The European Commission has asked Romania to publicize the size of the fraud with EU funds for agriculture in the region of Suceava, and to recover the incorrectly granted funds.

"We welcome the fact that the Romanian authorities have identified the alleged fraud and have taken the necessary measures rapidly and effectively. The Romanian authorities have to take all the necessary actions to assure that the extent of this fraud is fully known and to recover funds that have been awarded incorrectly," according to the European Commission.

“It is important that all assurances are given to guarantee the financial interests of the European Union and EU taxpayers. This is important for farmers and society in all member states including of course Romania.”

This comes after the prosecutors arrested managers of the Agency for Agriculture Funds in Suceava. The investigation revealed that individuals, as well as companies and churches and monasteries were granted financial support, without fulfilling all eligibility criteria. Suspects are believed to have created fictitious animal farms on some farmers' names, had them officially registered in order to get EU funding. Several vets were involved in the scheme.

The general manager of Romania’s Agency for Payments and Intervention in Agriculture (APIA), Dorel Gheorghe Benu, was held for 24 hours by prosecutors of the National Anticorruption Directorate.

Benu is one of the suspects in a corruption case that involves granting illegal agricultural subsidies to farmers in Suceava county, according to judicial sources. The investigation targets subsidies granted between 2012 and 2014, the damage in this case amounting to over RON 5 million (some EUR 1.1 million).

Benu is being investigated for aiding and abetting the deputy director of APIA Suceava, who was running this scheme, for which he allegedly received undue amounts of money. Some 20 people are investigated in this case, including the general manager and advisers of APIA, veterinarians from the Veterinary and Food Safety Directorate DSVSA Suceava, a lawyer, a priest, policemen and farmers.

The Agency for Payments and Intervention in Agriculture (APIA) is subordinated to the Romanian Agriculture Ministry. It manages the payments for European funds financed programs aimed at helping Romanian farmers. The total value of payments managed by APIA is expected to be some EUR 2.5 billion, according to official data published by the institution.

editor@romania-insider.com