Siela sues CEC for 43.2m euros BGN for the election machines. CEC pays a six-figure lawyer’s fee

Commercial Case 822/ 2022 of the Sofia City Court was opened on 04.05.2022 and will be heard in open session on 20.01.2023 by Judge Atanas Madzhev. For nearly half a year, the CEC has been modestly silent that this is the case for the machines imported by Ciela Norma AD, as the company wants to receive 42.3m euros from the European Commission. Lv. rent for the three consecutive picks in the second half of 2021

Asked about this case, the Central Election Commission replied concisely, without giving details: “The voting machines were supplied by two commercial companies. Upon a statement of claim filed by one of them, a case has been initiated in the Sofia City Court. The Central Election Commission finds that in pending litigation it should not provide information.”

Claim for 42.3 million with a partial claim for BGN 26,000.

Ciela Norma AD does not consider the payment of BGN 34,126,848. The CEC for the machines /from 05.07.2021/ transfers their ownership to the State and claims to remain the owner of all 9,600 voting devices until the full amount of the contract is paid, which is for BGN 43,198,800. incl. VAT.

The CEC also pays the remainder of the contract, but at the end of the year on 21.12.2021, and in the meantime the parliamentary elections were held in July and the two rounds of the “2 in 1” elections in November. “Ciela” asks the CEC to pay rent of BGN 1,500. per machine or BGN 14 400 000 for each of the three election events – a total of BGN 43.2 million. Lv.

In addition to this main claim, several other claims have been filed in the alternative, with other legal grounds, says the statement of claim that the BRRD has examined.

Both the main action and the others were brought in part. The main claim for 42.3m euros will be filed for the construction of a new gas pipeline. Lv. It is claimed for only BGN 26,000. This was done in order not to pay the full state fee in case of unclear outcome of the case. This practice is based on an interpretative decision of the Supreme Court of Cassation, according to which the full amount can be collected if the partial claim is won.

However, CEC lawyer Valya Gigova will receive a fee on the full amount of the claim or over BGN 300,000. She herself is the importer of an amendment to the attorney’s fees ordinance that governs precisely this issue – the attorney’s fee to be calculated on the full amount of the claim, not on the partial one.

Lawyers are dear to us.

“You don’t have to write about it!” he said. Gigova contacted for comment. According to her, disclosure of the case would be harmful. Asked what her fee was, Gigova declined to name her but said it was “many times lower than the legal fee.” She specified that she does not defend CEC alone, but in a team, pointing out Assoc. Trayan Konov. In the case is authorized and adv. Stefan Marchev, Partner at Gigova & Partners Firm.

According to unofficial information, the fee of the CEC lawyers for this case is over BGN 300,000.

Adv. Valya Gigova is Deputy Chairman of the Supreme Bar Council (SAC). And it is she who has proposed a new text in Ordinance 1 of the Supreme Administrative Court on fees on partial claims, which governs that they are paid on the full amount of the claim. This is clear from the minutes of the meeting of the Supreme Administrative Court:

Gigova: “My proposal for editing is as follows. In fact, the logic in the first claim to determine the remuneration on the full price of the claim, and not on the partial one, is the understanding adopted in paragraph 2 of Interpretative Decision No 3 of 2016, which said that the operative facts form the force of an adjudication within the first claim. In other words, if a lawyer looks at the first claim for BGN 10,000. of 15 million it decides the question of the whole taking. Because if the claim is rejected, there will be no other case… My suggestion is therefore as follows. In the case of partial claims, the remuneration for the first partial claim is determined on the full amount of the claim, regardless of how much of it the claim is filed, and for all subsequent partial claims it is determined on the amount of the claim in the particular case. “

This is objected to by adv. Peter Slavov, who sees the possibility of abuse.

“I mean, this allows for abuse of right, because one, how can I say, a more innovative-minded colleague can decide instead of filing a lawsuit for the whole amount one, but to file 10 as partial, on the first one to take the whole amount once and the other 9 will take according to the material interest in the percentage…”

In the course of the debate, Gigova’s position is firm and clear:

“
In partial actions, the remuneration for the first partial claim is determined on the full amount of the claim, regardless of how much of it the claim is filed and we put an end.”

Slavov’s arguments that such a text could lead to the draining of state institutions for huge fees also do not help:

“And imagine that this case is, for example, brought against some state body and, God forbid, there is some … For example, this … colleague with the representative of the state body and . . . .”

Slavov’s ellipsis actually corresponds somewhat to the situation with the state body CEC, the partial claim of “Ciela Norma” AD and att. Valya Gigova, who /together with her team/ have “tidy” over BGN 300,000. fee, instead of the modest remuneration on BGN 26,000, which was due under the old ordinance, before the Gigova amendment.

Conflict of interest?

The problem is that adv. Gigova negotiated this fee before the new ordinance was voted. Thus, in her proposal and in the ardent defense of the amendment of the ordinance, there is a serious conflict of interest.

Another potential problem is that adv. Valya Gigova definitely has an affinity for the specialized legal portal LEX.BG, which is connected to Ciela. Gigova defends the contract for BGN 3,000 before the Supreme Administrative Court. per month with the publishing company LEX.BG EAD.

“Let’s concentrate on that, let’s pick LEX.BG that I don’t know if they need a presentation at all, but I really think they’re the -…, and not just because they did, they’re the closest to the topic. And we will assign them to coordinate not only the register, but also to coordinate all other things related to the register, because we have a website, we have…” – lobbied Gigova to her colleagues.

LEX.BG is a historical partner of Ciela and its legal information services are offered on the site.

The owner of LEX.BG EAD until 2019 is the American company “Software Point” LLC, which has no clear owner. After the companies were obliged to declare their ultimate owner, the ownership was transferred from the offshore to Dilyan Nikolaev Vichev.

In the past, the board of LEX.BG was the company “Legal World” EAD, which until 2017 was owned by Atty. Ivan Todorov, majority shareholder in Ciela Norma AD.

Prof. Ivan Todorov is considered close to the DPS MP Delyan Peevski. This is discussed in the leaked conversations of Judge Vladimira Yaneva, Judge Rumyana Chenalova and Atty. Momchil Mondeshki, known as “The Two Khaki”: “He goes up all the time, to Delyan, Delyan,” Mondeshki says, citing a specific case for BTC, in which Todorov served the interests of the DPS MP. “I’ve talked to Delyan I know they know each other.” Yaneva agrees. Ivan Todorov himself categorically denies having any connection with Peevski.

Leading photo: BGNES

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За да научавате преди всички за нови разследвания, инсталирайте си нашето мобилно приложение:

Щом сте стигнали дотук, вероятно вече си задавате въпроса как се финансира този журналистически проект.

От създаването си BIRD се финансираше от подаяния в нашето журналистическо чекмедже.
Но на чекмеджето му мина времето. Даже прокуратурата затвори онова Чекмедже, знаете кое…
Нашето финансиране влиза в крак с епохата. Фондонабиращата ни кампания вече се казва

#МятайСБЪРД

Дарявай за BIRD и мятай павета в блатото с корумпирани политици и други тарикати.
Те тайно премятат пари от твоя джоб в своя. Те размятат безнаказано лукса си пред очите на всички. Няма кой да ги накаже ако се надяваш на държавата.
Мятай, за да ги накажеш ти. Да дариш за разследващите журналисти е гаранция, че гадостите, с които силните на деня те замерят, ще им се върнат.
Можеш да метнеш веднъж, за да ти олекне!
Но по-добре е да мяташ редовно всеки месец и да се чувстваш трайно удовлетворен.
А най-добре е да доведеш приятели и да мятаме редовно заедно в екип. С мощен залп!
*За кръстник на новата ни фондонабираща кампания избрахме другарката Ваня. Благодарим й за вдъхновението!