A senior functionary at the Audit Office has earned €260,000 since late 2019 when he was put on paid suspension after reveals that he and others had fraudulently established a company, media reported on Monday.

Politis said the functionary has been paid 75 per cent of his salary every month since October 2019 when he was suspended due to his involvement in the scam.

The case is reminiscent of others where suspended civil servants continue receiving their wages –anywhere from 50 to 75 per cent – while on suspension. Where the civil servants face criminal prosecution, they keep getting paid until their legal case is definitively resolved – which includes the appeals process.

In the case of the Audit Office functionary, he and four others – co-workers at the Audit Office – had fraudulently set up a company by concealing the fact they were civil servants.

By law, civil servants are prohibited from participating in a private company. Exceptions are sometimes made, but regardless a civil servant needs the explicit permission of the finance minister.

When registering the company, the five Audit Office employees falsely declared that they worked in the private sector.

Via the company they incorporated, they purchased a large plot of land which they later leased to the Electricity Authority of Cyprus; the plot was intended to be used for a solar park.

According to Politis, given that the auditor-general’s office audits the EAC, it’s quite likely that the five had inside information about the EAC’s intention to build the solar park.

They set up the company back in 2006. It was not until 2019 that their scam was uncovered, and by then four of the five Audit Office employees had retired.

One of the five had meanwhile passed, another was not prosecuted as he faced serious health issues; while the other two were prosecuted, pleaded guilty and were fined.

However the senior functionary, who had not retired yet, did not plead guilty. He has therefore continued getting paid 75 per cent of his salary up to the present day. Citing its information, Politis said his trial at Nicosia district court has yet to get underway.

In effect, the man has pocketed an estimated €260,000 throughout this time – while not doing a day’s work.

His take-home earnings amount to €4,000 and he has been on furlough for 65 months.

The daily said that he has managed to delay the trial by petitioning the attorney-general to stay his prosecution. He has filed at least three such petitions – all rejected.

If convicted, he would next face disciplinary proceedings to decide whether he should be fired from the civil service.

Whereas this individual played for time by petitioning the attorney-general, former volunteerism commissioner Yiannakis Yiannaki apparently took a different tack – changing his lawyers frequently to jam up the legal proceedings.

Since 2021, when legal action was taken against him, Yiannaki has been collecting 50 per cent of his salary, which amounted to €76,000 while on suspension.

Only last week Yiannaki finally pleaded guilty to charges of knowingly circulating forged documents, specifically falsified lyceum certificates and university diplomas.

Another case was that of the former head of the pharmaceutical services Louis Panayi who was suspended in 2005, facing criminal charges.

The court case was completed after eight years during which Panayi received 50 per cent of his salary (€400,000) while doing no work. He was eventually acquitted and returned to his post in 2014 and was then paid the remaining 50 per cent of his salaries plus interest.

According to data published by the Public Service Commission on its website, between 2017 and 2023 there have been 64 civil servants suspended.

Altogether, these cases are costing the state – the taxpayer – hundreds of thousands of euro every year.