Romanian high court rules 44-year jail sentences in economic espionage case

Romania’s High Court of Cassation and Justice (ICCJ) ruled jail sentences totalling 44 years, no parole, for ten former ministers, state secretaries and private consultants. They were found guilty of economic espionage, trading state secrets and organising an organised crime group to fix strategic privatizations in Romania. Former Romanian Economy Minister Codrut Seres will spend four years and eight months in jail, for having joined a crime group and for treason via disclosing secret information. Zsolt Nagy, former Communications Minister, got four years in prison, no probation, for joining the same crime group, according to Mediafax newswire. The high court lowered the previous penalties it had decided in this case, in December 2013, which totaled more than 74 years. The new decisions are final. The two former ministers and some of their advisors leaked state secret information related to the privatizations of strategic Romanian companies, such as electricity distributor Electrica Muntenia Sud, oil and gas company OMV Petrom, and airplane manufacturers Romaero Bucuresti and Avioane Craiova, which were at that time controlled by the Economy Minister. They disclosed confidential information related to the state’s intention to sell a 46% stake in telecom operator Romtelecom, the court ruled. Several consultants working for Credit Suisse First Boston (CSFB) received the information and used it to win the state’s tenders for the privatization mandates. The Communications Ministry even selected CSFB in 2006 to manage Romtelecom’s privatization. The high court ruled the highest sentence for Bulgarian consultant Stamen Stancev, who was found guilty of economic espionage. He was also the initiator of the crime group. He should serve five years and two months in prison. Stancev is not currently in Romania, so the Romanian authorities must issue an international warrant on his name. Russian citizen Vadim Benyatov, a former consultant for Credit Suisse, just like Stancev, was also convicted to four years and six months in jail for espionage. Czech Michal Susak got four years and eight months. Romanians Mihai Radu Donciu, a former advisor to the Communications Minister, will spend the next five years in jail. Mihai Dorinel Mucea, former deputy to the head of the privatizations department OPSPI, was sentenced to four years and six months in prison. They were both found guilty of treason. Mircea Calin Flore, former senior director of Credit Suisse First Boston (CFSB) Europe, Gabor Kerekes, and Turkish citizen Mustafa Oral also got prison sentences. The “strategic privatizations case” started in April 2007, when Stamen Stancev, Mihai Dorinel Mucea and Mihai Radu Donciu were first prosecuted. Former ministers Codrut Seres and Zsolt Nagy were indicted in March 2009.