Varoufakis' plan B under investigation by prosecution

Athens Prosecutor’s District Court orders emergency criminal examination into Yanis Varoufakis’ controversial plan B for Greece’s economy

Former finance minister Yanis Varoufakis has admitted that he brought together a team of experts to formulate a parallel payment system plan which would enable payments to be switched from the euro to Greece’s old currency, the drachma.

According to the Telegraph, Varoufakis was planning the “Plan B” for some months before his resignation as a backup strategy in case negotiations with Greece’s creditors were unsuccessful.

Currently three lawsuits have been launched by prosecution authorities regarding Plan B, signed by six lawyers, as well as Varoufakis’ general position during the negotiation process.

Elias Zagoraios, the director of the Athens Prosecution District Court, has assigned the investigation to head advocate Christos Ntzouras. The first testimonies will be given next week.

The main concern is to discover whether there was a violation of the secrecy of tax numbers in order to allow a Columbia university professor and childhood friend of Varoufakis to hack into the ministry’s system to make unauthorised copies of files concerning Greek citizens.

The parallel currency system would have been implemented through hacking the IT systems of the finance ministry to enable the ministry make transfers “at the touch of a button,” said Varoufakis during a private call with investors.

The former minister stated that the project was approved by Prime Minister Alexis Tsipras.

"The prime minister, before we won the election in January, had given me the green light to come up with a Plan B. And I assembled a very able team, a small team as it had to be because that had to be kept completely under wraps for obvious reasons," he said.

It is not certain if Varoufakis can be prosecuted, as he holds parliamentary immunity.

Varoufakis on his personal web page wrote that the accusations against him “reflect a determined effort to de-legitimise our five-month long [25th January to 5th July 2015] negotiation with a troika incensed that we had the audacity to dispute the wisdom and efficacy of its failed program for Greece.”

The MP’s office issued a statement stressing the hard negotiations undertaken by the former minister, saying that it is his hard work "gave back dignity to the Greek people" that is being prosecuted.

Meanwhile, the Greek government is expected to reach a deal with its creditors in August.

Queues in banks

Pensioners again formed long queues outside of Greek banks this morning in order to withdraw their pensions.

Today’s situation does not resemble the one immediately after capital controls were imposed in the banks. Greek people can now withdraw 420 euros every seven days.

The new withdrawal limit aims to alleviate bank branches and keep pensioners from having to wait in long queues.

TRTWorld and agencies