An investigation into state land allocation in Cyprus has raised concerns over a major land transfer involving the Archiepiscopate of Cyprus, with inspectors identifying indications of possible abuse of power by former Agriculture Minister Nicos Kouyialis.
Archiepiscopate land deal under scrutiny
The findings form part of a wider probe into allegations referenced in the book “Mafia State” by author Makarios Drousiotis, which examines possible links between political and ecclesiastical decisions.
The case also touches on references to former President Nicos Anastasiades and the Archbishopric of Cyprus, particularly regarding the exchange of state land in Agia Napa as compensation for expropriated church property.
How the decision was made
Investigators found that in July 2013, a relevant inter-ministerial committee examined a request from the Archiepiscopate for state land allocation in Ayia Napa. Nicos Kouyialis participated as a member of the committee.
The committee classified the case as “exceptional” and recommended approval, which the Council of Ministers later endorsed in October 2013.
Major valuation discrepancies
Inspectors found that the Archiepiscopate could receive compensation either in cash or through land. However, they identified serious concerns over how the land was valued.
At the time of the decision, officials presented the land value at €5.712 million, along with an additional €280,000 to complete compensation requirements.
However, later land registry data showed the eight plots transferred were valued at approximately €10.638 million based on 2013 general valuations.
Missing documentation raises questions
The report highlights a gap of nearly €5 million, raising questions about the valuation process behind the allocation of state land.
Investigators noted the administrative file contained no valuation report, methodology, or supporting documentation explaining how the original figure was calculated. They also found no sufficient justification for how the land parcels were created or individually assessed.
Possible implications for public interest
Inspectors argue that the absence of proper documentation prevented effective scrutiny of the transaction.
They also state that the committee approved the allocation of state land as an “exceptional case” without adequate justification in the official records.
Regarding Nicos Kouyialis, the report says he supported the decision within the committee, which may indicate an exercise of authority without sufficient safeguards over valuation and justification procedures.
No evidence of personal gain
Despite the concerns, investigators found no evidence that Kouyialis received any direct or indirect personal benefit from the process.
As a result, the findings suggest the matter may constitute a misdemeanour of abuse of power rather than a felony, while also noting possible elements of corruption in a legal context.
Public interest concerns
The report concludes that the potential harm to the public interest lies in the apparent transfer of state land of significantly higher value than initially presented, which may have resulted in a substantial loss of state assets.
Also read: “Mafia State” report published, assigning responsibility to key figures
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