Andrej Babis: Czech prosecutors drop charges against PM

The news came on Mr Babis' 65th birthday

Prosecutors appear to have dropped their corruption probe against Czech Prime Minister Andrej Babis.

He was suspected of fraud, by allegedly misappropriating European Union subsidises for small businesses worth about €2m (£1.8m). He denied the claim.

A spokesman from the prosecutor's office says it had "changed" its opinion, without giving details.

But the decision is subject to review from a more senior prosecutor, and could be overturned.

Czech media report that the case has effectively been halted in the meantime - an announcement that comes on Mr Babis' 65th birthday.

The fraud investigation was looking into events some 10 years ago - before Mr Babis entered politics. At the time he was a well-known businessman and one of the country's richest men.

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The allegations are that Mr Babis obscured his ownership of a farm and conference centre known as the "Stork Nest", in order to qualify for EU subsidies for small businesses. Other members of his family are also being investigated in the case.

The EU is also investigating a potential conflict of interest case involving Mr Babis, and whether he is still benefiting from his Agrofert conglomerate. He transferred ownership of the company to trust funds before taking office, to comply with Czech laws.

But the European Commission believes he is still profiting from it, according to a leaked report.

Mr Babis denies wrongdoing, and says the allegations are politically motivated. They did not stop him winning a significant victory in the October 2017 election.

Since then, the prime minister has faced some significant domestic challenges.

He was stripped of his parliamentary immunity in January 2018, allowing the fraud investigation to go ahead.

In June, protests demanding his resignation attracted thousands, and were said to be the largest since the fall of communism in 1989.

Yet his political party, the ANO, remains the most popular by far.