Bulgaria Grapples with Widespread Financial Fraud

The European Public Prosecutor’s Office has released a report detailing its investigations into suspected fraud involving European Union funds in Bulgaria, revealing a staggering 203 cases under scrutiny that amount to a whopping €884.9 million.

Investigations Reveal Alarming Figures

In 2023 alone, the office initiated 107 new investigations focusing on misappropriations totaling €405.2 million, with VAT fraud accounting for a significant chunk of these cases worth €28.2 million. Despite the massive sums involved, no orders for property seizure were issued during the year.

Complexity and Challenges in Prosecution

The report highlights the complexity and challenges inherent in prosecuting such cases, as none of the investigations resulted in final court decisions or convictions. The breakdown of reported abuses reveals a range of infractions, including:

• Irregularities in public procurement processes
• Suspicions of spending irregularities with public funds
• VAT evasion
• Corruption allegations

Sectors Affected by Fraudulent Activities

A closer look at the sectors affected by the fraudulent activities shows that mismanagement of funds from the EU budget for cohesion programs constitutes the bulk of the investigations, with agriculture-related programs also featuring prominently among the cases under scrutiny.

EU-Wide Impact

Overall, the European Public Prosecutor’s Office revealed that it initiated over 330 investigations across the EU in the past year, resulting in estimated damages to the European budget amounting to €11.5 billion.