EU anti-fraud office OLAF has stated it has no authority to investigate transactions on Bulgaria's mishappen Belene NPP, in reaction to Bulgarian PM Boyko Borisov's warning that he will refer the project to OLAF.

Borisov's intriguing statement came in the wake of news that Russian company Atomstroyexport, which was to build the NPP, had upped its claim against Bulgaria's withdrawing from the project.

Over the week, it was annouced that Atomstroyexport would sue Bulgaria for EUR 1 B at the International Court of Arbitration in Paris.

Borisov, his Minister of Finance Simeon Djankov and Minister of Economy and Energy Delyan Dobrev chose to be outraged at the move and pile threats on the Russian state company.

The Bulgarian PM even went as far as to say that Russian President Vladimir Putin will have a hard time explaining Atomstroyexport's actions during a planned visit to Sofia November 9.

Borisov also said that he would refer the case to OLAF, since the Russian company had allegedly acted in breach of contract.

OLAF has however responded that it is not competent to review the case, since no EU funds are involved in it.

The Russian President's Office has also reacted to the flexing of muscles by the Bulgarian cabinet, saying there is no planned Bulgaria visit for November in Putin's itinerary.

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