Bulgarian Officials Embroiled in Corruption Scandal, Diverting Contracts for Personal Gain
Shocking Corruption Scandal Rocks Bulgaria
A corruption scandal has shaken Bulgaria, involving high-ranking officials who allegedly diverted lucrative service contracts to their own business interests. The officials used offshore management structures to evade scrutiny.
US Treasury Department Imposes Sanctions
According to a statement released by the US Treasury Department’s Office of Foreign Assets Control (OFAC), three Bulgarian officials have been designated under Executive Order 13818 for their involvement in corruption, bribery, and embezzlement. The sanctions aim to disrupt the financial networks and limit the ability of these individuals and entities to engage in corrupt activities.
Key Figures Involved
The officials involved are:
- Former KNPP Executive Director Ovcharov
- Nikolov
- Genov
Genov allegedly accepted bribes from foreign nuclear power executives and business leaders to secure lucrative contracts. Despite stepping down from his position at KNPP, he continued to solicit bribes from Bulgarian business executives to influence contract awards.
Corruption Scheme Involving Finance Minister Goranov
Former Finance Minister Goranov has been accused of facilitating bribery and depriving the government of tens of millions of euros in tax revenue. He allegedly participated in a corruption scheme that benefited Bulgarian oligarchs involved in the gambling industry.
Sanctions Take Effect Immediately
The sanctions, which take effect immediately, include:
- Ovcharov
- Nikolov
- Genov
- Four entities associated with them
- Trilemma Consulting Ltd EOOD, a sole proprietorship consulting company owned by Goranov
As a result of these sanctions, all property and interests in property of the designated persons that are in the United States or in the possession or control of US persons must be blocked and reported to OFAC. Financial institutions and other individuals who engage in certain transactions with the sanctioned entities and individuals may also face penalties.
Global Magnitsky Human Rights Accountability Act
The sanctions imposed today are a key step towards achieving the goals of the Global Magnitsky Human Rights Accountability Act, which was signed into law in 2017. This act aimed to impose tangible consequences on those who commit human rights abuse or engage in corruption.
Additional Resources
For more information on the designated individuals and entities, please click here.