The former president of the European Investment Bank (EIB) Werner Hoyer is under investigation by the European Public Prosecutor's Office (EPPO), his lawyer confirmed to dpa on Tuesday.
The EPPO is investigating corruption, abuse of influence and "misappropriation of EU funds," according to a statement released on Monday.
The probe centres around a severance payment for a former employee of the EIB that Hoyer signed off on, according to Hoyer's lawyer, Nikolaos Gazeas.
As is usual practice, the director general of Human Resources and the secretary general of the EIB discussed a termination agreement for an employee, Gazeas said.
A memorandum was then presented to Hoyer to end the person's employment at the EIB and pay a severance payment to the negotiated amount, Gazeas said. Hoyer agreed to the decision.
Gazeas added that as the legal requirements for the EPPO to initiate a criminal investigation are very low, it is not unusual for the signatory of a contract to be involved in an investigation.
The EIB agreed to lift the immunity of Hoyer and another former employee of the bank based in Luxembourg. This was expressly asked for by Hoyer to clarify the allegations.
The allegations are "completely absurd and unfounded," said Hoyer. "I now expect a comprehensive clarification and ask the EIB to cooperate fully with the EPPO."
Hoyer, 72, was in charge of the EIB from 2012 until the end of 2023.
