The Czech Minister of Justice resigns over USD 45 million in a bitcoin donation scandal

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The Czech justice minister Pavel Blazek gave way to the scandal regarding the sale of his ministry in the amount of almost $ 45 million Bitcoins transferred by a convicted drug dealer.

The controversy broke out on May 28 after the ministry Published At X, he collected nearly 1 billion Czech Koruna (about $ 45 million), at almost 500 bitcoins (BTC) at the auction.

Funds were intended for projects such as the digitization of the justice system, combating drug utilize in prison and improving apartments for prison staff.

However, the Czech news Denik n revealed The fact that cryptocurrency comes from Tomas Jirikovsky, a convicted criminal behind the Sheep market, a gloomy internet platform known for selling illegal goods.

Source: The Ministry of Justice of the Czech Republic

Related: Czech to discover recent resources, omits Bitcoin, because the BTC reserve worth USD 7 billion is in the face of criticism

The Czech minister accepts the donation of Bitcoins

In March, the lawyer Jirikovsky approached Blazek, offering a third of Bitcoins as donations to the Ministry of Justice. Blazek accepted without examining the origin of cryptocurrency.

“I have no way to examine this case and I was not interested so many years after the case,” he he said At the Thursday press conference, suggesting that the donation reflected the desire to “regret” Jirikovsky.

However, public outrage increased compared to the lack of due diligence of the transaction. The opposition leaders called this scandal, and the police began investigating the origin of Bitcoin.

Jirikovsky was convicted in 2017 for embezzlement, drug trafficking and violation of weapons. He tried to recover 1,500 bitcoins confiscated at the time of his arrest in 2021.

During the trial, the Czech authorities suspected that the funds were associated with the nucleus, another gloomy internet market closed just after Jirikovsky’s arrest. Despite this, he maintained that Bitcoin was acquired legally, which allowed him to keep him after completing the sentence.

Related: The Czech Governor of the National Bank proposed a Bitcoin reserve plan worth USD 7 billion

Blazek gives up after the installation of the pressure

In the face of the growing pressure and in the legislative election in only four months, Prime Minister Petr Fiala distanced himself from Blazek, a longtime political ally.

Then Blazek gave up on May 30. “I am not aware of any illegal actions. However, I do not want to harm the reputation of the government or the Managing Association,” he said in his statement.

Source: Pavel Blazek

On February 6, the Czech President Petr Pavel signed the provisions regarding the cryptocurrency of “breakthrough”, providing the Czech Republic regulatory transparency in the field of digital assets, which are in line with the wider provisions of European Union law.

Up-to-date legislation simplifies cryptographic tax principles and implements EU markets in the regulation of cryptocurrencies (MICA) “in a way supporting innovation and development of the entire industry”.

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