One of them, at that time, twenty one years old, unemployed young man Vaclav Franta from Chrastava near Liberec got the right to sign a power of attorney to carry out transactions of the company.
Later that day he took full advantage of it: he came to a Plzeň bank where the money of the funds was deposited and demonstrated his newly acquired power of attorney from representatives of KosMos Ltd. and instructed to transfer 1.23 billion CZK, which were the entire assets of C. S. Fondy, on behalf of the British Swirlglen Ltd to purchase virtually worthless shares of the company Drůbež Příšovice, which even were not publicly traded.
Girocredit considered the operation to be so suspicious that they asked for an investigation by the Financial Analytical Department of the Ministry of Finance (FAÚ MF), which alone had the right to suspend the transfers.
[5] However, the director of FAÚ MF Jiří Kudlík allowed the transfer of the money abroad on 11 March 1997 after being visited by two representatives of the company Swirlglen.
[7] In January 2001, a judge of the Municipal Court in Prague Hana Hubáčková adjudged sentences ranging from 5 to 10 years over the four men involved in the billions being stolen from the C. S.
[11] Since mid 1999, the executives of Crassus company, Petr Müller and Jaromír Florián, were prosecuted because by a few financial transactions they created worthless shares of Poultry Příšovice a.s.,[12] which were sold to KosMos, Ltd. for more than a billion CZK.
Judge of the District Court for Prague 4 Hronová decided that the Treasury must compensate one of the shareholders of the C. S. Fondy,[15] Zdeňek Řepka from Hradec Králové, 88,000 CZK plus the cost of the legal proceedings.
This was suggested by the Chief Public Prosecutor's Office in Prague in 2012 based on the allegations of businessman Frantisek Bušek (formerly Chobota) and his companions Klaus Schimmelpfennig and Oscar Gerlach that Tykač was responsible for the C. S. Fondy stripping of assets.
Tykač himself stated from the beginning that already in 2011 Bušek blackmailed him that if he did not pay 500 millions CZK, he would produce evidence against him and accuse him of C. S. Fondy assets stripping.
[1] Finally, the already mentioned Bušek, Schimmelpfennig and Gerlach or their collaborator Gunnar Kühn, the former CEO of Swirlglen,[22] via which the stolen money traveled abroad, were never accused in this case even though they admitted the participation in the fraud.
The forced Administrator of C. S. Fondy with the help of hired lawyers and detective agencies managed to track down a significant part of the stolen money and get about 200mil CZK back.