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| 7 Mar 2012, Issue 3337 · USD: 1.48698 EUR: 1.95583 · Sofia: min -2°, max 3° Varna: min -2°, max 3° · |
| BUSINESS POLITICS WORLD SOCIETY SPORTS FORUM |
Bulgaria Govt Confirms Plans for VAT Cut by Mid-2013
Bulgaria's
government has voiced, yet again, its willingness to lower the 20%
value-added-tax by the end of its term, which expires next year.
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EBRD Expands First Energy Efficiency Fund in Bulgaria
The
European Bank for Reconstruction and Development (EBRD) is boosting its
support for energy efficiency projects in Bulgaria with a new EUR 10 M
loan to the Bulgarian Energetics and Energy Savings Fund (FEEI), the
bank said in a statement.
read |
Austria's EVN Moves to Delist Bulgaria Units
Austria's
EVN AG plans to delist its two units in Bulgaria just two months after
the trade with their shares started on the local stock exchange.
read |
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BULGARIA�S ECONOMY GROWS BY 1.7% IN 2011
Bulgaria's GDP in 2011 was EUR 38.5 B, which means a 1.7% growth as compared with 2010, the country's National Statistical Institute has informed. The country's GDP per capita was EUR 5 168.7 in 2011. In the fourth quarter of the year, GDP increased by 1.6% year on year, faster than the 1.5 percent growth estimated in the preliminary reports. Gross domestic product increased a seasonally adjusted 0.3 percent sequentially in the fourth quarter, slower than the 0.4 percent growth estimated earlier. Domestic consumption expenditure rose 0.3 percent sequentially in the fourth quarter, while public consumption dropped 0.1 percent. In February, EU estimated Bulgaria's 2011 GDP growth at 1.8%, after the 0.2% growth in 2010. The European Commission predicted a 1.4% growth in 2012. At the end of 2011, Bulgaria's Finance Minister Simeon Djankov announced that the 3.7% economic growth projected in the 2012 State Budget Act was too optimistic and the Bulgarian government lowered its forecast to 2.3.%. BULGARIA TO FINE 4 FUEL RETAILERS OVER PRICE CARTEL - REPORT Bulgaria's anti-trust regulator has decided to slap fines on four major fuel retailers for conspiring to increase fuel prices, according to local media reports. The Commission for Protection of Competition launched the probe in the summer of 2011, encompassing Lukoil Bulgaria, Naftex Petrol, Rompetrol and OMV, 24 Hours daily reported, citing a document by the regulatory body that it has obtained. The commission is also investigating whether Lukoil Bulgaria, controlled by Russia's Lukoil, abused its dominant market position. The news comes as hundreds of Bulgarian drivers staged numerous rallies across the country to protest fuel prices. Local consumers say they are being over-charged by Russian-owned company Lukoil Bulgaria. Under local competition law fines for cartel agreements should total up to 10% of the turnover of the companies involved during the previous year. BULGARIA SETS ANALOGUE SWITCH-OFF DEADLINE AT SEPT, 2013 The analogue switch-off in Bulgaria has been scheduled to be wrapped up by September 1, 2013, the transport ministry announced. The digital dividend proposals adopted by the European Commission in 2010 asked EU member states to speed up the switch-off of analogue TV and to complete it by 1 January 2012, but Bulgaria failed to meet that deadline. Five countries - Finland, Germany, Luxemburg, the Netherlands and Sweden - as well as the US already showed that analogue switch-off can be done quickly. Meanwhile Bulgaria confirmed it will hold a tender for yet another multiplex - a bundle, which groups digital TV and radio stations and transmits the signal - triggering speculations that the move aims to prevent legal action by the European Commission, irked by the previous shady deals. Bulgaria's communications watchdog is obliged to prepare the package of documents for the new tender on September 1, 2013 under legal amendments that parliament hurriedly adopted in the last days of 2011. This is also the deadline for the analogue switch-off in the country. Until then the government is expected to splurge BGN 150 M on freeing frequencies currently held by the military. The legal amendments will also allow companies such as Austria's ORS, which have TV channels outside Bulgaria, to participate in the contests for DTT multiplexes. The decision for the new tender came shortly after it emerged that the European Commission is set to take Bulgaria to the highest court in matters of European Union law over the controversial tenders for the operation of what will be the country's DTT multiplexes. The EU executive may bring the case to the Luxembourg-based European Union Court of Justice, demanding that the deals, clinched in 2009 by Latvia-based Hannu Pro and Slovakia's Towercom, be declared void. Bulgaria has awarded the licenses for its six multiplexes to only two companies - Latvia's Hannu Pro (four) and Slovakia's Towercom (two). The European Commission launched in May 2011 an infringement procedure following conflicting requirements for the eligible bidders in the mux contests, which drove away Austria's Oesterreichischer Rundfunksender GmbH & Co KG (ORS). The requirements in fact made possible a near monopoly on the mux market as all companies which were granted licences are linked in one way or another to Tsvetan Vassilev, majority owner of Bulgaria's Corporate Commercial Bank. At first it was not clear who stands behind the foreign investors Towercom and Hannu Pro, but soon the names of Tsvetan Vassilev, head of Bulgaria's Corporate Commercial Bank and Irena Krasteva, a media mogul, believed to be funded by the bank and ethnic Turkish leader Ahmed Dogan, popped up in all deals. Should the case go to the Luxembourg court and the judges rule against Bulgaria, the country will be forced to pay hefty fines, worth up to EUR 200.000 per day. In a bid to prevent legal action by the European Commission, Bulgaria decided at the end of December to hold a tender for yet another multiplex, its seventh. The government has boasted that the new amendments will allow companies such as Austria's ORS, which have TV channels outside Bulgaria, to participate in the new DTT contest. Experts however say that the new procedure is a mere attempt to throw dust in the eyes of Brussels officials. The seventh multiplex will be just a collection of frequencies and its holder - in a much more disadvantaged position than Hannu Pro and Towercom, which have already grabbed the lion's share of the market, according to them. BULGARIAN GOVT THREATENS TO KILL EGG PRICE HIKE WITH POLISH EXPORTS As egg prices skyrocket in Bulgaria, the country's Agriculture Minister Miroslav Naydenov has threatened egg producers and dealers he may open up the market to exports from Poland as a countermeasure. Egg prices in Bulgaria doubled in the course of the last ten days, exceeding EUR 0.25 per egg at some places. Eggs are now more expensive in Sofia than in Brussels, Paris and Berlin, Naydenov pointed out in an interview for bTV early on Tuesday. The average salary in Bulgaria is approximately EUR 370. "This egg price in Bulgaria is not normal," the Agriculture Minister stated, pointing out that fodder and energy costs have increased in other EU countries without causing such drastic price hikes. If a cartel agreement among egg producers is proven, the financing intended to compensate producers for complying with EU requirements on laying hens' welfare will be stopped, Naydenov also warned. BULGARIA GOVT CONFIRMS PLANS FOR VAT CUT BY MID-2013 Bulgaria's government has voiced, yet again, its willingness to lower the 20% value-added-tax by the end of its term, which expires next year. "The VAT level is likely to be changed at the end of 2012 or the beginning of 2013," Bulgaria's Deputy Prime Minister and Finance Minister, Simeon Djankov, told the morning broadcast of Nova TV on Tuesday. The news comes as Croatia and Cyprus increased their value added tax as of March 1 in a bid to cope with the crisis and rake in more revenues in the budget. Changing the VAT level has been a thorny issue in Bulgaria over the last two years with the cabinet changing their mind numerous times and several versions tossed around. After a series of U-turns Bulgaria's government decided at the end of May 2010 to scrap plans for an increase of the 20% value added tax in a bid to plug a budget gap that has thwarted the new EU member's efforts to join the euro in the near future. The VAT hike, ranging from 22% to 24%, was proposed as part of a package of new austerity measures, which also include the introduction of a luxury tax, floating minority stakes in state-owned companies and a possible bond issue. Politicians, analysts and trade unions took a firm stand against the hike, citing a long line of negative repercussions – an increase in the inflation rate, an expansion of the grey sector, a slow-down in the economic growth, in short a boost for the impact of the crisis. Representatives from all business sectors cautioned that the hike in the value-added tax in Bulgaria should be a last-ditch measure, introduced only together with an overhaul in government expenditure and structural reforms. Hungary has the highest VAT rate in Europe at 27%. The lowest VAT rate in the European Union - 15% - is in force in Luxembourg. The value added tax hike in Croatia pushed it from 23 to 25% and made it one of the countries in Europe with the highest VAT rate, alongside Denmark, Sweden and Norway. In Croatia, VAT was imposed on 1 January 1998 at the rate of 22%. It was increased by one per cent on 1 August 2009. In Cyprus the value-added-tax increased from 15% to 17% on March 1. Thus, the government hopes to reduce the projected budget deficit to 2.4% of gross domestic product (GDP) in 2012 from 6% last year. EBRD EXPANDS FIRST ENERGY EFFICIENCY FUND IN BULGARIA The European Bank for Reconstruction and Development (EBRD) is boosting its support for energy efficiency projects in Bulgaria with a new EUR 10 M loan to the Bulgarian Energetics and Energy Savings Fund (FEEI), the bank said in a statement. FEEI is the country's first private fund supporting energy-saving measures in publicly-owned buildings. The bank's loan will be used to develop energy performance-based projects, attracting both financing and expertise from the private sector by engaging Energy Service Companies (ESCOs). Energy Performance Contracts will be implemented primarily by Enemona, a Bulgarian engineering and construction company specializing in energy efficiency improvements across a wide range of public buildings, including schools, kindergartens, hospitals and administrative offices. Through this loan, FEEI will provide the resources and skills needed to finance energy-saving initiatives for its clients, mainly Bulgarian municipalities and state-owned companies, at a time when local funding remains scarce. "The Fund will support sustainable energy projects based on energy performance contracts. This scheme can generate energy efficiency investments that municipalities operating under tight budgets would never be able to fund themselves. As a result, they can achieve improvements at no initial cost, while the investments are recovered from the obtained energy and cost savings," said Daniel Berg, EBRD's Director for Bulgaria. In Bulgaria, the government estimates that public building owners could save up to 50% of their annual energy bills by undertaking energy efficiency improvements. The Fund is helping to realise this savings potential with a strong pipeline of projects to be implemented over the coming years. The projects will range from installing energy efficient public lighting and introducing combined heat and power generation plants to boiler updates and thermal insulation of walls and windows replacement in the municipal sector. AUSTRIA'S EVN MOVES TO DELIST BULGARIA UNITS Austria's EVN AG plans to delist its two units in Bulgaria just two months after the trade with their shares started on the local stock exchange. This becomes clear from a tender offer the Austrian group published in local Capital daily for the acquisition of the remaining shareholders shares. "After all legal requirements have been met, EVN plans to request the delisting of the two units from the Bulgarian stock exchange," the Austrian energy group said in the notice. The launch of the takeover bids has been scheduled for June. At the moment EVN AG holds a 99.91% stake in EVN Bulgaria Electrorazpredelenie and a 99.92% stake in EVN Bulgaria Electrosnabdiavane. Bulgaria sold almost all of its 33% stakes in Austria's EVN unit in the country right after the trade with its shares on the local stock exchange started on December 21. EVN snapped up more than 97% in the capital of its two units in Bulgaria in one day and shortly afterwards increased even further its stake. Bulgaria offered 62 106 shares in Electrosnabdiavane and 51 612 shares in Electrorazpredelenie at a minimum price per share of BGN 120.31 and BGN 1,373.92 respectively. A total of 112,795 shares in the two companies - Electrosnabdiavane and Electrorazpredelenie - were sold right away, raising BGN 92.97 M, well above the government's target of BGN 78.4 M. The average price achieved during the trade for the shares from the two companies was BGN 156.60 and BGN 1632.56 per share respectively, data showed. The remaining 923 shares were offered for sale later the same week. Bulbrokers, a local financial and investment company, brokered the sale. The majority owner bought out nearly all shares right away because the terms of the tender allowed that they all are offered for trade on the very first day - December 21, analysts explained. Back then experts commented that such a development is highly likely to lead to the delisting of the two companies, which make up the power utility Bulgarian unit, more successful and with higher profits than any of the other electricity distribution companies in the country. Experts have repeatedly called on the government to launch high-quality initial public offerings to bring back to life the capital market, dented by low liquidity and lack of quality stock, as well as to boost revenues. That's why the sale of the minority stakes in the electricity distributors on the stock exchange was a must-do task for 2011. The looming delisting of EVN Bulgaria unit however has triggered speculations that the bourse was just used as a tool by the government to sell its minority stake to the majority owner at a much lower price. In 2004, the Balkan country sold 67% in its three power distributors to Germany's E.ON, Austria's EVN and Czech CEZ. E.ON serves households in North-Eastern Bulgaria, including the Black Sea city of Varna. Czech power utility CEZ supplies power to over 2 million households and companies in western Bulgaria, while EVN serves the south-eastern parts of the country. At the beginning of December German electric energy company E.ON struck a deal to sell its Bulgarian unit E.ON Bulgaria to private Czech company Energo Pro. ELECTRICITY PRICES IN BULGARIA TO RISE BY UP TO 10% FROM JULY Gas prices and central heating tariffs will increase by an estimated 7-8% from April, according to Angel Semerdzhiev, Chair of the State Energy and Water Regulatory Commission (DKEVR). In a Monday interview, he explained that central heating and hot water prices would increase by different percentages for the different companies. In mid-February, state-owned gas supplier Bulgargaz suggested a gas price hike of 27% from April 01, but the energy watchdog countered that such a steep increase would not be necessary. Semerdzhiev assured that a potential reduction in prices of Russian natural gas would be immediately reflected in local tariffs because the pricing mechanisms for the commodity was among the most flexible and provided for quarterly updates. "As soon as there is a change in these contracts, this could be reflected immediately, or within the three-month period, or in the next quarter," the DKEVR Chair specified. He told journalists that a potential reduction of about 10% of gas prices under the supply contracts with Gazprom, heating tariffs could remain unchanged for the next heating season. Semerdzhiev said that he was not worried about the financial condition of Bulgargaz despite the amount of uncollected revenues. The Chair of the energy watchdog was positive that the gas company would be able to finance the purchasing of natural gas to fill up the Chiren underground gas storage, which he said could also happen through a loan. He suggested that electricity prices would rise by up to 10% from July 01, adding that the increase would be prompted by the cost of renewable energy and the launch of a new capacity of AES Galabovo. Semerdzhiev noted that conclusive data on electricity prices would be available in end-May, assuring that end prices in Bulgaria would remain the lowest in the region. BULGARIAN SCIENTISTS COME UP WITH NEW WAY TO TURN GARBAGE INTO FUEL Researchers from the Bulgarian Academy of Sciences (BAS) have created a method that transforms municipal solid waste into fuel, it has been reported. "The method we suggest is a very successful combination of processing municipal solid waste at very high temperatures with very low energy consumption. Thus, as the main product we have gas rich in carbon monoxide and hydrogen that could be directly used in energetics and in households," Prof. Venko Beshkov from the BAS Institute of Chemical Engineering has explained. According to Beshkov, the method will decrease the consumption of oil and natural gas and will slow down the exhaustion of non-renewable energy sources, as it will use a significant part of them as energy through recycling. "Our invention does not depend on the climatic peculiarities of the country it is used in, the seasonal or atmospheric conditions or humidity," the scientist has pointed out, as cited by BGNES. The new technology is a result of the collaboration between the Institute and a small private company. PAVEGEN RENEWABLE ENERGY INSTALLATION UNVEILED IN SOFIA An innovative installation featuring Pavegen tiles, which capture kinetic energy from footsteps and convert it to electricity, was inaugurated Monday evening by Economy Minister Traicho Traikov. The installation has been placed in front of the the National Theater "Ivan Vazov" in downtown Sofia and will stay there from March 06 until March 17. "The energy that can be generated by an innovative technology like Pavegen is practically inexhaustible, but the cost of this energy is also important," Traikov noted. He argued that it was all too clear that nuclear power plants and coal–fired power stations, as well as all traditional sources of energy, "will not give up without a fight", which he said was the main reason why "technologies that break down old business models need support". Traikov pointed out that the distance between his office at the Ministry of Economy, Energy and Tourism was 250 steps that could generate around 1.5 KW of electricity. He also drew attention to the fact that if all Bulgarians walked over at least one Pavegen slab, the move would generate as much energy as the output of the Tsankov Kamak hydroelectric power plant per hour. The green pacing slabs, which are made from recycled rubber, were designed in 2009 by Laurence Kemball-Cook, a 25-year-old engineering graduate. 'UNKNOWN BULGARIA' TO FEATURE IN ITB BERLIN TRAVEL SHOW 2012 The Ministry of Economy, Energy and Tourism, which organizes Bulgaria's participation in the ITB exhibition in Berlin from 7-11 March, will present the country as "The Unknown Bulgaria". Bulgaria will be represented at a 423 sq m pavilion through 42 tourist companies and municipalities. The focus of Bulgaria's participation will be on the presentation of the latest developments in balneology, SPA and wellness and cultural tourism and the promotion of the EDEN ("European Destinations of Excellence") destinations. In the course of the exhibition, Bulgaria's Deputy Minister of Economy, Energy and Tourism Ivaylo Marinov will attend a Silk Road Ministers meeting organized by the UN World Tourism Organization (UNWTO) and will meet with Ernst Burgbacher, Parliamentary State Secretary at the German Federal Ministry of Economics and Technology. Marinov will also hold talks with representatives of major German tour operators. The schedule of ITB Berlin 2012 also includes a special press conference on Bulgaria which will take place at the ICC Congress Center in Berlin on March 08. A joint press conference with Romania on the possibilities for development and cooperation in the implementation of the EU Strategy for the Danube Region will also be held on March 08. Bulgaria and Romania are coordinators on priority axis 3 of the strategy which aims to promote tourism and multicultural dialogue. ITB Berlin is the world's largest tourism fair held each year in March in Berlin. 2012 will see the 46th edition of the event. ITB Berlin 2012 is expected to bring together over 11 000 exhibiting companies and organisations from more than 180 countries. BULGARIA, CHINA INK PARTIAL VISA EXEMPTION DEAL Bulgaria and China have signed an intergovernmental agreement on mutual exemption of visa requirement for holders of diplomatic and service passports. The deal will allow Chinese holders of Schengen visas to enter Bulgaria, the Bulgarian National television has informed. "For Bulgaria, the partnership with the People's Republic of China is crucial, I would say not only for the region of Asia but also on many global issues on which we have more enhanced dialogue," Bulgarian Foreign Minister Nikolay Mladenov declared upon signing the agreement on Monday. Bulgaria and China have shown a big interest to further their bilateral cooperation in the fields of engineering industry, agriculture and infrastructure, said Chinese Ambassador to Bulgaria Guo Yezhou. According to the Chinese Ambassador, the political dialogue, trade and economic relations, mutual investment and personal exchanges and contacts between China and Bulgaria are currently developing very well. In February, Bulgaria formally launched of mass production of cars under the Chinese Great Wall badge by Litex Motors near the northern city of Lovech. With the opening of its new plant in Bulgaria, Great Wall Motors becomes the first Chinese automaker to assemble cars in the European Union. In November 2011, China's Tianjin State Farms Agribusiness Group Company invested a total of EUR 10 M in the lease of agricultural land in Northwestern Bulgaria, the poorest EU region. 'ALTERNATIVE' TROIKA OF SOCIALISTS MEPS HEADS FOR GREECE A shadow alternate troika, which includes MEPs from the Socialist group in the European Parliament, will be sent to Greece to offer constructive proposals for the solution of the crisis. Socialists in the European Parliament believe that the austerity measures imposed by the official EU-IMF-ECB troika are not helping the country but are only deepening the recession. In a bid to remedy the situation, the Party of European Socialists (PES) is sending the three MEPs to Greece to suggest initiatives that will foster economic growth, employment and investments in Greece. The shadow troika includes Ivaylo Kalfin, former Deputy Prime Minister and Minister of Foreign Affairs of Bulgaria, Robert Goebbels, former Finance Minister of Luxemburg and Eliza Fereira, professor of economics and former Minister for Planning and Environment of Portugal. The three MEPs will visit Athens in the period March 6-8 for an on the spot study. The members of the shadow troika will meet with Deputy Prime Minister and Finance Minister of Greece, Evangelos Venizelos and former Prime Minister and PASOK leader George Papandreou. They will hold talks with MPs, representatives of economic institutions, trade unions and associations, employer organizations and representatives of civil society. PES nominated the shadow troika because they believe that the austerity measures that are being imposed on Greece by the EC are not helping the country but are rather deepening the recession and the social tensions and are destabilizing the Greek society. "The EU is trying to make decisions through political measures, which the IMF implements through technical instruments, and to elevate them to a political level," Kalfin said in an interview for Darik radio several days ago. "The result is that in two years' time Greece reduced its budget expenditures by 20% and if the opening balance sheet is taken into consideration, excluding the interest on the debt the country is paying, it is balanced, there is, practically speaking, no deficit," Bulgaria's MEP stated. "Pretty tough reforms are being implemented there but what needs to be done is not getting done and it is measures to liven up the economy," Kalfin remarked. He went on to stress that the Greek economy was shrinking and the recession was expected to deepen even further as a result of the policies implemented by the official troika. Kalfin insisted that no country could emerge from a crisis without plans for measures for economic development and without public support for the tough reforms. He said that the "alternative" troika would be working on a program that would ensure that fiscal measures are combined with a much clearer vision about what must be done and what the results must be. Kalfin emphasized that this would ensure public support and would set out clear-cut measures for restructuring the public sector and the economy which would yield a result. MACEDONIA FROWNS AT GREECE OVER NAME DISPUTE 'FOOT-DRAGGING' Macedonian President George Ivanov has accused Greece of deliberately protracting the name dispute between the two countries. "The Macedonian question is not on Athens' highest agenda. We have a problem, while Greece has no problems," Ivanov has stated in an interview for an Austrian media, as cited by dnevik.bg. He has added that Macedonia has lost two decades due to the name dispute. "Athens is blocking the launch of our EU accession negotiations. We already fulfilled all requirements for NATO, but Greece imposed a veto in 2008. That has negative consequences on the whole region. We are blocked, Kosovo is not recognized, there is no development on Cyprus, but Greece is a EU member state," Ivanov has been cited saying. Macedonia is registered at international organizations as the Former Yugoslav Republic of Macedonia because of the name dispute, rather than Republic of Macedonia at Greece's insistence, which fears the name "Macedonia" might spur territorial claims for its northern regions. Macedonia continues to have no date for starting the EU talks as the Council of the European Union has repeatedly put off grating the country a date, largely because of its name dispute with Greece. Greece and international intermediaries have suggested that the Former Yugoslav Republic of Macedonia should adopt a name such as "Republic of Northern Macedonia" or "Republic of Macedonia-Skopje", which have been rejected by the Macedonian authorities. BULGARIAN SOCIALIST LEADER: EX-PRESIDENT'S BID IS DIVISIVE Former Bulgarian President Georgi Parvanov's annoucement that he will run for leader of the Bulgarian Socialist Party might have negative effects on the party, commented current chair Sergey Stanishev. Tuesday Parvanov, who stepped down from two 5-year terms as Bulgaria's President end of January, finally explicitly announced he will try to return as the Socialists' chair at an upcoming party congress in May. Parvanov chaired the Bulgarian Socialist Party from 1996 until being elected in his first term as Bulgaria's President in 2001, during which period he did much to reform the party and make it a pro-Western European social-democratic party. He was succeeded by Stanishev, who served as Bulgaria's PM 2005-9, and currently holds the interim presidency of the Party of European Socialists. "In the past, the Bulgarian Socialist Party has always stood behind President Parvanov. We now have for the first time a situation in which a former President is running for chair of the party - something which has a precedent in other Bulgarian parties and has only led to dire results," commented Stanishev. The socialist leader added that Parvanov better quit the divisive rhetoric and put forwad concrete alternatives that could promote the development of the Socialist Party and its standing in Bulgarian political life, where it currently occupies the second position in terms of popularity, well behind Bulgarian PM Boyko Borisov's center-right GERB. "We presently lack a discussion about the role of Bulgaria in the EU. In addition, we are witnessing a systematic destruction of the welfare state due to GERB policies," said Stanishev, adding that all socialists should unite to oppose GERB. On his part, Georgi Parvanov also promoted his candidacy by arguing he possessed the best leadership qualities to counteract PM Boyko Borisov and his policies. BULGARIA TOP COP: POLICE, COURTS ARE LIKE 'COMMUNICATING VESSELS' Bulgaria's Minister of Interior Tsvetan Tsvetanov has made a clumsy attempt at toning town a war of words he led in the past few months with the judicial system. Speaking at a forum in Bulgarian capital Sofia Tuesday, Tsvetanov twice stressed that the police and the judiciary are, in his words, "just like communicating vessels." This is a common metaphor in Bulgarian, meaning two entities that are closely interdependent, its literal translation being "like joint vessels." This consideration makes the quality of Tsvetanov's appeasement at least dubious, in view of the fact that in the past judges have protested precisely against what they saw as an attempt to make the judiciary dependent on the executive. "Evidence gathered by the Ministry of Interior turn up at the courts and we then rely on just sentences being pronounced. But if evidence is inadequate, judges have no choice but dismissing cases," reflected Tsvetanov. Asked whether he is "burying the hatchet" with the judiciary, the Interior Minister replied that there was no hatchet whatsoever to start with. Tsvetanov's war of words with the judiciary grabbed headlines in the early 2012, when his insinuations that Judge Miroslava Todorova from the Sofia City Court is working to benefit organized crime led to a libel case against him. In another curious case this year, the Bulgarian police codenamed a "special operation" with the given name of the judge who had decided to let a suspect out of detention. Judges reacted with indignation, arguing that such acts interfered with the work of their branch of power and instilled hatred against it in society. BULGARIA MOVES TOWARD E-GOVT WITH PAPER-FREE FOREIGN MIN Bulgaria's Ministry of Foreign Affairs has become the country's first paper-free ministry by discarded all paper document flow, it announced Tuesday. "The move to e-administration in the future is inexorable and there is no point in resisting this," Bulgarian Foreign Minister Nikolay Mladenov Tuesday Mladenov presented the new electronic documentation system of the Foreign Affairs Ministry, which at the beginning of 2012 became the first fully paperless institution in Bulgaria. In addition to optimization of workflow and a much lighter environmental impact, the new system is expected to save the ministry some BGN 100,000 per year. "The next important stage in the process of introducing e-governance is the use of the system in the work of consular services," explained Minister Mladenov. He added that the e-system was currently being being tested in Bulgarian missions abroad, and implementation it will enable consular services to be extended to places where Bulgaria has no diplomatic representation. MLADENOV RETURNS AT CSKA SOFIA HELM Stoycho Mladenov has been appointed once again as head coach of Bulgarian side CSKA Sofia following the team's disastrous 2-0 loss against Chernomorets Burgas. Mladenov, 54, who led CSKA to two league titles in 2003 and 2008, has replaced Dimitar Penev, the flamboyant coach who guided Bulgaria's national team to the semifinals of the 1994 World Cup. Penev is now set to become chairman of the club. The Reds are currently third in the Bulgarian A league standings with 36 points from 16 matches, a position they share with Chernomorets Burgas and archrivals Levski Sofia. Surprise leader Ludogorets Razgrad has 39 points. CSKA lost four key players during the winter transfer window. Spas Delev, Ianis Zicu, Gregory Nelson and Michel Platini were all transferred out to foreign clubs, which pundits believe may deal a huge blow to the team's title ambitions. RODMAN, SABONIS INVITED TO BULGARIAN ALL-STAR GAME NBA legends Dennis Rodman and Arvydas Sabonis have been invited to attend Bulgaria's All-Star basketball game as special guests. The show is to take place on April 7 at Sofia's Arena Armeets sports hall. The organizers have aimed at attracting a record-high audience for the game. A total of 12 500 tickets are released. Rodman turned 50 last summer and is still one of NBA's emblematic figures. Even though his playing career ended years ago, his eccentricity still makes him sought after at such events. Dennis Rodman led the NBA in rebounds per game for a record seven consecutive years and won five NBA championships. Lithuanian Arvydas Sabonis is considered one of the best big man passers as well as one of the best overall centers in the history of the game. BULGARIA TO BOAST ILLEGAL ASSET FORFEITURE LAW BY EASTER Amendments to the long-delayed bill authorizing widespread confiscation of illegally obtained assets are expected to be conclusively adopted by Bulgaria's parliament by Easter. "We are currently between the first and second reading of the bill. We have made proposals for changes to some of the texts, but the general concept remains the same. I do not know why there are doubts about the adoption of the bill. There are deadlines that we must stick to, but I hope the bill will be passed at second reading by the Easter holidays," Atanas Atanasov, deputy parliamentary speaker, said in an interview for Darik radio on Tuesday. Bulgarian authorities are likely to have the right to launch probes and seize - following an indictment - unexplained wealth, worth more than BGN 250,000, which has been acquired over the last ten years, under the draft law. It sets out a regime for non-conviction based asset forfeiture, but the procedure will be launched only if the person is indicted with terrorism, participation in an organized criminal group, kidnapping, enticement to prostitution, human trafficking, theft, robbery, embezzlement, unprofitable deal drugs and tax evasion. The opposition has slammed the amendments, saying that it creates conditions for persecutions and repressions of political opponents, while making untouchable the white color criminals, who piled up their wealth through privatization deals and administrative crimes. The majority in Bulgaria's parliament surprisingly failed to pass through the keenly expected bill in July last year, triggering fierce criticism in the EU and US, as well as suspicions of a set-up. The draft law, initiated by Bulgaria's former Justice Minister and current Vice President Margarita Popova and widely touted by the ruling party as a powerful tool in crime and corruption combat, initially envisaged that the commission will have the right to launch investigations into incomes and acquisitions for the last twenty-five years and seize assets without conviction. "The new version of the bill seeks to target not the ordinary citizens, but the members of organized crime groups," the recently appointed Justice Minister Diana Kovacheva justified the changes. Analysts however have commented that the period of ten years and the condition for an indictment in place practically will make many people untouchable. Bulgaria's law on asset forfeiture needs to be comprehensive, and backed up with strong institutions, if it is to be effective in dissuading organized crime and high-level corruption, the European Commission recommended in its interim report, issued earlier this month. The interim report pointed out that while the European Commission recommended the inclusion of the power for the Commission for the Identification and Forfeiture of Criminal Assets (CEPACA) to undertake pro-active asset verification of senior officials and politicians, this aspect does not seem to be pursued. Brussels stressed that the parliamentary discussions should be an opportunity to strengthen the draft to ensure an asset forfeiture regime which is comprehensive in scope, covers a sufficient timespan to be effective, and is backed up by strong institutions. TRIAL AGAINST BRAZIL-JAILED OLYMPIC CHAMP TO KICK OFF The first hearing of the trial against Bulgarian Olympic weightlifting champion Galabin Boevski is to begin at 8 pm EET in Brazil on Tuesday. In October, Boevski was detained in Brazil with 7.2 kilos of cocaine and charged with drug trafficking offense that could result in 15 years behind bars. The drug was found hidden in special secret compartments inside his suitcase at the Guarulhos Airport in Sao Paulo. The former Olympic champion has vehemently denied to have been involved at any point in his life with people, dealing with drugs trafficking. At the end of February a Brazilian supreme court ruled to keep the former weightlifter in jail and rejected the defense request to release the client under house arrest. The 36-year-old Boevski won the gold medal at the 2000 Sydney Olympics in the 152-pound category. He was banned for eight years by the International Weightlifting Federation for doping in 2004. BULGARIAN NABBED FOR DRUG TRAFFICKING IN MACEDONIA A Bulgarian citizen has been detained upon attempting to bring in heroin from Greece into Macedonia, reported the Macedonian National TV. The Bulgarian citizen has crossed into Macedonia at the Star Dojran checkpoint, upon which border authorities uncovered close to 10 kg heroin in his car. According to police data, he was part of a criminal network for drug trafficking from Turkey onto the Balkans, with charges being filed against 16 individuals. The Bulgarian has been detained, while leaders of the group are reportedly inaccessible to the Macedonian police. According to their information, the leaders of the organized crime group are Macedonian citizens and are hiding in Kosovo. BULGARIAN TYCOON'S SISTER MURDERED IN FIT OF JEALOUSY Russian woman Natalia Wilson, who killed Bulgarian Slavka Naydenova in Dale City, Virginia, has confessed she committed the murder out of jealousy. The confession was made two years ago after a lengthy 20-hour interrogation, but now has been revealed by Virginia news website Inside NoVa. Natalia Wilson claims that she was in an emotionally affected condition when she killed 41-year-old Naydenova, the sister of Bulgarian tycoon Iliya Pavlov who was shot dead in 2003, and her 8-year-old son. In the interview, Wilson told police she went to Naydenova's house and asked to use the bathroom, without telling her who she was. A short time later, Wilson told Naydenova that she was her ex-husband's current wife. "I want to ask you a lot of questions," Wilson said she told Naydenova. "Why is my husband here so often?" Wilson told police that Naydenova got angry and told her to leave. She said Naydenova started to scream and ran at her with a knife and Wilson grabbed her hands. "She was saying, 'I will kill you,'" Wilson said. "I was scared, I was terrified and I was feeling hatred." Wilson told police she did not remember exactly what happened, but, after a struggle, Naydenova and Paul, who ran into the room when his mother yelled for him, were dead of multiple stab wounds. In court documents, police and prosecutors say that Wilson killed Naydenova out of jealousy and killed Paul because he ran into the room. Defense attorneys argue that Wilson only confessed to the crimes because of stress of the police interrogation and say that police did not fully investigate other suspects. Now a judge will decide whether or not that confession will be allowed into evidence at Wilson's capital murder trial. Prosecutors are pressing for death penalty. Natalia Wilson is the second wife of Lester Wilson, an American national whom Slavka Naydenova divorced. Natalia Wilson, formerly named Natalia Leshtenko, was born in Stavropol, and before leaving for the US used to live in the Russian Black Sea city of Novorossiysk. Her daughter (born 1985) also lives with her in America. BANK SECURITY GUARD FOUND SHOT TO DEATH IN NORTHWESTERN BULGARIAN TOWN A bank security guard in the north-western town of Byala Slatina, Vratsa district, was found shot in the temple on Monday evening. A police patrol was dispatched to the local office of Asset Bank at 7.40 p.m. because the site had not been closed on time. The police officers found the 38-year guard in the office breakroom with a bullet wound on his temple and his duty weapon lying next to him. Nothing was found missing from the bank vault. A pre-trial investigation has been launched into the case. BULGARIAN CHOCOLATE BAR PROUDLY NAMED AFTER PM BORISOV A Bulgarian company has launched a chocolate bar with the name and face of Bulgarian PM Boyko Borisov on its packaging. The Boyko Borisov (B.B.) chocolate wafer bar is a hit among buyers in the central northern Bulgarian city of Veliko Tarnovo, report Bulgarian agencies Tuesday. The sweet, weighing 50 gr at a price of BGN 0.32, has been produced by a company based in nearby Lyaskovets and owned by former international football referee Ichko Lozev. In the past, Lozev's company has issued bars with bearing the name of legendary Bulgarian footballer Hristo Stoichkov. Other Bulgarian producers of sweets have also resorted to extravagant names to attract attention to their products, the cheap "Crisis" wafers being a good example. According to information by the Bulgarian National Radio, Bulgarian PM Boyko Borisov has been informed about the product by the company and has allowed it to market it. NINA DOBREV TO VISIT GRANDPARENTS IN BULGARIA - REPORT Bulgarian-born Hollywood actress Nina Dobrev will visit Bulgaria in the early summer, according to local media. The exact date of her visit is unknown. Dobrev is set to spend some time incognito in Sofia with her grandmother and grandfather, according to the Cross news agency. The star of "The Vampire Diaries" is also expected to pay a visit to the Bulgarian seaside. According to the report, Dobrev will meet with Bulgarian actor Stanislav Yanevski (Viktor Krum from Harry Potter and the Goblet of Fire) at some point during her Bulgarian trip. She allegedly befriended him an a social networking site. VINNIE JONES LANDS IN BULGARIA TO FILM 'COMPANY OF HEROES' Former Welsh football player and current film star Vinnie Jones arrived at Sofia Airport Tuesday to take part in film shooting in Bulgaria. "Last time I came to play football with Hristo Stoichkov. Now I'm coming to take part in a movie. It's funny how things change," commented Jones as reported by Blitz.bg. Vinnie Jones and US actor Tom Sizemore will take the lead roles of soldiers on a dangerous mission in the film based on the Second World War themed game "Company of Heroes." The UK film star also said that up to now he has no great knowledge of Bulgaria beyond football, but hopes to learn more during his visit. Erswhile footballer Jones made a sunning film carreer, starting out in successful Guy Ritchie movies, then performing in movies such as "Gone in 60 Second" and "Swordfish." EGG PRICES IN BULGARIA A: Why are egg prices so incredibly high in Bulgaria? B: The government keeps them high on purpose. They are afraid people may start hurling eggs at them. WORLD POWERS RESUME NUCLEAR TALKS WITH IRAN 6 world powers have accepted Iran's proposals to renew negotiations on the Iranian nuclear program, ending a stalemate that has led tensions with the Islamic republic to an unprecedented high. EU high foreign policy representative Catherine Ashton has announced the move by US, UK, France, Germany, Russia and China in a letter sent to Iran's chief nuclear negotiator Saeed Jalili. Many see the renewal of talks as a final attempt to reach a diplomatic compromise that avoids military action by Israel or the US, writes the Financial Times. "The main focus of negotiations will have to be on building confidence by developing concrete and practical steps," Ashton said in her letter. At the same time, Israeli PM Benjamin Netanyahu, who is on a crucial visit to the US to discuss the matter, gave signs that Israel might wait little before striking Iran. Speaking to a pro-Israel conference in the US, Netanyahu said he could not allow his people to "live in the shadow of annihilation," writes the BBC. All the same, the Israeli PM has assured US President Barack Obama that Israel would not act on its own and will inform its American partners of its intentions. On his part, Obama stated that "there is still a window that allows for a diplomatic resolution" of the matter with the Iranian nuclear program. At the same time, he stressed that the States will continue to work for not letting Iran build its nuclear weapons. The Iranian government's position is that its nuclear program is completely peaceful and geared towards developing nuclear energy. SYRIA TRIES TO RESTORE PEACE IN HOMS, MASS EXODUS REPORTED Syrian authorities have deployed construction equipment to try repair the massively damaged city of Homs, as month-long bloodshed has come to a standstill. After an operation of several weeks against combattants in Homs, Syrian authorities are trying to bring life in the city back to its peaceful routine, reports ITAR-TASS. Rebels in the Baba Amr neighborhood, site of some of the most fierce fighting, have been defeated, but isolated skirmishes are still continuing in other parts of the city. At the same time, the BBC reports of a massive exodus of Homs residents to nearby neighboring Lebanon, and a number of atrocities allegedly committed by the Syrian army. The UN refugee agency said as many as 2,000 people fled in the past two days, writes the BBC. According to UN data, 70,000 people have been displaced since the uprising against Syrian President Bashar al-Assad began in March, and that more than 20,000 have fled to Lebanon, Turkey and Jordan. The BBC also adds that Syrian authorities have given UN humanitarian chief Valerie Amos given permission to visit Syria and wanted unhindered access for humanitarian aid. Meanwhile, UN and Arab League special envoy for Syria Kofi Annan is also headed for Syria, after a welcome was extended by embattled President Bashar Al-Assad. The atrocities, widely reported by Western and Persian Gulf media, are largely based on unconfirmed reports, as journalists have little access to the country. State run Syrian SANA information agency has denied them, in many cases attributing atrocities to the rebels, such as a case in which a young boy has his troat slit by armed men. In the States, US Senator and GOP presidential hopeful John McCain spoke in Senate in favor of air strikes against the Syrian government. A senior source from the cabinet of US President Barack Obama is quoted saying that such strikes can only exacerbate the situation. At the same time, Turkish PM Recep Tayyip Erdogan has accused Syrian authorities of "anti-human actions" and called the international community for more resolve. STATE DEPT: US LOOKS FORWARD TO WORKING WITH PUTIN The US Department of State has issued an unusually warm statement on the outcome of the Russian presidential elections, won by current PM and former President Vladimir Putin. "The US congratulates the Russian people on the completion of the Presidential elections, and looks forward to working with the President-elect after the results are certified and he is sworn in," says the State Department. Under the title "US State Dept Excited about Election Results in Russia," RIA Novosti has commented that the tone of the message is "unexpectedly friendly." The US Department of State position also welcomes political and electoral reforms carried out by Russian authorities ahead of elections, although it notes that irregularities have remained. Nevertheless, the message stresses on the positive sides of the process, saying that the number of observers and the degree of transparency of the election makes it the freest election in Russian history. According to the US State Department, those processes are "a sign that Russian society seeks to participate in the improvement of Russia’s democratic institutions." The statement also stresses explicitly on the strong legitimacy of Vladimir Putin as a future Russian President, as he came out of the race as a "clear winner with an absolute majority" in the first round. At the same time, in a statement Tuesday Putin said that protests, which have been frequent in Russia around the elections, are a normal part of political life. Tuesday he also met with representatives of "Fair Elections" movements and assured that all reports about voting rules violations will be investigated. All the same, OSCE observers have branded the elections "unfair," said they were clearly biased in favor of Putin, who ended up winning 64% at the first round. French President Nicolas Sarkozy and UK PM David Cameron have notwithstanding congratulated Putin, saying they also look forward to working with him. Monday Bulgarian President Rosen Pleveneliev also sent greetings to future Russian counterpart, while Bulgarian PM Boyko Borisov did so already on election-day Sunday. LIBYA 'COULD FALL APART' AS EAST DECLARES AUTONOMY Eastern Libya has declared autonomy from the rest of the country in a move that authorities in Tripoli had warned could destabilize the territorial integrity of the country. Tuesdan in the main city of the Libyan east, Benghazi, leaders marked one year from the start of the uprising that ousted and eliminated long-term leader Muammar Gaddafi. They also declared the petrol-rich eastern province to be semi-autonomous from the central government, asking for federalism. Participants vowed to end what they saw as a decade-long marignalization of Eastern Libya within the country and appointed a council to manage the affairs of the region. Ahmed Al-Zubair al-Senussi, long-time political prisoner during the Gaddafi regime and great-nephew to ex Libya king Idris, has been appointed to chair the council. When built after the Second World War, Libya was formed by uniting the three provinces of Tripolitania, Cyrenaica and Fezzan. The anti-Gaddafi revolt in 2011 was ignited predominantly in Benghazi in the east, Cyrenaica's main city and Libya's second-largest. Libya's National Transitional Council, which has governed the country after the ousting of Gaddafi, albeit for a time seated in Benghazi, has repeatedly warned against autonomization of regions, arguing it would lead to a splitting of the country. SIGNALMAN FACES CHARGES FOR POLAND'S TRAIN TRAGEDY A Polish signalman is to be charged for unintentionally causing the fatal head-on collision between two trains in Southern Poland on Saturday. The suspect is currently too mentally disturbed as a result of the accident to take part in the proceedings, according to the Polish radio's IAR news agency. The head-on collision between an inter-city train from Warsaw to Krakow and a regional service from Przemysl to Warsaw occurred shortly before 9 pm on Saturday when one of the trains ended up on the wrong track. The signalman, whose identity has not been revealed yet, may have inadvertently switched the Krakow-bound train onto the wrong track. If found guilty, he could face eight years in jail. 16 people perished the heavy train crash that was the worst in the country for the last 2 decades. Tuesday marks the second day of mourning in Poland. |









