According to the then Secretary General in the Ministry of Finance, Thomas Schmid, the ex-Chancellor’s confidant had the “closest” relationship with him. Blümel was the first point of contact, according to the prosecution’s main witness, who also said that Kurz always wanted to have a say. Blümel was, among other things, negotiator for the turquoise-blue government, government coordinator and finance minister. It is intended to provide information about the influence Kurz actually had on staffing at the state holding company ÖBAG, among others.
Like his former head of cabinet Bernhard Bonelli, Kurz is accused by the Economic and Corruption Prosecutor’s Office (WKStA) of downplaying his role in filling positions for the ÖBAG supervisory board, for example. The ex-Chancellor’s statements contradict those of the state holding company’s former board member, Schmid, who also testified as a witness in the trial. Kurz insists that he was informed but not involved. It is the presumption of innocence.
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Schmid remains in disagreement with Kurz
Personalia as “constant topics”
There are no investigations pending against Blümel in the matter, as he himself stated when asked by the court. Blümel further confirmed that his lawyer had recommended that he make use of his right to dismiss, especially in the question of the side letter between the ÖVP and FPÖ regarding the appointment of positions. The Sideletter is a central document in the case. At the beginning of the questioning by Judge Michael Radasztics, Blümel stated that he had not had any contact with Schmid since the summer, when he wished him a happy birthday.
Of course, personnel were also discussed in the coalition negotiations in 2017, says Blümel; he cannot remember “as strict a key as was reported in the media, 2:1”. In general, personnel issues were “constant topics,” and each side said “we want more.” According to Blümel, these were political skirmishes, as the decisions in the Council of Ministers had to be unanimous. And the decisions were coordinated in advance. The nomination committee, which developed proposals for the allocation of supervisory board positions in state-affiliated companies, received proposals “from everywhere,” emphasized Blümel when asked by the judge.
Blümel: Discussions, yes, but the decision is up to the minister
As in the entire trial, Judge Radasztics also confronts the witness Blümel with the text messages contained in the indictment, which were seized from Schmid’s cell phone. Similar to ex-Finance Minister Löger and the defendants, Blümel repeatedly said that there were always discussions about personal details – with many different people. And suggestions came from all kinds of quarters. That is also completely normal, emphasized Blümel.
Even in his role as minister, he discussed personnel decisions with a wide variety of people. But he made the decision himself. He also admitted this to the other ministers in the government at the time – and was probably specifically referring to Löger, who was responsible for converting the holding company ÖBIB into ÖBAG.
Decision by circular resolution
Schmid’s SMS also shows that personnel decisions in the nomination committee were partly made by circular resolution. Blümel confirmed this. The judge pointed out – specifically in a circular decision within 24 hours to a postal supervisory board – that this did not fit with Blümel’s statement that personal details had been intensively discussed.
As a rule, he “let the many personnel suggestions pass him by,” said Blümel in response to the judge’s question. Blümel has no “concrete” memory of many chats.
Blümel: Many people wanted to know what Kurz meant
Susanne Höllinger recommended Schmid as a candidate – practically at the same time Blümel and Kurz. It is “compliant”, “controllable” and has “carried out delicate matters properly” for Lower Austria. Here too, Blümel said that all sorts of people were constantly interested in what “the Chancellor” thought about it. And he was close to him, which is why many such inquiries were directed to him.
Schmid’s assessment that Kurz’s decision was personal, and there are different needs and perspectives depending on the position, according to Blümel’s assessment.
“You try to be a polite person”
Regarding Schmid’s ambitions for the executive chair at ÖBAG, Blümel said that of course he realized that at some point. As a minister and coordinator in the government, there were always people who approached him with job requests. And “normally you try to be a polite person,” says Blümel. In any case, he considered Schmid suitable, even if he had “no joy” in losing him as Secretary General in the Ministry of Finance.
Personnel decisions in the cabinet of ministers – with Schmid’s departure to ÖBAG the Secretary General had to be appointed – are the “highly personal decision” of each minister. But here too: it is of course possible to ask, for example in the Chancellery, whether you know someone or can recommend someone. It is also about good cooperation between the ministry and the Chancellery.
Blümel explained various SMS chats with Schmid in which he praised him by saying that he had done the main work on converting ÖBIB into ÖBAG.
“Don’t worry, you’re family.”
Schmid stated that Blümel was the first point of contact regarding ÖBAG. In a chat message from Blümel to Schmid it said: “Don’t worry, you are family.” Kurz’s confidant wanted to say, “Thomas, you are one of us,” Schmid interpreted this in court. He had a very good relationship with Blümel during the turquoise-blue government. It was hard, but often fun, and we also saw each other in private. Today there is no more contact.
Schmid: “Right of veto” for Kurz
The ex-secretary general contradicted Kurz’s statements during his two-day testimony in the large jury room of the Vienna State Criminal Court. The former head of government was very interested in the Republic’s investments, “which is fundamentally positive,” said Schmid, who is seeking leniency status. He himself always brought Kurz up to date.
ORF/Roland Winkler Kurz says he was informed but not involved
As early as 2017, during the government negotiations between the ÖVP and FPÖ, there were “very, very intensive” negotiations over the top of the ÖBAG supervisory board. Without Kurz’s support, he would not have become ÖBAG boss, said Schmid. Kurz saw it differently: “The initiative to appoint Schmid as ÖBAG boss came from Schmid himself,” said the former head of government. According to Schmid, Bonelli was an important contact in the Federal Chancellery regarding ÖBAG and personnel issues.
The finance minister, then Hartwig Löger (ÖVP), actually decides who sits on the supervisory board of the state holding company and who takes over the top job. But the personal details always had to be “coordinated” with the Chancellery, said Schmid. It was “impossible” for anyone to get past Kurz into ÖBAG. However, having a say and voting amounted to a “right of veto” for Kurz.