The Bucharest Office of the European Public Prosecutor’s Office (EPPO) forwarded a criminal case to the Bucharest Court last week, targeting three individuals, including an Italian citizen considered the leader of the group, for a fraud of 100 million euros with European and national funds.
The members of the organized criminal group operated in Romania between 2019 and 2024, participating through three Italian consortia in tenders organized by authorities, as stated in a press release from the prosecutor’s office led by Laura Codruța Kovesi.
The suspects targeted tenders for the construction and rehabilitation of drinking water and sewage distribution systems, presenting themselves as associates of Romanian companies or as third-party supporters.
Two of the consortia used by the group had previously received an anti-mafia prohibition from Italian authorities, which excludes them from obtaining public contributions, according to the Italian anti-mafia Code.
Through the Italian consortia, the defendants participated in 23 tenders, worth 300 million euros, financed through the Large Infrastructure Operational Program (POIM) 2014-2020 and the Sustainable Development Program (PDD) 2021-2027. They managed to win 13 tenders, as associates or supporters of Romanian companies, causing an estimated damage of over 100 million euros.
To prove their financial capacity and experience in similar projects, the suspects provided false documents, including financial statements attesting that the Italian firms had an average annual turnover of over 50 million euros.
In reality, according to the investigation, the turnover was 30 times lower. They also presented contracts for work execution in Iraq that, based on evidence, did not correspond to reality.
The case was reported to EPPO by national authorities following suspicions of possible serious irregularities and fraud, the source mentioned.
EPPO alerted the Ministry of Investments and European Projects in Romania regarding deficiencies in the management of EU funds, highlighting a high risk of fraud, as in several cases, foreign companies submitted false documents to obtain contracts. EPPO recommended strengthening verification procedures for better protection of EU's financial interests.
T.D.