the Bulgarian Academy of Sciences, industry representatives and business associations, the company said. As part of the restructuring, consideration is also being given to switching International Technical Fair to a biennial cycle, similar to the HEMUS International Defence Equipment and Services Exhibition.

In a letter sent to Prime Minister Rumen Radev, and the ministers of finance and economy on August 6, Bogdanov warned that government inaction could lead to the permanent loss of state control over International Fair Plovdiv Plc. He said that in August 2016, under allegedly unclear circumstances, a 29% stake in the Plovdiv Fair was transferred to Varna Municipality, paving the way for the subsequent takeover of the strategic asset. Bogdanov also said that in October 2021, decisions by the municipal councils of Varna and Plovdiv marked the beginning of a new phase in the process of acquiring majority control by a company linked to Georgi Gergov.

During his first month as economy minister in the Nikolay Denkov - Mariya Gabriel government, Bogdanov initiated legal action to prevent what he described as the covert privatization of the Plovdiv Fair. In July 2023, a lawsuit was filed seeking the restoration of the State's stake in the company.