The European Public Prosecutor’s Office (EPPO) in the Bulgarian capital of Sofia has seized assets from suspects in a fraud case involving public procurement contracts.
The EPPO reported on its website that investigators are looking into a €2.6 million waterworks project funded by the EU. Seven buildings and three vehicles were seized by bailiffs on Friday under precautionary measures ordered by the Sofia Court of Appeal.
The suspects under investigation include public officials and the mayor of the municipality in which the water supply network was to be rebuilt. They are accused of fraudulently executing contracts for the work, funded by Bulgaria’s State Fund for Agriculture (SFA) under the EU’s Rural Development Programme.
SFA officials stand accused of colluding with the local mayor and private contractors to artificially inflate the price of the work and submitting falsified documents testifying that the work had been completed by deadline, in order to obtain funding. Local officials responsible for supervising the works are also under investigation and one suspect is accused of money laundering.
Instability breeds corruption
Corruption has been a persistent problem in Bulgaria for decades, particularly during the government of Boyko Borisov’s GERB party between 2009 and 2021, according to Polish think-tank the Centre for Eastern Studies (OSW).
“This period was marked by the perpetuation of an elite-oligarchic model, pervasive corruption, an ineffective justice system and increasing political instability,” the OSW website states.
This political instability has continued with Bulgaria holding six parliamentary elections in three years during which it had no effective government.
The president, Rumen Radev, appointed a series of interim cabinets as it has been impossible to create a working administration based on a parliamentary majority.
This situation has stymied attempts to tackle widespread corruption and organized crime, “which cannot be accomplished without a stable executive power,” the OSW said.
According to Transparency International’s Corruption Perception Index, graft in Bulgaria has declined in recent years, in large part due to reforms enacted with help from Brussels. However, in 2023, the index placed the country 67th out of 180 in the ranking.
The suspects under investigation include public officials and the mayor of the municipality in which the water supply network was to be rebuilt. They are accused of fraudulently executing contracts for the work, funded by Bulgaria’s State Fund for Agriculture (SFA) under the EU’s Rural Development Programme.
SFA officials stand accused of colluding with the local mayor and private contractors to artificially inflate the price of the work and submitting falsified documents testifying that the work had been completed by deadline, in order to obtain funding. Local officials responsible for supervising the works are also under investigation and one suspect is accused of money laundering.
Instability breeds corruption
Corruption has been a persistent problem in Bulgaria for decades, particularly during the government of Boyko Borisov’s GERB party between 2009 and 2021, according to Polish think-tank the Centre for Eastern Studies (OSW).
“This period was marked by the perpetuation of an elite-oligarchic model, pervasive corruption, an ineffective justice system and increasing political instability,” the OSW website states.
This political instability has continued with Bulgaria holding six parliamentary elections in three years during which it had no effective government.
The president, Rumen Radev, appointed a series of interim cabinets as it has been impossible to create a working administration based on a parliamentary majority.
This situation has stymied attempts to tackle widespread corruption and organized crime, “which cannot be accomplished without a stable executive power,” the OSW said.
According to Transparency International’s Corruption Perception Index, graft in Bulgaria has declined in recent years, in large part due to reforms enacted with help from Brussels. However, in 2023, the index placed the country 67th out of 180 in the ranking.
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