The anti-corruption authority on Friday released its report into the conduct of former Edek leader and sitting MP Marinos Sizopoulos, finding that he may have committed fraud, forgery, conspiracy to commit fraud, and that he may have also circulated a false document.

The report was written after former Edek MP Geroge Varnava, who left the party last year, filed a complaint about Sizopoulos’ conduct.

While the report began by stating that it “rejected several” of Varnava’s allegations, it found that Sizopoulos was the owner of a company by the name of Ktimatiki Ltd, which was one of four joint owners of another company, called Taxan Properties Developers Ltd.

It wrote that Sizopoulos was a guarantor of a loan Taxan had taken out with a Cypriot bank but on which repayments had been missed, and that in light of this, the bank had filed a lawsuit demanding the repayment of the amount due.

Sizopoulos, it wrote, held “consultations” with the bank, which agreed that if exactly €1.625 million was paid to it, it would write off the remaining €956,900 of the loan’s amount.

Then, it wrote, a “foreign investor” bought the entirety of Taxan for €2.025m.

While Sizopoulos did not know the investor at the time of the transaction, the report stated that it emerged during its investigation that the investor had bought Taxan with the intention of being naturalised as a Cypriot citizen through the Republic of Cyprus’ citizenship-through-investment scheme, commonly known as the “golden passport” scheme.

The report stated that two purchase and sale documents related to the sale of Taxan were prepared, one of which declared that the company had been sold for €2.025m and the other of which declared that the company had only been sold for €1.6m.

The former was submitted to the interior ministry to allow the investor to be naturalised, while the latter was given to the bank for the purposes of reducing Taxan’s debts to it.

Later, when the tax department established that Taxan had been sold for €2.025m, it demanded the payment of capital gains tax based on that sale figure by the four companies which had previously jointly owned it, including Sizopoulos’ Ktimatiki.

However, Ktimatiki and another company objected to this demand, stating that the company had only been sold for €1.6m.

Pursuant to this, Varnava and two officials from companies which had owned shares in Taxan filed complaints to the police, stating that they had been unaware of the document which stated that the company had been sold for €2.025m.

The bank then filed a complaint to the police stating that had it known that Taxan had been sold for €2.025m rather than €1.6m, it would not have written off the €956,900 from the loan.

Based on these facts, the report stated that the authority believes that there is “sufficient evidence to demonstrate” that Sizopoulos was aware of both the actual sale price of Taxan and the contract stating that it had been sold for €2.025m.

It stated that during the investigation, a document which had been signed by Sizopoulos making explicit reference to the sale document declaring that the company had been sold for €2.025m had been presented to investigators, while two officials from companies which were shareholders of Taxan had also reported that Sizopoulos was aware of the document.

As such, the report stated that “based on the standard of proof applied by the authority … there is sufficient evidence to support the conclusion” that Sizopoulos knowingly submitted a false document to the bank stating that the company had been sold for €1.6m, “concealing the actual price” of €2.025m.

It also found that there was “sufficient evidence to demonstrate” that the signature of the “foreign investor” on the document stating that the company had been sold for €1.6m was forged.

As such, it wrote that it had found there may have been “possible violations” of the laws on fraud, forgery and the preparation of a forged document, circulation of a forged document, and conspiracy to commit fraud on Sizopoulos’ part.

The report has been submitted to attorney-general George Savvides, who will make a decision over whether to initiate criminal proceedings.

Sizopoulos himself responded to the report’s release on Friday, telling newspaper Phileleftheros that he will “present all the evidence” to clear his name, and telling television channel Alpha that he had “no involvement” in the case investigated by the anti-corruption authority.