On 30 October 2009, Polančec resigned citing a need to avoid damaging the Government and the party due to accusations leveled at him for his involvement in the mismanagement of Podravka.[1]
On 30 March 2010, Polančec was apprehended by the police and questioned by USKOK, regarding his involvement in certain financial transactions between Podravka, MOL Group and OTP Bank.
The County Court in Zagreb authorized a longer detention for Polančec and also blocked his estates, at the request of USKOK.[2]
On 15 October 2010, Polančec was sentenced to 15 months in prison for a separate instance of abuse of power, where he approved a fictional expense to a Vukovar-based attorney in return for his clients dropping lawsuits against the government.[3][4]