Misappropriation and Official Embezzlement – Differences and Criminal Liability

In misappropriation and official embezzlement, the property or funds are initially lawfully held by the perpetrator but are later treated as their own. This distinguishes them from theft, where possession is taken without consent.

What is misappropriation?

Article 206 of the Bulgarian Criminal Code concerns the unlawful appropriation of another person’s movable property that the perpetrator possesses or keeps. The property may have been transferred under a contract or for use, storage, repair or another specific purpose.

When is appropriation established?

A mere delay in returning property is not enough. There must be outward conduct showing treatment of the property as one’s own, such as sale, concealment, unjustified refusal to return it in relevant circumstances or another disposition incompatible with the owner’s rights.

What is official embezzlement?

In official embezzlement, the property was entrusted to an official in that capacity or given to them to keep or manage. The person’s official status, duties and the basis for holding the property are elements that must be proved.

Difference from theft

In theft, the perpetrator interrupts another person’s possession and establishes control without consent. In misappropriation, possession was acquired lawfully and the criminal intent appears later. Documents concerning delivery, contractual relations and communications are therefore particularly important.

Civil dispute or crime?

Breach of contract is not automatically a criminal offence. The property, the basis for its transfer, the due date, conduct after a demand for return and the existence of intent to appropriate must be examined. In some cases, the dispute is entirely civil.

What should be examined?

• ownership of the property or funds;
• the legal basis for their transfer;
• the recipient’s obligations;
• conduct showing disposition as owner;
• when the intent arose;
• contracts, receipts, accounting documents and correspondence;
• official capacity and connection with official duties.

Related article

See Theft, robbery and misappropriation – key differences.

This article provides general information. For advice on a specific case, contact attorney Mihail Tomov.