Leo Steiner

NFPK Prize for Courage 2014 - 100 000 CZK

A little American dream—Czech style, of course: A Husák child reaching adulthood on the threshold of a new, democratic stage of societal development. Class of ’89 sent off to the ringing of keys, his faith in the commandments such as “Thou shalt not steal” and “Thou shalt not wrongly testify against thy neighbour” makes him join KDU- ČSL in his freshman year at a teacher-training college, where he majors in sports and civics that presage his rise and clash with the powers that be. Undying effort combined with the fair play spirit. Public commitment naturally blends with civic responsibilities. Not too fashionable in the higher echelons of power.

But Leo Steiner doesn’t know yet, nor does he pore over it. He is not aiming for those higher echelons of power. He is aiming at primary schools in Most, to teach children from socially excluded localities. He spends the last year of his teaching career at a high school in Most, teaching economics, marketing and management, but a turning point in his life is coming closer.

In 2000 he joins the Ústí Region Development Agency as head of the Info Centre Most—he isn’t 30 yet. Two years later he gets an appointment as the director of the Planning Support Department. In parallel with his professional career he begins to teach courses in related areas, such as Regional Development, European Union, and EU Fund Management. Four years later he takes a two-year detour as head of a regional charity, where he starts to view the EU funding environment from the angle of applicants for support. In 2007 he crosses to the other shore, where applications are processed and funds allocated: he becomes deputy manager of the Project Planning and Control Section of the Czech State Environment Fund. He is responsible for the management of billions of crowns’ worth of subsidies to be granted. He has more than 100 people reporting to him. And ahead—what lies ahead of Leo Steiner?

For a while he might hope to get the position of director of Regional Operational Programme Northwest, to which applications were invited early in 2012. He likes to say that the application he filed was a litmus test, but it is hard to believe he did not see a flicker of hope. After six years of commuting to work in Prague, he would like to return to his hometown in the Ústí Region. He has not won the tender, but the more successful candidate offers him a position as director of the Programme Management Department. Leo Steiner agrees on the condition that a standard select procedure is held, and so it came to pass.

Upon transferring his agenda to him, his predecessor does not hide his dismay at the local conditions. He leaves the post with another three key officials, all resigning for the same reason. But Leo still feels like improving the image of his office, and has faith he can do it. All too soon, however, he finds out that the programme, under which 19 billion crowns are to be distributed in the course of seven years, is so set as to allow the funds to be siphoned off, illegally, or rather embezzled, to use a Leo Steiner quote: ROP Northwest is one big asset-stripping business. As a member of the Monitoring Committee, which is supposed to supervise fund allotment, he presents his findings about an unbelievable, mafia-style theft of European funds. In solo capacity at first, then in conjunction with Transparency International, he files a lawsuit against the programme management. “Thou shalt not join the majority that commits evil,” says the book Leo keeps on his bedside desk. A maelstrom of investigation, media statements and threats is set in motion.

Leo Steiner resigns from the EU fund office. Ústí Region’s governor and the fund office sue him back. The regional government makes one last attempt to apply a strategy of the outraged righteous; those disgraced but resolved to defend their honour. As one, they all deny any wrongdoing. Leo Steiner returns to the Most charity only to leave his job merely one year later, against threats from the regional government that this charity will “have no chance” in the region. After a brief anabasis he resumes his position at the State Environment Fund this year.

Nevertheless, police detain the governor’s deputy Pavel Kouda, the head of the fund office Pavel Markvart, and another four persons, who are charged with abuse of their official powers and harming the interests of the European Community. Czech and European audits confirm that the system has failed and suspend the operational programme for one year. The EU fines the Czech Republic an astronomical 2.5 billion crowns, to be shared on an even basis by the Ústí and Karlovy Vary regions, and the Czech Republic. For more than one year, the Ústí Region refuses to join the injured parties in enforcing the compensation of these enormous damages. But Leo Steiner emerges as an attorney of the regional referendum, “Let those guilty pay”, which collects the signatures of more than 11,000 citizens of the region. At long last, eight defendants, one of them with a crown witness status, face the court in September 2014. The defendants face up to 12 years in jail, if convicted. On the trial’s opening date, and quite unexpectedly, the Ústí Region and the government ministries concerned join in claiming compensation for almost one billion crowns of damages caused by the defendants. It is a big victory of the region’s citizens over the arbitrary behaviour of political godfathers. The Anticorruption Endowment awards them with its Prize for Courage 20014.