The National Movement Simeon II (NMSII) did not receive funds from Italian businessman Pierpalo Cerani, party leader Simeon Saxe-Coburg told a news conference on June 20.

The issue gained popularity after Italian media published reports that Cerani and Italian Prince Victor Emmanuel offered Saxe-Coburg funds in return for participation in Bulgarian construction and telecommunication projects.

As it was against Bulgarian law to receive funding for a party's electoral campaign, NMSII refused financial aid from Saxe-Coburg's associates, the party leader said.

Saxe-Coburg said that the controversy arises at a moment when Bulgaria tries to prove it was capable of joining the EU on January 1 2007. It was unfavourable to exaggerate information, which has not been proven, Saxe-Coburg said.

No one had interest in delaying Bulgaria's EU entry, Saxe-Coburg said, commenting on claims the controversy could target Bulgaria's timely EU accession.

Saxe-Coburg said he could not comment how the controversy would affect the NMSII and Bulgaria's expected EU entry. The NMSII could postpone selecting its candidate for the upcoming presidential elections, said he.

It was very difficult to 'clear one's name' when alleged involvement in bribery schemes was mentioned, Saxe-Coburg said. Yet he said he was ready to testify in case legal proceedings on the issue were launched.