During a press conference with the Albanian President Bujar Nishani, Donald Tusk, the President of the European Council, said that the reform of the judicial sector is crucial for Albania and its potential European future. “The justice reform, fight against corruption and crime are very important for the country”, he said while pledging the EU’s support to the nation as long as they remained a reliable partner.

In it’s latest compliance report on Albania, the Council of Europe anti-corruption monitoring body GRECO concludes that only one of the ten recommendations contained in the Fourth Round Evaluation Report has been dealt with in a satisfactory manner. These recommendations cover corruption prevention in respect of members of parliament, judges and prosecutors.

Prime Minister Edi Rama met with American FBI officials during his visit to Washington DC, to ask for technical guidance in eradicating corruption from Albania’s current judicial structure. The proposed changes discussed at the meeting included the creation of an anti-corruption court, a prosecutor’s office as well as a national investigative body similar to the FBI. The United States have pledged $25 million to assist and oversee the reforms. 

The document will ensure continuity of the Anti-Corruption and Promotion of Open Government Action Plans, both of which expired in 2015. The Presidential Decree also recommends the Commission on Combatting Corruption to take measures for involvement of civil society institutions in the evaluation of the Action Plan implementation.

The Azerbaijani Prosecutor’s Office named 15 individuals in the criminal investigation launched against Berlinbased online TV channel, Meydan TV. Since its inception, the channel has reported extensively on human rights abuses and government corruption and was forced to close its newsroom in Baku during 2014 after fears over the safety of staff. Allegations against the channel included reports of illegal business activities, abuse of power and tax evasion.

Fourteen free expression and media freedom organisations submitted an intervention in the case of journalist Khadija Ismayilova before the European Court of Human Rights (ECtHR). The intervention highlighted the freedom of expression and privacy implications of her case, calling for the ECtHR to use the case to provide wider protection to journalists. Ismayilova had been sentenced to 7.5 years in prison in September 2015 after being convicted on charges believed to be related to her reports on corruption.

The Armenian-Azerbaijani clashes over the disputed region of Nagorno-Karabakh in early April prompted a public outcry over corruption, after President Serzh Sarkisian revealed that the weapons and military hardware used were produced in the 1980s. Media organisations and civil society representatives took to social media to criticise the inefficient spending of public funds, while drawing comparisons with the luxury houses and cars of politicians.

According to Eurasianet. Senior Armenian official Mihran Poghosian, who headed the Judicial Acts Compulsory Enforcement Services of Armenia (JACES) division, announced his resignation. Earlier in the month, Poghosian and his two uncles had been accused of using his senior position to advance their personal business interests.

Politicians have agreed to vote on a draft law to amend the current legislation on the financing of political parties, in an attempt to increase transparency. The new law is designed to comply with the recommendations that GRECO, the Council of Europe’s anti-corruption monitoring body, had adopted in 2013 calling for increased penalties, financial audits and annual financial reports.

The Council of Europe, along with the Ministry of Security of Bosnia & Herzegovina, held talks on anticorruption and anti-money laundering for over 30 representatives of public administration, law enforcement and judiciary bodies. Particular attention was paid to the discussion of the country’s situation as perceived through GRECO and MONEYVAL reports, with participants expected to apply the new concepts that they have learned at their workplaces. 

Bosnia and Herzegovina State Police (SIPA) have detained 10 people for questioning, suspected of abuse of office and authority, money laundering and falsifying official documents. Prosecutors say the illegal activities significantly damaged the country's credit rating and led to the International Monetary Fund becoming "actively involved in the analysis of developments in the banking sector."

The latest Nations in Transition report by Belarus concluded that Belarus has made small progresses across a series of categories, while its ratings for Civil Society and the Electoral Progress have seen further promotions. The report noted that the authorities took a number of steps to address corruption in 2015, including the adoption of a new anti-corruption law, after a public consultation, and the implementation of a national program to combat crime and corruption. It added that Belarus was often regarded as one of the least corrupt countries in the Commonwealth of Independent States, but implementation of anti-corruption measures remained selective in practice and lacked transparency.

Freedom House’s Nations in Transit 2016 report acknowledges that Belarus authorities took a number of steps to address corruption in 2015, including adoption of a new anticorruption law, after a public consultation, and the implementation of a national program to combat crime and corruption. According to various enterprise surveys, Belarus is often regarded as one of the least corrupt countries in the Commonwealth of Independent States, but implementation of anticorruption measures remains selective in practice and lacks transparency.

 Following the detentions of prominent oligarchs Yury Chyzh and Evgeny Baskin, investigator Aleh Volchak revealed that officials behind improper allotment of land for construction and acquisition of profitable tenders were likely to be those next targeted in the ongoing anti-corruption clampdown. Volchak reiterated that big businesses are being closely watched by the Interior Ministry, the KGB, the State Control Committee and the Financial Monitoring Department.

The Council of Europe, along with the Czech Financial Analytical Unit, organised a conference on corruption risks in the financing of political parties and election campaigns. Experts were given the opportunity to discuss the draft legislation on financing political parties in the Czech Republic, analyse the latest GRECO evaluation and share good practices on the regulation and monitoring of political parties and election campaign financing in other Member States.

Prime Minister Bohuslav Sobotka has called on the Czech tax authorities and tax evasion squad, Kobra, to launch investigations into the activities of close to 300 Czechs listed in the Panama Papers. The documents showed that billionaires Petr Kellner and Daniel Křetínsky held several companies situated in the British Virgin Islands, while major solar plant and 1990s privatisation deals also figured. Unlike other countries, no names of politicians in high office were listed.

The spokesperson of the Macedonian Social-Democrats (SDSM), Petre Shilegov, said that President Gjorge Ivanov's brother-in-law had business ties to the Panama registered company LIP Corp., which founded the Delfino Travel Balkans in Macedonia. According to Shilegov, the company was erased from the registry recently. The President's cabinet reacted by saying the accusations are an attempt to present the family of the President as part of a criminal gang through "lies and manipulations".

Anti-government protestors took to the street to protest against a presidential pardon for 56 politicians embroiled in a corruption scandal. President Gjorge Ivanov defended his actions, though thousands took to the central square and ransacked presidential offices while demanding the resignation of Ivanov and the postponement of elections. The pardons have been condemned internationally, with the US and EU warning that they would raise questions about rule of law in Macedonia and that such a decision could undermine the country’s ambition to join the EU.

Anti-government protestors took to the street to protest against a presidential pardon for 56 politicians embroiled in a corruption scandal. President Gjorge Ivanov defended his actions, though thousands took to the central square and ransacked presidential offices while demanding the resignation of Ivanov and the postponement of elections. The pardons have been condemned internationally, with the US and EU warning that they would raise questions about rule of law in Macedonia and that such a decision could undermine the country’s ambition to join the EU.

 Georgia’s leading oligarch and former Prime Minister Bidzina Ivanishvili was amongst other politicians and businessmen exposed by the Panama Papers leak. During his thirteen-month tenure as Georgia’s Prime Minister in 2012-13, Ivanishvili was required to publicly disclose information about his personal wealth and he did so through a 72 page pamphlet listing dozens of international properties, stock holdings and bank accounts. However, the leak revealed a further company registered as Lynden Management in the British Virgin Islands, which had not been included in the original pamphlet.

The Council of Europe, along with the State Insurance Supervisory Service and the Financial Monitoring Service of Georgia, held a training session on countering money laundering and the financing of terrorism. Representatives of the Georgian insurance sector discussed international standards and good practices and were able to consider the current and emerging threats to the industry, as well as model some practical considerations via case studies.

The Lower House’s Integrity Committee has called for the government to declare an official stand on the Panama Papers. Head of the Panel, MP Amjad Al Khattab stressed the importance of dealing with the Jordanian figures listed on the leaked documents. Those included in the list include former Jordanian Prime Minister Ali Abu al-Ragheb, who served from 2000 to 2003, and business magnate Khaled Shaheen, who had twenty six companies registered offshore. 

The government approved draft measures against terror funding and money laundering to go forward towards Parliament for approval. Kosovo* continues to prioritise the prevention of its citizens participating in armed conflicts following a law passed in 2015, which permitted citizens to be sentenced for up to 15 years for participating in armed conflicts on foreign soil.
 

In his first media interview as President, Hashim Thaçi revealed his commitment towards the country’s proposed integration into NATO and other Euro-Atlantic mechanisms to normalise the political scenario. He pledged to reduce endemic government and private-sector corruption and end societal violence against minority groups.
 

The Ministry of Internal Affairs revealed that there had been at least 239 cases of corruption during the first quarter of 2016. 32 cases of bribery were recorded, with 21 of them referring to money extortion attempts by officials and civil servants. The reported amount of damages amounted to more than 252,830 million soms, while the Ministry of Education and Science were recorded as the biggest culprit of corruption.

Kyrgyz Prime Minister Temir Sariyev resigned following allegations of corruption, with the move triggering the resignation of his entire cabinet. Sariyev’s departure follows the findings of a parliamentary commission which accused the government of rigging a US$100 million road construction tender so that a Chinese company without the required license would win the job. President Almazbek Atambayev later signed a decree to appoint Sooronbai Jeenbekov as the new Prime Minister.

Vanja Calovic, the executive director of the MANS NGO which investigates corruption, conflicts of interest and the parliament’s activities described the current anti-corruption bodies as a ‘farce’. Calovic stated the organisations were purely created to show a response to pressure from the EU and the US and investigations often solely focused on smaller targets. Montenegro remains ranked 61st in Transparency International’s latest corruption rankings, with Justice Minister Zoran Pazin accepting that the government was aware and working on the inherent problems.

Four leading European banks have revealed that factors including corruption, money laundering, organised crime and the aptitude of Montenegro to repay debts pose significant risks to the economy. In a risk report, Citigroup, Deutsche Bank, Erste Group and Societe Generale argue that such problems can hinder the growth of the Montenegrin economy and delay or halt EU accession, leaving it vulnerable to external shocks and towards a potential credit rating downgrade.

The Culture Ministry has proposed a draft law to reform its Freedom of Information Act, following pressure from the EU to meet its standards. Through the new legislation, Montenegro seeks to increase the penalties and the number of offences that can be sanctioned for violating the law on public records. However the NGO MANS have cast their doubts about the implementation of the Act citing that the civil sector and the media routinely face the ‘silence of the administration’, drawing reference to hundreds of requests for free access to information from the NGO which are regularly rejected.

Protests continued in Chisinau demanding the resignation of the government and new elections. Thousands of people joined the rally staged by the right-wing Dignity and Truth Platform Party, the Liberal Reformist Party and the Liberal Democratic Party of Moldova, with protestors accusing the government of being heavily dependent on local oligarchs and for being slow in its efforts to integrate the nation into the EU.

One of Moldova’s leading firms in the pharmaceutical sector, Dita Estfarm, is being investigated in relation to its links with Bosnian pharmaceutical company, Bosnalijek. The Bosnian company saw seven officials arrested last year following accusations of money laundering, tax evasion and forgery and subsequent examinations by the Financial Police in Sarajevo have uncovered suspicious dealings between the two companies dating back to 2006.

The three parties that constitute Morocco’s alliance of the Federation of the Democratic Left requested a probe into the offshore dealings of Moroccans, revealed by the release of the Panama Papers. The alliance called for a “transparent and fast investigation”, adding that details of the process should be made public for further legitimacy. Several Moroccans including Mounir Majidi, the personal secretary to King Mohammed VI, were revealed to have managed offshore companies to buy possessions such as an antique ship and a $42 million apartment in Paris.
 

Recent discussions on a report of the Organisation of Arab Parliamentarians against Corruption highlighted the need for all
Moroccan institutions to further increase the effectiveness in their fight against corruption. Among the main issues raised, there is a need to strengthen the role of the Parliament in supervising governmental action and in promoting integrity in the public sector. The respect of the rights ensured by the Moroccan Constitution - notably the right of access to information, freedom of the press and the protection of whistleblowers - should also be ensured. Finally, transparency of political parties and political campaign should also be increased.

A Romanian politician opted out of the race to be the Mayor of Bucharest after anti-corruption prosecutors indicted him on charges of corruption. Ludovic Orban was suspected of asking a businessman for 50,000 euros in cash
in March to pay two television channels to promote his campaign in return for beneficial favours. Previously the national transportation minister from 2007 to 2008, Orban also stepped down as deputy chairman of the opposition Liberal Party.

Romania’s national tax authority has set up a working group to examine the data published by investigative journalists on offshore account held by Romanians. Anti-fraud inspectors, tax inspectors and inspectors specialised in checking people’s assets and financial information would help form
the interdepartmental group to assess close to 100 Romanians, who were named in the Panama Papers.

Romania’s National Anticorruption Department (DNA) prosecuted Targu Mures mayor Dorin Florea and his son Dan Aurel Florea in a high profile corruption case. The mayor was charged with bribery, while his son was charged of complicity to bribery and money laundering in relation to a swap deal involving road constructions from 2011. Their case involves local businessman Mircea-Nicolae Musgoclu, who is being investigated for bribes and money laundering.

Russian companies have recorded a drop in the number of kickbacks and bribes in their sectors, a study by Ernst & Young has revealed. A similar conclusion has been reached by experts from PwC. While in 2015, 48 percent of respondents said they thought corruption in the corporate sector was a widespread phenomenon, this year this view was voiced by just 34 percent of those polled.

“Of course all politicians are corrupt, we’ll never be able to do anything about it,” says Nadezdha, a 47-year-old housewife in the town of Kimry, about 100 miles from Moscow. She had not heard of the allegations in the Panama Papers, which suggested members of Vladimir Putin’s family, and those close to him, had benefited from dubious cash flows. Instead, she insists the Russian president is part of the solution, not the problem. 

A Moscow construction company executive ticks off bribes typically paid by construction companies for a long list of permits and inspections needed to build a residential apartment building — or anything else in Russia. As a result, he estimates that every apartment ends up being 10 to 15 percent more expensive than it should be, with the additional cost passed on to the consumer. 

Prior to retaining his seat as the Prime Minster, Aleksandar Vučić stated his focus on prioritising economic reform and led a third round of corruption-related arrests, after 46 people had been arrested the previous month. In April, 49 further people were arrested, including 12 police officers, tax administrators and Finance Ministry officials. Interior Minister, Nebojša Stefanović, suggested that the suspects’ activities are likely to have cost the state close to 7.6 million euros in unpaid taxes and fines. 

 Serbia’s leading network for research on organised crime and corruption, KRIK, released a list of Serbian citizens named in the Panama Papers, which included businessmen Srdjan Saper, Zoran Drakulic and Miodrag Kostic among others. KRIK revealed that the documents published gave new details about events from the 1990s in Serbia. The reports revealed that Serbia’s then President, Slobodan Milosevic, funnelled out over a billion deutschmarks from the citizens of Serbia with his colleagues via offshore companies to Cyprus.

Heads of diplomatic missions of the European Union’s member countries accredited in Tunisia expressed their interest for reform programmes to be initiated by the Ministry of Public Service, Governance and Fight against Corruption. In their monthly meeting, European diplomats stated their willingness to provide financial and logistical support to help the Ministry, which had been launched following a government reshuffle during January 2016. 

The President of the Tunisian Anti-Corruption Authority (INLUCC) has urged all Tunisian authorities to enhance the fight against corruption and has requested financial resources for INLUCC. International cooperation, including with the Council of Europe, will also support INLUCC in its missions. In parallel with INLUCC anti-corruption actions, the newly established Ministry for Public Function, Governance and Fight against Corruption is working on strengthening the legal framework on asset declarations, confiscation of goods, illicit enrichment, and conflict of interests. 

The European Union revealed that it was ready to provide the second tranche of financial assistance to Ukraine CoE anti-corruption digest 9 April 2016 worth up to 600 million euros, if a number of conditions concerning the fight against corruption were fulfilled. The EU Commissioner for European Neighbourhood Policy and Enlargement Negotiations, Johannes Hahn, stressed that the newly appointed government should prioritise the appointment of a reform-oriented Prosecutor General and then move to also launch full-fledged activity by the current Anti-Corruption Agency. 

Ukrainian Prime Minister Arseniy Yatsenyuk announced his resignation following widespread allegation of his government’s involvement in corruption. The move came after the current President, Petro Poroshenko, had asked him to quit in February, saying he had lost support and also followed the IMF’s threats to withhold aid money if reforms had not been carried out. MPs in Ukraine later backed a new government led by parliamentary speaker Volodymyr Groysman. 

Leaked documents from the Panamanian law firm Mossack Fonseca show that Poroshenko registered the company, Prime Asset Partners Ltd in August 2014, during a peak in fighting between Ukraine and pro-Russian separatists. Poroshenko later took to Twitter to defend his commitment to his post, suggesting that the allegations of tax evasion were groundless and that he had handed over the management of his assets to consulting and law firms upon taking up office.