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"The management of the group is of the opinion that the company has not granted a gratuity, it has in its course of activities followed the legislation in force in the Republic of Estonia. We have initially reviewed the court decision and can say that we intend to issue an appeal regarding the parts of the court decision relating to conviction and penalties," Merko said.

On 30.03.2012, Harju County Court published a court judgement in the criminal matter No. 1-09-20251 on charges brought against AS Merko Ehitus and its subsidiaries OÜ Metsailu, OÜ Woody and OÜ Constancia accused of granting gratuities to Ivo Parbus, a city official of Tallinn, writes LETA.

Pursuant to the decision of Harju County Court, AS Merko Ehitus, OÜ Metsailu, OÜ Woody and OÜ Constancia were convicted in some episodes based on § 297 subsection 3 of the Penal Code (granting or promising a gratuity by a legal person). As per the decision, AS Merko Ehitus is penalised with a pecuniary punishment in the amount of 300,000 euros, OÜ Woody is penalised with a pecuniary punishment in the amount of 200,000 euros, OÜ Constancia is penalised with a pecuniary punishment in the amount of 200,000 euros and OÜ Metsailu is penalised with a pecuniary punishment in the amount of 100,000 euros. The extent of charges established by the court as well as the penalties imposed were both less than what was applied for by the public prosecutor. The decision has not entered into force.