Former Bulgarian Development Bank Chief detained in Belgrade

Former Bulgarian Development Bank (BDB) CEO Stoyan Mavrodiev has been detained in Belgrade for 18 days, sources told NOVA. Prior to his arrest in Serbia, Mavrodiev had reportedly been staying in the United Arab Emirates.

Bulgarian authorities are now preparing the necessary documents for his extradition. The request will first be reviewed by a local Serbian court before requiring approval from Serbia’s Minister of Justice.

Mavrodiev, the former head of the state-owned Bulgarian Development Bank, is under investigation over a BGN 150 million loan granted to companies owned by or linked to businessman Rumen Gaitanski, widely known by the nickname “The Wolf.”

The case also involves Ivan Georgiev, a representative of the company that received the funds. He has been charged in the investigation and is currently free on bail of BGN 50,000. Gaitanski was also released from custody after posting bail of BGN 250,000. At the time, the court stated that allegations of embezzlement had not yet been sufficiently substantiated.

Prosecutors have charged Mavrodiev with official embezzlement. His whereabouts had been unknown since August 22, 2024.

The case concerns a BGN 150 million loan granted by the Bulgarian Development Bank (BDB) to companies owned by or linked to businessman Rumen Gaitanski. According to the prosecution, Gaitanski deliberately persuaded Mavrodiev, in his capacity as BDB chief executive, to commit a criminal offense. Investigators allege that part of the loan was used to pay dividends to Gaitanski, while another portion was allegedly transferred through Kristalna Voda to settle debts owed by Varna Thermal Power Plant (TPP Varna), a company frequently associated with Ahmed Dogan.

In December 2024, a three-judge panel of the Sofia Court of Appeal upheld a lower court ruling approving the prosecution’s request for a European Arrest Warrant against the former BDB executive.

The appellate judges concluded that Mavrodiev posed a flight risk after he could not be located at the Bulgarian addresses listed as his residence, despite being the subject of a nationwide search.