LIVING EUROPE

Bulgarian Press Review, April 13, 2010

2010-04-13T10:57:00.001-07:00

Press Review
Sofia, April 13 (BTA)

THE HOME SCENE
"Troud" comments that GERB is entering a difficult parliamentary session. The author notes that the spring session of the National Assembly will be dominated by two topics: the anti-crisis measures and the effectiveness of the judiciary, both of them urgent and complex. From a political point of view, most urgent is the response to the President's veto of the amendments to the Code of Criminal Procedure concerning the so-called backup defence lawyer and the secret witness. The author suggests that it would not be a bad idea if in addition to the President's reasoning for the vetoed amendments, the parliamentary Legal Committee also consider the objections to the provisions of leading human rights organizations.

In the economy, most urgent is the passage of legal amendments to enforce part of the 59 anti-crisis measures of the cabinet. The author says this will be no easy job since the effect of most of the measures is not that apparent, time is short, the expertpotential, limited, the consensus among the parliamentary represented parties is somewhere beyond the horizon while the President will not waste the opportunity to veto the more controversial legal amendments. In this complicated situation the parliamentary majority will either cope with the challenges or this will be its last spring session in Parliament, the author concludes.

* * *

"24 Chassa" writes about a suggestion coming from MPs under which ministers will have to "sit an exam" each week without knowing the test questions. The proposal is to be tabled at the beginning of the spring session of the National Assembly. The idea, coming from the Movement for Rights and Freedoms (MRF), is to invite cabinet ministers to report during Question Time in Parliament without knowing the questions they will have to answer beforehand and without having a time to prepare their answers. MRF MP Lyutvi Mestan says that such a quick Question Time with surprise questions will demonstrate the real competence of the ministers. A similar idea about a new type of Question Time in Parliament was made a month ago by Borislav Tsekov of the Institute for Modern Politics.

* * *

In "Troud" Justice Minister Margarita Popova comments the President's veto of the amendments to the Code of Criminal Procedure saying that the state must put an end to endless prolonging of court trials. Popova denied that misuses will be possible in indictments and sentences based only on information collected by special surveillance means and testimony by a secret witness. According to Popova, the bills are reformist and concern the opportunity of the state to have at its disposal resources to fight corruption and organized crime.

* * *

"Piecemeal Laws, Piecemeal Vetoes" caps an analysis in "24 Chassa" which says that in Bulgaria the formula "everything is a crime" is growing ever more and makes the prosecuting magistracy into an all-competent and all-powerful institution. without control. The comment says that criminal proceedings have turned into a way to "settle accounts". The controversial amendments to the Code of Criminal Procedure cannot solve these problems. What is more, the amendments will create additional difficulties. It is perplexing that, according to what top officials have said, the secret witness and the special surveillance means will be only used in high-profile cases, i.e. they will not affect "the ordinary honest average defendant". But the law is for everyone. The implications that it will be for the "worst guys" and that the Interior Ministry will decide who they are, is a cause of concern, says the author of the comment.

* * *

"Troud" quotes Monday's statement by Ivan Kostov, co-chairman of the Blue Coalition and leader of the Democrats for Strong Bulgaria (DSB), that the rightist formations and GERB will come further apart if the latter fail to push through reforms. "If GERB gives up on reforms, we will lose our role of a guarantor of the reforms and the distance between us will grow even further," Kostov said, commenting a statement by Prime Minister Boyko Borissov which implied that first the cabinet will plug the leakages of public money and only after that tackle reforms. "GERB can no longer sink in the quagmire of populism if the party wants to keep its leading position," said Kostov and promised that DSB will try to influence the course GERB is taking.

* * *

"BSP Leader Targets MRF's Electorate" reads a headline in "Sega". The daily says that leader of the Bulgarian Socialist Party and former prime minister Sergei Stanishev made a surprise move announcing the start of his party's active policy in the areas with mixed (Bulgarian and Turkish) population, especially the Rhodope Mountains. "The target are the voters of the Movement for Rights and Freedoms (MRF)," the author writes. At the end of last week BSP's Executive Bureau had a meeting in Kurdjali, Southern Bulgaria (one of the strongholds of MRF) and decided to invite the MRF leadership to "an open talk on all problems". Stanishev formulated new tasks for the BSP, among which is to invite Bulgarian Turks to join BSP, and to elect such people in municipal and national leading bodies in a greater scale if BSP wants to see its influence growing.

ECONOMY

All of the Tuesday dailies write about the gap of 1,200 million leva in the budget revenue target . "Sega" notes that the problem with revenue becomes "deeper still". The government expects to have in the public purse 1,200 million leva less than planned, Finance Minister Simeon Djankov told a news briefing here Monday. The incumbents are of the opinion that the problem is mainly due to the economic downturn while the opposition argues that the government is ruining business.

* * *

The Bulgarian Energy Holding, which managers eight state-owned companies, will be closed by the end of June and all relevant procedures will be complied with, "Pari" says, quoting Economy, Energy and Tourism Minister Traicho Traikov. Initially, the eight companies will function as independent entities, but other ideas are being discussed as well, Traikov said. One option is to group the gas companies in one, another is to have the commercial companies under one umbrella, and the assets, under another. Traikov also said that options are being considered forthe privatization of the National Electric Company (NEC) or parts of it, or offering NEC shares on the stock exchange.

* * *

Interviewed by "Standart News" Chairman of the State Energy and Water Regulatory Commission (SEWRC) Angel Semerdjiev says that a serious review has started into electricity distributing companies (EDCs) and from now on any cost that is taken into account in the determination of electricity prices will be carefully investigated. He hopes that opportunities will be found to reduce costs. SEWRC will be ever more demanding vis-a-vis and will check all data which the EDCs provide to it. Also, there are ideas to bind the EDCs' performance with prices so that when a company does not meet certain indicators, price hikes will not be allowed, but just the opposite, prices will be cut, Semerdjiev says.

* * *

"Sega" informs that a "budget detective" will be sent to look for information about the so-called secret annexes to some 150 contracts concluded by 13 ministries in the previous cabinet whose recent "discovery" increased the budget deficit for 2009 from 1.9 to 3.7 per cent. The problem is that a unified and consistent system for budget accounting is absent, says "Sega". Financier Emil Hursev says that a single institution: the state treasury, should report and manage all available assets, property and obligations of the state, irrespective of where they are located and which entity is their owner.

* * *
"Troud" writes that the United Democratic Forces (UDF) have found out that in 2008 the Regional Development and Public Works Ministry spent 1,111 million leva without primary accounting documents. The report says that the 2008 audit of the Ministry is invalid as it has not been signed by the person in the National Audit Office in charge of the Ministry in question, Hyussein Chaoush. UDF said that Chaoush did not sign the audit on account of missing documents to support the spending of the money.

* * *

In an interview in "Klassa" Labour and Social Policy Minister Toty Mladenov says that the Council for Tripartite Cooperation (made up by employers, trade unions and the cabinet) will discuss the pension reform by May 31. Mladenov stressed that the pension reform has not stopped, as implied by some recently. He says that there are ways to encourage the longer stay of a person on the labour market. Mladenov assures that after the expert talks at the Council for Tripartite Cooperation there will be an orderly system for pension reform which will be a consensus document.

* * *

"Troud" writes that the National Revenue Agency (NRA) and all Directorates for Social Assistance are launching cross checks of incomes of more well-to-do parents who also draw child benefits. Nearly 30,000 families will be checked whose members' occupations: lawyers, doctors, dentists, etc., suggest that they receive higher incomes that what they state.

* * *

"Troud" reports that in the early summer season 50 leva will be enough for a person to pay for his accommodation, food and drink for a day at the seaside. The report says that the downturn has sobered hotel owners, forcing them to consider the Bulgarian tourists "who are the most loyal of clients and the most prompt of payers," according to the author. High-end hotels along the Northern Black Sea have offers for 50 leva per day all-inclusive. Prices offered by four-star hotels along the Southern Black Sea coast vary from 27 leva per day to 56 leva at the peak of the season, says the report. BTA

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – April 13

· The funeral for Polish President Lech Kaczynski on Sunday will be attended by President Georgi Purvanov and Foreign Minister Nickolay Mladenov, Foreign Ministry Spokesperson Vessela Cherneva said at a regular briefing on Thursday in the wake of the plane crash near Smolensk, in which many representatives of Poland's political elite were killed.

· Prime Minister Boyko Borissov and Culture Minister Vezhdi Rashidov Tuesday launched symbolically the first stage of the development of a Contemporary Museum Centre in downtown Sofia. The museum will be completed by the middle of 2012.

· Minister in charge of EU funds Tomislav Donchev said that funds will be reallocated between projects within EU operational programmes and that the government has no current plans to abandon motorway construction projects. Funds will be reallocated within the same operational programme. When a project under the OP Transport fails to be implemented within the budget period, allocated funds could be spent on road rehabilitation, said Donchev, specifying that in EC terms rehabilitation means an overhaul and not patching up potholes.

Bulgarian Press Review, April 8, 2010

2010-04-08T06:50:00.000-07:00

Press Review
Sofia, April 8 (BTA)

HOME SCENE

"Standart News" writes on its front page that private distributors sell electricity to consumers at double prices. The National Electricity Company (NEK) sells electricity 44 per cent cheaper than the price at which it is purchased from thermal power stations, "Klassa" notes. According to the daily, it is contemplated to terminate the privatization contracts with CEZ, E.ON and EVN. "Boyko wants dividends from CEZ, E.on and EVN - or nationalization," "24 Chassa" writes. Prime Minister Boyko Borissov has poured his anger on the electricity distribution enterprises and NEK although the prices of electric power are regulated by a state commission, "Sega" observes. "Troud" leads with the headline "Boyko Targets Electricity Distributors." NEK, the state-controlled energy company, is being milked dry - this is yet another disclosure about shady deals in this country PM Borissov made on Wednesday. NEK buys electricity from producers at 90 leva/MWH on the average and sells it at 88 leva to distributors. At the same time, electricity distributors sell it at 146 leva/MWH to end users, Borissov said. "An end will be put to this, whatever the cost," the prime minister stated angrily. Asked if this means that the privatization contracts with electricity distributors will be terminated, he answered: "Yes, I am thinking about all possible options. This scheme will be discontinued." The prime minister has ordered to be presented a report on energy, the press says. Then all materials will be submitted to the prosecuting
authority "to bring it all out of anonymity" and name the culprits for milking NEK dry.
"The CEZ Image in Bulgaria Has Been Seriously Impaired," "24 Chassa" says in the headline of an interview with CEZ Bulgaria Regional Manager Jan Vavera. He admits that the company management has made mistakes that include the numerous legal actions brought against the State Commission for Energy and Water Regulation. In his words, the rumours that CEZ is withdrawing from Bulgaria may be politically motivated.

* * *
PM Borissov has instructed Interior Minister Tsvetan Tsvetanov to claim between 5 million and 6 million leva from the German-based company Siemens in compensation for a problem in printing the new identity documents of Bulgarians, "24 Chassa" reports. Due to a software problem of the system, the first express orders for passports with biometric data placed on Tuesday could not be carried out. Working all the night, experts managed to issue only 630 identity documents in Sofia, Tsvetanov said. The IDs will be sent to the regional centres where the applications were filed using the services of courier companies with Siemens covering the expenses involved. "24 Chassa" quotes Doychin Cholakov, head of Corporate Communications at Siemens, who says that the experts are actively working to optimize the system and make up for the delay and that he hopes this will happen by the end of the week. According to him, the problem has occurred as a result of the enormous interest in getting new IDs - the applications are three times more than projected and the time limit for printing the documents is too short, he said. Siemens had only six months after signing the contract to develop the extremely sophisticated system. Late on Tuesday Italian specialists arrived in Bulgaria to help cope with the problem.

* * *
"Americans Bite 0.3 ha Off Government Residence," "24 Chassa" says in its highlights. Part of the land belonging to the Lozenets Government Residence went into private hands. The defence Ministry, which owned this piece of property, has confirmed the news. The court awarded two lots of nearly 0.3 ha within the premises of the Lozenets Residence to the Bulgarian-American venture Lozenets Development Company. A procedure for the physical partition of the land will follow, "24 Chassa" writes. There are 23 former owners claiming parts of the attractive property, too. If their claims are granted, the State will lose half of the Lozenets Residence. The Defence Ministry keeps silent about the fate of the underground command post of the army established there.

* * *
Under the headline "Ghettos for Children" psychologist Ivan Igov writes in "Standart News" that it is a wide-spread practice to place healthy children and mentally deficient children in the same institutional care facility and that the methods used to evaluate the children's health status are inefficient.

* * *
This year for the first time the external evaluation of students and the high school entrance exams will be held as one exam consisting of two modules, "Troud" writes referring to Asen Alexandrov, advisor to Education, Youth and Science Minister Sergei Ignatov for secondary education. The first module, designed to evaluate students learning outcomes in general, is mandatory; the second one is for the students willing to enroll in elite high schools.

* * *
The press reports that the cabinet has nominated Professor Anna-Maria Borissova as health minister. The new health minister will start her term by ordering inspections, "Monitor" writes. The Sofia chapter of the Bulgarian Medical Association (BMA) questions the qualities of the nominee for health minister, "Dnevnik" notes. "I don't know what a woman minister without any experience could do," the chairman of the BMA Sofia chapter, Dr Metodi Madjarov, is quoted as saying. "It seems that the prime minister did not have much choice, given that he named as [Bozhidar] Nanev's successor a doctor without any vision about health care but with a lot of experience in advertising medicines," "Sega" says.

* * *
It is contemplated to establish an animal police force devoted to fighting crimes against animals amending the Penal Code accordingly; the idea has been proposed by NGOs, the Agriculture Ministry told "Novinar." The first thing to do is to see whether funds could be allocated for the implementation of the idea at a time of crisis; the next thing is to decide who should be assigned the functions of such police. According to Agriculture Minister Miroslav Naydenov, the required amendments to the Penal Code have already been drafted. They envisage one to three years' imprisonment and fines from 5,000 to 15,000 leva for cruel treatment of animals leading to death or permanent disability. Repeated cruelty or performing the cruel act in the presence of children or harming third persons would be liable to one to five years' imprisonment and a fine from 10,000 to
30,000 leva. "We hope that the amendments will pass in the National Assembly," Naydenov said.

* * *
Journalist Iva Nikolova will run for mayor of Gabrovo as the candidate of the Blue Coalition, "24 Chassa" reports on its front page. The news has been confirmed by the local United Democratic Forces leader Viktor Spassov and municipal councillor Dobromir Valachev (Democrats for Strong Bulgaria). Nikolova was born in Gabrovo; she is the daughter of eminent Bulgarian painter Nikola Nikolov.

ECONOMY

No fiscal measures can replace the structural reforms, Stoyan Mavrodiev, Deputy Chairman of the National Assembly economic Committee, says in "Klassa." He is against increasing the burden of taxes - both direct and indirect.

* * *
The price of petrol will go up by 7 per cent if crude oil reaches 90 US dollars per barrel, "Klassa" writes. In the first quarter of 2010, consumption of petrol for private automobiles shrank by 8 per cent and by nearly 20 per cent for vehicles used for business purposes.

JUSTICE AND HOME AFFAIRS

"If you really think I am a criminal, shoot me!" This is what former defence minister Nikolai Tsonev said when he was arrested in the Academy of Military Medicine on April 1, according to "Troud." However, this part of the video posted on the Interior Ministry web site has been cut off.

FOREIGN POLICY

Bulgarian PM Boyko Borissov will be the first to be welcomed by Barack Obama at the official dinner with the US President in Prague this evening. It will be attended by 11 state and government leaders of countries in Central and Eastern Europe. It is specified that the leaders will enter the hall in the residence of the US ambassador in Prague in alphabetical order. Borissov, faced with problems in the Bulgarian health care system, is expected to congratulate Obama for ushering a sweeping health reform in the US.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – April 8

· Bulgaria’s Ministry of Agriculture and Food has filed to the Prosecution Office a list of around 5,000 swap deals for state-owned terrains realized in 2006-2007. The news broke at a press conference of the ministry.Only five of these deals have harmed the state with EUR 8.481 million, Minister of Agriculture and Food Miroslav Naydenov announced. The matter in point concerns five land swaps from the State Land Fund in the areas of Kamchiya (403 decares), Perelik (1,965 decares), Separeva Banya (1,761 decares), Burgas (101 decares) and Kavarna (288 decares).

· The meeting in Prague is of great importance. Of course, the focus will be put on security issues and the challanges, which all of us are facing, Bulgarian Foreign Minister Nikolay Mladenov said in interview to BNT.In Mladenov’s words, the current situation in Kyrgyzstan will be also tabled for discussion, as Afghanistan will be one of the topics in the meeting.The situation in Iran and Iran’s nuclear program will be another topic for discussion, as well as the strategy for NATO’s development, the minister added. “The meeting between the US president and the presidents and prime ministers of the countries in Central and East Europe comes right after the signing of the new Strategic Arms Reduction Treaty (START), which is of historical importance not only for the US – Russia relations but also for everyone’s security and it shows the clear will of the US allies to strengthen the transatlantic connection with the European partners, especially with those in Central and East Europe,” Minister Mladenov remarked.

· Bulgaria’s Foreign Ministry has been keeping constant contact with our embassy to Kazakhstan, which is the closest one to Bishkek and has been getting in touch with Bulgarians who are now in Kyrgyzstan, Bulgarian Foreign Minister Nikolay Mladenov said. According to initial data, there are around 700 Bulgarians in Kyrgyzstan, part of them are from mixed marriages. “We have officers at the representations of the European Union and the Organization for Security and Co-operation in Europe (OSCE) in Bishkek. According to latest information – there are no Bulgarian nationals injured in the clashes,” Minister Mladenov said.

Bulgarian Press Review, April 6, 2010

2010-04-06T08:47:00.001-07:00

Press Review

Sofia, April 6 (BTA)

HEALTH CARE

Hospitals will fall into three categories, “Troud” writes, quoting amendments to the Treatment Facilities Act. This will stop the siphoning of funds as patients go from one doctor to another because when the law is amended, they will promptly see the specialist they need. The third level of competence will comprise high-tech hospitals performing state-of-the-art surgery. Those hospitals will sign contracts with the National Health Insurance Fund (NHIF) for all clinical pathways. The former regional hospitals will make up the second level of competence. All other hospitals, e.g. municipal ones, will form the first level. They will sign contracts for one to three clinical pathways, depending on the available specialists and equipment.
“Troud” also says that a National Health Map will be introduced. It will show the hospitals which meet people’s needs and which alone will be financed by the NHIF. The rest will treat fee-paying patients.
“24 Chassa” reports that the National Revenue Agency admitted that errors in the health insurance database caused Bulgarians studying abroad to lose their entitlement to subsidized health care for the time when the State was supposed to pay their contributions. People who worked abroad have complained that although they filed declarations, they still owed contributions. To mend the situation, people have to go to a National Revenue Agency office with the relevant documents.
Figures for 2009 quoted in “Sega” show that money is siphoned from the National Social Security Institute (NSSI) through long-term sickness benefits. Their amount increased by 45.9 per cent from 2008 to 773.6 million leva. The largest amount, up 26 per cent from 2008, was spent on benefits for general disease, looking after an ill person and non-work injuries. All this despite the fall in sickness reports by about 36,000. Trade union representatives explain that hard-up employers force employees to take sick leave, for which they are paid benefits by the NSSI instead of wages.
“Standart News” says medicines in Bulgaria are way more expensive than in the neigbouring countries, and some Bulgarians have been making special trips to the chemist’s shops of the other Balkan countries.
Anna Maria Borissova, Chair of the Bulgarian Society of Endocrinology, has been tipped as the new health minister, “24 Chassa” and “Dnevnik” say.

HOME SCENE

Deputy Environment Minister Evdokia Maneva says in a "Troud" interview that in 2010 Bulgaria can trade up to 40 million emission units of its greenhouse gas allowance. At 9 to 11 euro per unit, this will yield 400 million euro at the most.

***

Deputy Transport Minister Ivailo Moskovski says in “Sega” that construction of the Trakia Motorway stretch between Stara Zagora and Nova Zagora cannot start before the autumn. The project will cost 138 million leva and the contract was won by Bulgarian consortium Magistrala Thrace. Financing will become available from Operational Programme Transport. Moskovski’s statement is at odds with a statement by the Deputy Minister of Regional Development Georgi Pregyov, who promised that construction would start in May. The problem is that the European Commission needs six months to approve the application form for the road section, and it has not been sent to Brussels yet. The delay will likely push up the price of the project as Magistrala Thrace CEO Nikolai Mihailov warned recently.

In “Klassa” Bozhidar Yotov, Chair of the Board of the Road Infrastructure Agency, says some 60 million euro is needed for repairs of 60 dangerous bridges.

***

Political analyst Evgenii Dainov says in “Troud” that if the government starts losing ground, the Democrats for Strong Bulgaria (DSB) and the Union of Democratic Forces (UDF) will not tumble down with it because they showed early and resolutely that they are free of GERB’s ailments: indecision, hesitation, lack of a clear strategy and identity. This is the first time since the UDF split up that the benefits of two right-wing parties are evident: DSB is a stable right-wing, conservative, anti-communist party, while the UDF has the capacity to represent people’s concerns, including Liberal causes, by which it partly makes up for the missing centre in politics. The right-wing parties have a huge experience to share with the government, according to Dainov.
“Monitor” says that the Sofia City Court has struck off 206 ghost parties in the last two years. Proceedings are under way to expunge 13 more parties which do not meet the requirements. Any party which has not run in an election for five years must be struck off. The same applies to parties which have not held congresses or have not submitted financial statements to the Audit Office for more than two years.
THE ECONOMY
Deliberate bankruptcies caused banks to lose 50 million leva last year, “Klassa” says. Companies hide their debts to third parties or defraud creditors through offshore companies. Under the Commercial Code a company manager has one month to declare the company insolvent in court. However, many bankruptcies are moved to a time predating the loan. No manager has been sentenced for failing to meet the one-month deadline to declare the company insolvent.
The new EU members, including Bulgaria, cannot hope for lasting recovery before the second half of 2011, according to a World Bank report on the East European economies quoted in “Dnevnik”. Experts attribute at least half of budget deficit growth in 2007-2009 in the ten countries under review to structural factors, such as unreformed public finances and ineffective spending, and not to recession. However, Bulgaria is the only country in which recession deepened quarterly in 2009, while the crisis bottomed out in the other economies.

***

“Telegraph” writes that pawnbrokers charge over 30 per cent interest a month, although the Finance Ministry has set a 3 per cent cap. Breaking the rules, pawnbrokers charge all kinds of loan issue and management fees. Thus the annual interest on a loan may reach 400 per cent.

***

“Klassa” has commissioned a Gallup International poll, which shows that 17 per cent of Bulgarians spend an average of one hour a day in social networks. They are 40 per cent of the active Internet users.
JUSTICE AND HOME AFFAIRS
A bribe which was to be paid to scupper the investigation against former defence minister Nikolai Tsonev was agreed at six meetings between him and investigator Petyo Petrov, who blew the whistle on Tsonev, “24 Chassa” learned from investigators.
Presumably the meetings were videoed and documented by the special services. Acting through Sofia City Court judge Peter Santirov and former Finance Ministry chief secretary Tencho Popov, Tsonev offered a 60,000 euro bribe to stop the collection
of evidence against himself. There is compelling evidence that Popov was arrested in his wife’s notarial office seconds after he gave 20,000 euro to the investigator Petyo Petrov, “Troud” says.

***

High-profile lawyer Daniela Dokovska writes in “Troud’ that questioning is the only way to collect evidence from a defendant; any stratagems intended to skirt the law and elicit evidence through eavesdropping betray procedural ignorance and an inability to investigate by lawful means, she argues. Using special surveillance means is too expensive. It also sets a trap and investigators are the first to fall into it as the persons under surveillance say what they want to say or seize the opportunity to say what they think of the power holders.
Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – April 6, 2010

· Bulgaria hopes to find a strategic investor for the Belene Nuclear Power Plant very shortly, Economy Minister Traicho Traikov has stated during his working visit to the USA.“The construction of the Belene NPP might start in 2011 if it is possible to execute all planned tasks,” declared Traikov after he presented Bulgaria’s investment potential at a forum organized by the US Atlantic Council, as cited by the Russian agency ITAR-TASS.Traikov joined the Atlantic Council on April 5 for a Roundtable on Growth, Energy, and Sustainability in Bulgaria and the Region. The Bulgarian Minister has made it clear that the government keeps looking for a new investor and even said he hoped to have more clarity on this issue by the end of April 2010. ITAR-TASS reminds that the Russian government is a major proponent of the Belene project and that it is ready to provide close to EUR 2 B in two years in the form of a loan so that the construction of the second Bulgarian NPP is not delayed any longer. With respect to another Russian-sponsored project in Bulgaria, the South Stream gas transit pipeline, Traikov said it was up to its shareholders to decide when they would form a joint venture for its realization.
· A new Forestry Bill which is being prepared by the the Agriculture and Foods Ministry will provide for the establishment of an indepenent authority to fight illegal logging, Agriculture Minister Miroslav Naydenov said here Tuesday. He was speaking at the opening of the Forest Week 2010. Agriculture Minister Naydenov commented that his predecessor Valeri Tsvetanov, former SFA chief Stefan Youroukov, as well as the whole previous government are also responsible for illegal swap of woodland from the state land stock with private land. Such swaps - usually under-priced - frequently preceded a change in the purpose of the land and start of development projects.Naydenov believes that the purpose of use of swapped land should be based on market price levels and that whereever possible, the swaps should be cancelled.
· Aleydin Aliev, a.k.a. Alcho, who is suspected to be a leader of a criminal group in the northern city of Lovech, enjoyed protection from all political parties that were in power, says Interior Minister Tsvetan Tsvetanov.
“I would not specify a political party. I can say that Alcho enjoyed the protection of all political parties that were in power in the past 20 years,” the minister said at a press conference after the national meeting of the ministry’s leadership

Bulgarian Press Review, April 1, 2010

2010-04-01T06:15:00.000-07:00

Press Review

Sofia, April 1 (BTA)

THE HOME SCENE
The defeated motion in Parliament for opening a procedure for the impeachment of President Georgi Purvanov is the most commented topic in the Thursday press. The vote was 155 in favour (6 short of the two-thirds majority required for passage of the motion), 72 against, and no abstentions.
“Order, Lawfulness and Justice Party Leader Yanev Reverses Impeachment,” runs the headline of a front-page report in “24 Chassa” which notes that Order, Lawfulness and Justice (OLJ) party leader Yane Yanev decided at the last moment to withdraw his party’s support for the motion. Yanev said that his party will not take part in this “farce” since, according to the OLJ leader, Prime Minister Boyko Borissov replaced the motives for the impeachment, turning the debate in a vote of confidence in the government. Yanev demanded Borissov’s resignation and said that OLJ has a plan for toppling the cabinet which will be announced at the end of April.
Social analyst Kuncho Stoichev tells “Troud” that by deciding to move the proposal for opening a procedure for the President’s impeachment Borissov created more unnecessary enemies for himself. Stoichev says that with the debate of the impeachment motion politics was once against displaced by political intrigues. According to Stoichev, Borissov fell victim to a personal illusion which has befallen many a leader in history - this is the illusion that when at the peak of power one thinks that the gravest mistake is the absence of enough power which thus makes the person clean space around him/herself in order to win more power. In the end, Borissov won more enemies, which, Stoichev says, was totally unnecessary since at the present moment Bulgaria needs a successful term of office of the incumbent cabinet. The wasting of social and political resources is even more unnecessary and harmful for the country, Stoichev concludes.
“Pari” writes that the defeated impeachment motion means that the serious debate about the President failed to take place so that Purvanov emerges as the winner. After some time, everyone will remember nothing but the failed impeachment procedure. Even Yane Yanev, who reversed his position, will not be remembered as the culprit for the failed impeachment, says the daily.

* * *

All of the April 1 newspapers write about the arrest of the Chairman of the Municipal Council of Varna (on the Black Sea), Borislav Goutsanov, who was detained Wednesday on suspicions of fraudulent transactions which caused damage to the city’s transport and the municipal budget. So far police have arrested four persons in the operation codenamed Medusa (Jellyfish):
Goutsanov, a man identified as D.S., known as Dido “The Jean”, Municipal Road Transport Director Pencho Penchev and the Public Transport company’s chief financial officer Ioanna Dimova. Another individual, a citizen of the Netherlands, is wanted for involvement with the crime ring.
Six charges were pressed against the detainees, “Troud” writes, saying that they concern three deals closed by the Varna Public Transport company between 2003 and 2007 for the purchase of recycled buses from France and Germany worth about 2 million euros. Interior Minister Tsvetan Tsvetanov told journalists that just one third of that amount was paid to the seller, while the remainder ended up in the accounts of individuals he did not name. The four detainees have been charged with participating in a crime ring for malfeasance in office, said district prosecutor Vladimir Chavdarov. They also face charges of mismanagement, gross embezzlement, issuing false documents and instigation to perjury.
“Operation Jellyfish targets corruption in the local power and is not politically motivated,” Interior Minister Tsvetan Tsvetanov is quoted as saying.
Socialist Party leader Sergei Stanishev said Goutsanov’s arrest was “the latest political order”. High-profile police operationsare carried out daily and it is no chance that this is happening on the same day as the debate on the impeachment motion against President Georgi Purvanov, Stanishev said, quoted by the press.

* * *

The Thursday newspapers report on the sitting of the Sofia City Court which examined an appeal by Former State Agency for National Security (SANS) officer Alexei Petrov against the precautionary measure securing his appearance. After a sitting which went on for 10 hours, the Court ruled that Petrov and another detainee arrested in Operation Octopus, Marchelo Djotolov, are to remain in custody.
“Monitor” says that three new charges were pressed against Petrov at the Wednesday sitting of the Court: for disclosure of a state secret, racketeering and extortion.
Petrov, who was adviser to then SANS Chairman Petko Sertov until August 2009, and 13 other persons were arrested on the night of February 9 to 10 in an operation codenamed “Octopus”. They were charged, as an organized crime allegedly headed by Petrov, with blackmailing, forcible debt collection and racketeering, inducement to prostitution, drug pushing, influence trading, money laundering, concealment of income, tax evasion and fraudulent recovery of VAT input tax. On February 19 the appellate court released five of the detainees and left only Petrov and Djotolov in custody. They had appealed the measure.

* * *

Commenting the resignation of Health Minister Bozhidar Nanev and its acceptance Wednesday by Prime Minister Boyko Borissov, “ 24 Chassa” says that the Prime Minister expressly told Nanev not to by the antiviral medicines for which he was charged with intentional conclusion of an unprofitable transaction representing a particularly grave case and inflicting damage of a particularly large amount, nearly 2.5 million leva.
In a comment in “Troud” headlined “Scapegoat, Thief or Next Victim of the Healthcare Reform,” social analyst Kolyu Kolev comments that Nanev was a “foretold victim” - a person with too many enemies and no allies. According to Kolev, Nanev’s mistake was that he believed himself that he will be allowed to carry out the reform in the health sector. Such a step - to close the money tap of doctors, hospitals, and pharmaceutical companies which have attached themselves leech-like to the healthcare system, is doomed to failure from the very beginning, Kolev says. This is a huge power that will crush any minister, he says. The social analyst predicts that GERB will not lose from Nanev’s resignation but the healthcare reform will be stalled.

ECONOMY
The other most commented topic in the Thursday press is the package of anti-crisis measures approved by the cabinet.
“Cabinet Decides to Tackle Crisis without Making Reforms” caps a report in “Standart News”, noting that privatization and sale of greenhouse gases are the important measures to shore up the 2010 budget. The measures are expected to fetch nearly 1,600 million leva in aggregate. However, many experts think that the planned revenue has been overestimated, and expenditure, rather big, so that the effect on the public purse is dubious. Prime Minister Boyko Borissov was not optimistic about the budget and implied that the VAT may have to be upped, after all.
“Sega” comments that the crisis will be there for much more time but not so reforms and lists several significant shortcomings in the anti-crisis package of the government, trade unions and employers. In the first place, the plan continues to have too many question marks and unknowns. The plan promises that by June 30 public procurement contractors will get their overdue payments but it is not known where the hundreds of millions of leva needed for this will come from by that time. The second shortcoming is that the measures are too general. Next, it is not clear who is responsible for them. The author of the comment says that on the whole, the combination of ideas triggers mixed feelings. Some of the ideas are good, others, unclear, some additionally burden the budget instead of filling its gaps, still others bear no relation whatsoever to the most critical months.
Three experts comment in “24 Chassa” the 60 steps against the crisis endorsed by the cabinet. Banker Emil Hursev says that with the approved package of measures, all chances to overcome the budget deficit are there. Luchezar Bogdanov of the Industry Watch think thank says that the most significant measures require the most difficult decisions. For example, proceeds from privatization can come provided that the cabinet shows will and sells participating interests owned by the state despite the pressure against the privatization coming from different lobbies. Former labour minister Ivan Neikov says that the measures require at least 25 legal amendments, so that the ball now is in Parliament which will have to act swiftly. Naikov says that much hope is pinned on the sale of CO2 emission but warns that Bulgaria has no experience in this and it is not clear whether the administration is ready.
“Dirty Air, Land to Fill Budget” caps an interview with Deputy President of the Confederation of Independent Trade Unions in Bulgaria Plamen Dimitrov in “Triud”. He dwells on four of the 60 measures expected to bring proceeds to the budget. The first is the sale of greenhouse gas emission units under the Kyoto Protocol, expected to fetch 500 million leva. Another 450 million leva are expected to come from spending cuts in the state-financed sector. The privatization of minority residual shareholding in companies through the Bulgarian Stock Exchange is expected to bring 250 million leva. Putting up to 90,000 ha of land for long-term lease with pre-paid rent and sale of 10,000 ha at public auctions should fetch 164 million leva.
Interviewed by “24 Chassa” former finance minister Plamen Oresharski says he sees the end of the 12 years of financial stability. Oresharski describes the cabinet’s measures not as anti-crisis but as measures to save the budget which will have a pro-crisis impact on the economy. “The negative effects on the real economy are a fact. Since the second half of 2009 they multiplied and together with the external causes now there are local ones as well which aggravate the crisis,” he says.
FOREIGN POLICY
“Sega” runs a comprehensive interview with United States Ambassador to Sofia James Warlick who says that the Bulgarians are fed up with corruption and crime. The Ambassador says that there have been arrests of various persons suspected of being involved with organized crime. However, things do not end here, he says. Now it is the turn of the judiciary which has to guarantee that there is fair administration of justice, the
diplomat says. The judiciary now has to assume its responsibility and do so that those who are guilty are convicted and sent to prison. Ambassador Warlick voices a hope that the Bulgarian institutions will emerge stronger after the debates on the motion to open a procedure of impeachment against the President. PG /ZH/

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – April 1, 2010

· The number of unemployed people declined by 4,000 in March, according to Employmen Agency statistics made public by the Labour Ministry Thursday. This has been the first time in the past one-and-a-half years that their number is dropping. The unemployment rate was 10.14 per cent. Over 375,000 jobless were registered with the job centres in March.

· Former Defence Minister Nikolai Tsonev has been arrested, investigative sources told BTA. News of the arrest came shortly after the reported arrest of a judge in Sofia City Court, Peter Santirov, who allegedly asked a payoff to secure a favourable outcome for a case in which Tsonev is a defendant. Tsonev was Defence Minister from April 2008 to the end of the previous government’s term in the summer of 2009. On November 20, 2009, he was charged with official malfeasance in connection with the purchase of a mobile hangar-making plant and with effecting a dubious transaction for the purchase of aircraft materiel, which resulted in a detriment to the Exchequer of 8,025,825.45 leva. Also on Thursday, police arrested the former chief secretary of the Finance Ministry, Tencho Popov, in connection with the same case.

· Bulgaria’s President, Georgi Parvanov, will support the cabinet in their package of anti-crisis measures despite some disagreements.The statement was made by Parvanov during his Thursday meeting with the Initiative Committee that nominated him for the Head of State post.The President pointed out that in the conditions of an economic crisis the collaboration among institutions is a must in order to successfully apply the measures, adding that currently and unfortunately there isn’t a political crisis in Bulgaria, but a crisis precisely among the above said institutions.Parvanov spoke in the aftermath of the failed Wednesday attempt of the ruling Citizens for European Development of Bulgaria (GERB) party to impeach him for violating the Constitution by publishing a transcript from his talk with Finance Minister, Simeon Djankov, without the latter’s knowledge. GERB failed to collect the 161 parliamentary votes required to send the impeachment motion to the Constitutional Court. Regarding the impeachment attempt, the President pointed out he is not afraid, had never violated the Constitution and does not mind GERB repeating the move in two months it they wanted.

· A day after Bulgaria's center-right government approved an austerity plan to narrow the budget deficit and avoid currency pressure, the finance minister expressed confidence that the country will successfully exit the crisis. Among the government's successes he singled out improvement in the collection of alcohol and cigarettes excise duties, reimbursements of value-added tax (VAT) to businesses and stabilization in the jobless rate. The approved anti-crisis measures, which include higher spending for social payments to the poor, compensation for the unemployed and jobs creation, will pour about BGN 300 M into the budget of the social ministry, Djankov pointed out.According to him this will give opportunity for thousands of Bulgarians to find a job.The set of sixty measures, debated with trade unions and businesses for over a month, have a wide range and aim to cut spending and boost revenues. Their capacity for success however has been seriously questioned by analysts.

Bulgarian press review, March 19, 2010

2010-03-19T11:09:00.001-07:00

Press Review
Sofia, March 19 (BTA)

The Government has started massive downsizing of state administration jobs, "Troud" reports on its front page. This week alone, some 50 people in the Education Ministry were made redundant (and important directors were summarily dismissed). The Defence Ministry will reportedly eliminate 500 tenured positions from its administration and another 300 or so from the Social Activities Directorate. At the Foreign Ministry, the staff size was reduced by 226 positions and diplomats returning after a tour abroad will be forced to take unpaid leave until a vacancy falls open at the head office in Sofia. The Transport Ministry has shed 336 jobs. As part of the anti-crisis measures, the Health Ministry is contemplating a merger of the Regional Health Centres (with some 500 employees) with the Regional Inspectorates for Public Health Protection and Control (with over 3,330 employees). The Finance Ministry is the top achiever in redundancies: 15 per cent or 98 tenured positions have been eliminated, "Troud" notes. The National Revenue Agency, too, has not been spared: at 7,335, tax officers are 641 fewer than before.

"This time in front of the National Theatre we will not be smoking or drinking water: we will be shouting to be heard as far away as in Europe," Ivan Slavov, Chairman of the Control Commission of the Interior Ministry Staff Trade Union Federation, told "Troud". "Why have the election campaign promises to the police vanished? Why are we used as a scare, showing people how we pin some guy to the ground? We are depoliticized, why do they get us involved in political games?" he asks. "Our colleagues in Sofia cope somehow: they moonlight as tile fixers after work. But policemen in the provinces are desperate. And they are armed. If anything happens, let the Prime Minister know that we, the trade unions, have not organized it. But we can't stop it, either," Savov notes.

"Bulgarska Armiya" quotes Defence Minister Anyu Angelov as saying that servicepersons' pay will not be allowed to drop.

The National Revenue Agency (NRA) is contemplating a relaxed regime for rescheduling corporate debts, "Dnevnik" learnt. The effective ordinance, dating from 2006, is exceedingly restrictive and the mechanism is practically unworkable for a large part of the companies which are experiencing difficulties due to the crisis. The effect of the hostile market conditions is compounded by the build-up of the State's debts to companies.

The NRA has registered a 600 million leva decline in revenue collection since the beginning of the year compared to the same period of 2009, NRA Executive Director Krassimir Stefanov said, quoted in the top story of "Douma." The NRA has 6,500 million leva uncollected receivables from debtors that have built up over the years. Stefanov said that for January 2010 alone, the employment contracts registered at his Agency were 100,000 fewer than in January 2009. He sees this as an indication of the loss of 100 jobs.

Bulgaria ranks third among the countries of Southeastern Europe as an attractive destination of foreign direct investment, Ernst & Young found in a survey of 203 business leaders of international companies at the end of 2009, "Klassa" reports on its front page. The most attractive invesment destination in the region is Croatia, with 40 per cent of the respondents, followed by Romania, 39 per cent, Bulgaria, 34 per cent, and Serbia, 33 per cent. As many as 54 per cent of the investors are positive that Bulgaria can increase its attractiveness over the next three years. According to Ernst & Young Bulgaria Country Managing Partner John Mystakidis, Bulgaria is probably the only EU Member State together with Cyrpus which meets all Maastricht criteria and this is an excellent recommendation for business, especially after the raging fiscal crisis in Greece.

* * *

"I like [Finance Minister] Simeon Djankov's ideas, I support his views about fiscal stability and reforms; the problem is that especially recently he hasn't been receiving the necessary support," former finance minister Milen Velchev says in a "Troud" interview. He also approves that an increase of tax rates is not proposed, the idea not to assume new obligations before paying the old ones, and the temporary withdrawal of civil servants' privileges. Velchev favours the idea of the Bulgarian National Bank issuing bonds for development of the international markets, so as to provide cheaper loans for business.

"At present, pensioners have an absolutely unfair competitive advantage on the labour market over people who are not of retirement age," Center for Liberal Strategies Programme Director Georgi Ganev says in a "Klassa" interview. He also argues that the fact that civil servants so far have not been paying their share of social and health insurance contributions but taxpayers have had to pay it for them is food for thought.

"I wouldn't stpport at least half of the 28 proposals cited in the press," economist Georgi Angelov, who allegedly came up with the proposals, told "Troud". Under the heading "If We Go Bankrupt, the Measures Will Seem All Too Lenient," he notes that the politically easier approach would be to cut all public spending by the same percentage. If the budget deficit is 1,000 million leva, everybody will be told to reduce their expenditures by 4-5 per cent, he reasons. "If we are to reform the administration, let us introduce new incentives for civil servants: give them bonuses when they do their job; if they don't, fine them and fire them," he suggests. He has an idea that a market should be sought for the carbon emissions that the other countries sell. In his opinion, the Government must take a harder line because "since the elections everybody who has started a protest has got some money. Which encourages the rest to demand as well." "Under trade union pressure, all reforms have been halted and now they will have to pay a ten-fold larger price," Angelov argues.

* * *

"The power-holders banned GMOs under public pressure," "Sega" writes on its front page. "GERB took a U-turn on the matter after the resolute intervention of Prime Minister Borissov," the daily notes. "After three months of stormy debate in Parliament, in the media and after street protests, the MPs of GERB and Ataka yesterday gave up all radical revisions of the Genetically Modified Organisms Act. The parliamentary majroity banned GMO cultivation and experiments for scientific purposes in the protected areas and within 30 km from them. The GMO Act, which was passed conclusively, prohibited the cultivation of GMOs within 7 km from organically farmed areas and within 10 km from beehives. At the opening of the plenary sitting, the ruling party also withdrew its motion on imposition of a five-year moratorium on GMOs within Bulgarian territory."

* * *

"Bribes in the judicial system are codenamed as tropical fruits," Deputy Prime Minister Tsvetan Tsvetanov said on Thursday, cited on the "Monitor" front page. The magistrates would not mention any money and bribes when talking on their mobile phones. All they would say is that they wanted a specific quantity of oranges or bananas. Judges know perfectly well how to avoid being implicated in corruption.

* * *

Tomislav Donchev, who was elected minister in charge of EU funding management, told "Standart News" that 24 per cent of the resources from the EU have been contracted and 3.2 per cent have been paid. He believes that the bureacratic burden should be relieved without loosening controls.

* * *

"South Stream will be the only gas pipeline that will be built," Prof. Gerhard Mangott, energy security expert and political scientist of Innsbruck University, told "Novinar" in an interview.

"Troud" carries an article by Turkish Foreign Minister Ahmet Davutoglu entitled "Bulgaria and Turkey Have Common Past and Future".

CULTURE

"The most expensive performing art in Bulgaria is operate. The largest money-maker, though, is theatre," "Troud" writes in its analysis. There are 42 state-owned theatres in Bulgaria, employing 1,883 people. Last year the Government spent more than 24 million leva on their labour costs and utility expenses. Theatres earned about of quarter of their keep by ticket sales: 5.8 million leva, with an average price per admission of 5.95 leva.

* * *

Most papers report that the 6th World Meeting of Bulgarian Media, initiated and organized by the Bulgarian News Agency (BTA) and the Association of Bulgarian Media Worldwide, will take place in Vienna between May 16 and 20, 2010. The meeting will focus on the evolution of the terms "East" and "West" and the new East-West relationship in economic, social, cultural and media terms.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – March 19, 2010

· Motives for the impeachment of the Bulgarian President Georgi Parvanov are ready, the speaker of the National Assembly Tsetska Tsacheva told journalists, Focus News Agency reporter informs. Tsacheva noted the parties reached and agreement on the motives for President’s impeachment. The speaker of the National Assembly did not specify the motives for the impeachment.

· Finance Minister Simeon Djankov will familiarize the National Assembly with the government's anti-crisis package after the social partners approve it and the Council of Ministers adopts it. Djankov said that a team of representatives of most ministries was working on additional measures in support of Bulgarian businesses and the people. The measures are expected to be drawn up by the end of this week. They are to be discussed with employers and trade unions in the National Council of Tripartite Cooperation next Monday. After the government discusses the package, the Finance Minister will familiarize the National Assembly with it.

· Bulgarian Deputy Prime Minister and Interior Minister Tsvetan Tsvetanov and Greek Citizens Protection Minister Mihalis Chrysohoidis Friday inaugurated a Contact Centre for Police and Customs Cooperation at the Promachonas border crossing, on Bulgaria's border with Greece. The sides signed the rules of organization and procedure for the Centre, which will have a Greek and a Bulgarian manager. The Centre will allow Bulgarian and Greek border police and customs officials to cooperate in real time and to solve problems related to transborder crime.

· The design of the Bulgarian part of the Nabucco gas pipeline should be ready in late 2011. According to the final report on the pipeline route, the Bulgarian section will be 412 km, said Kirkor Topakbashiyan, head of Marketing and Commercial Operations Department of Chimcomplecт Engineering which is the local engineer for the Nabucco project. All details of the Bulgarian route will be clear in October or November this year. The pipeline is scheduled to be commissioned in late 2014 or early 2015.

Bulgarian press review, March 18, 2010

2010-03-18T09:39:00.001-07:00

Press Review
Sofia, March 18 (BTA)

HOME SCENE

"Troud" writes that the Finance Ministry denies to have drafted the 28 anti-crisis measures, publicized by the trade unions. However, the paper cites Konstantin Trenchev, leader of the Podkrepa Labour Confederation, as saying that the draft package of measures originates from the Finance Ministry. He specifies that they have received it from an "honest employee". Prime Minister Boyko Borissov was allegedly very angry because he insisted that the draft document be not discussed in public before being approved by him.

It is not the Finance Ministry but economist Georgi Angelov, who is believed to be the author of the 28 horrible anti-crisis measures, which mounted tension in the country. "24 Chassa" writes this referring to Podkrepa Vice President Dimiter Manolov. The five most sever draft measures envisage the following: depriving working pensioners of their pensions or halving their size; reducing the period of paid maternity leave to 225 days; imposing income tax on pensions above 136 leva; imposing tax on the social insurance contributions; and introducing mandatory unpaid leave.

The "Troud" paper quotes Bulgarian Socialist Party's Anton Koutev as saying that the Government's anti-crisis measures are unprecedented and would not settle the problems. In his view it is not the expenditures that are big in the country but, rather, its revenues are small. Ataka MP Ventsislav Lakov describes the expenditure plan as "balanced and feasible". He voices the idea of introducing taxes for expensive yachts and limousines. Blue Coalition Co-Chair and Democrats for Strong Bulgaria leader Ivan Kostov describes the measures as "suicidal policy" adding that this is not the right action in the time of crisis. Yane Yanev, leader of Order, Lawfulness, Justice (OLJ), threatens that unless Deputy Prime Minister and Finance Minister Simeon Djankov be relieved of his duties in the government within several weeks, OLJ will protest in front of the Finance Ministry until Djankov himself resigns.

The Government's anti-crisis measures are categorically unacceptable, as they are proposed, Movement for Rights and Freedoms (MRF) MP Hasan Ademov comments.

These measures are not based on economic grounds but on panic, says Bozhidar Danev, President of the Bulgarian Industrial Association. They are indicative of the fact that Bulgaria is gradually falling into the trap of the double deficit: the one of the trade balance and the one of the current account. The first two months of the year witnessed increasing expenditures and falling revenues. If the country falls into this economic trap, the recession will deepen and there will be a risk of change of the key macroeconomic parameters, Danev warns.

"Troud" runs a commentary by political analyst Kuncho Stoichev, who says that reducing of maternity benefits or fining working pensioners does not constitute a reform. The real reform involves cutting expenditures on inefficient systems and structures maintained by the incumbents. The reform means to fill in the numerous holes through which tax-payers' money leak due to their inefficient and, often, criminal management. In other words, the reform entails harder work on the part of the incumbents and the administration at considerably lower expenditures.

"The confidence in the Cabinet allows the implementation of unpopular reforms." "Klassa" runs an interview with Vassil Tonchev, Director of the Sova Haris Agency, under this headline. Tonchev says that the situation in the country is very serious. The big confidence placed with the incumbents makes it possible to overcome easier the economic crisis. The Prime Minister should avail himself of that opportunity, according to him.

Whole guilds are planning to stage protests on Saturday against the anti-crisis measures, contemplated by the Cabinet. Protests of police officers will be staged in front of the Ivan Vazov National Theatre. They will be joined by military, security and even tax officers. Over 5,000 people, including mothers and pensioners, are expected to gather at the protest.

The strikes push Bulgaria towards the Greek scenario, says Menda Stoyanova, Chair of the National Assembly Budgetary and Finance Committee, cited by "Standart News". If people go on strikes and insist on payments higher than the budgeted ones, Bulgaria may have the same problems as Greece. Everyone sees that there are problems with the revenue part of the budget. This is why expenditures should not be exceeded and even ways should be sought to cut them, says she.

***

The Interior Minister wants that the court enters the fight against crime, "Sega" writes. Speaking at a conference, Interior Ministry Tsvetan Tsvetanov said that there is political will, but no judicial will to deal with organized crime and corruption. In his view crime should be combatted by all institutions, the court inclusive.

***

"I do not think there is a war between the Interior Ministry and the court," Supreme Administrative Court President Konstantin Penchev says in an interview for "24 Chassa". "Besides, I am categorically against such conflicts because they undermine the prestige of all parties involved." Power is conditionally divided into three branches: legislative, executive and judiciary. Each has its field of actions and the failures of one of them may not give dividends to the other. This is why, it is inadmissible that they quarrel and criticise one another as every conflict undermines people's confidence, Penchev also says.

***

"24 Chassa" publishes the results of a March poll carried out by the National Public Opinion Centre. The poll shows that the scandal with the published transcript of the talk between President Georgi Purvanov and Finance Minister Djankov has affected the popularity rating of both of them. Yet, the popularity of Prime Minister Boyko Borissov and his deputy Tsvetan Tsvetanov has increased.

On March 5 the President's Office published the verbatim record from a meeting between the President and Finance Minister Simeon Djankov. The two met at Djankov's initiative and were expected to iron out frictions resulting from Djankov's participation in a TV show and controversial remarks that were exchanged there about the President. GERB argue that Djankov was not aware his conversation with the President was recorded and was not asked for permission to make the recording public, which they say was a violation of the Constitution. GERB has said that this week signatures will start to be collected on a motion to impeach President Georgi Purvanov.

The poll, published by "24 Chassa" shows that the approval of the Cabinet has dropped by 6 per cent. However, Borissov's rating remains unchanged: he keeps on being at the top of the ten politicians enjoying highest approval with 68 per cent. He is followed by his deputy Tsvetanov with 66 per cent. According to the poll, if elections were held now, GERB would have won them by 36 per cent.

BULGARIA - EU

The European Commission backed the Bulgarian Government's plans to tighten the belts, "Troud" writes. The Commission says that if the economic growth and the tax revenues are below the target, this would be compensated by the financial restrictions. The Commission reminds the Cabinet, however, that, apart from economizing, it should also implement structural reforms.

***

"Sega" reports about a letter from DG Agriculture and Rural Development notifying Bulgaria that it will have to pay about 50 million leva for violations in the 2008 single area direct payment campaign for farmers. Only a month ago Brussels said that Bulgaria will be fined by 40 million leva for the payments made in 2007. The fine is most likely to be deducted from the nearly 1,000 million leva that are to be extended in subsidies.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – March 18, 2010

· The Bulgarian parliament approved Thursday the appointment of a minister with responsibility for stamping out corruption in the use of EU funds. Tomislav Donchev, 36, is a former director of the Sofia branch of George Soros' Open Society Institute and has worked extensively in the area of EU project management and consulting. Amid concern over corruption Brussels froze 825 million euros in pre-accession aid for Bulgaria in 2008 and subsequently stripped Bulgaria of 200 million euros of that money. Last month, Sofia obtained permission from Brussels to apply for some 6.4 billion euros of post-accession aid available between 2007 and 2013. Nevertheless, a parliamentary commission recently found that the country risked losing most of that aid because Bulgaria has so far used just 1.3 percent of the total of 15 billion euros of pre- and post-accession aid. A member of the ruling right-wing GERB party, Donchev was elected mayor of the small town of Gabrovo in 2007, where he managed to win Brussels' approval for a water distribution project worth 63 million euros (86 million dollars).
· Bulgarian MPs unanimously passed the leading proposal moved by MP Lachezar Toshev for ban on cultivation and release of genetically modified organisms (GMO) in protected areas, Focus News Agency reporter announced.
· Bulgaria, Latvia and Romania are the catching-up countries in the EU in terms of innovation performance, with performance levels significantly below the EU average. However, all three countries are rapidly closing their gap to the average performance level of the EU, and Bulgaria and Romania have been improving their performance the fastest of all Member States.This observation is contained in a survey on innovation performance in the EU, which was presented on Wednesday by Antonio Tajani, European Commission Vice President responsible for Industry and Entrepreneurship, and by Maire Geoghegan-Quinn, European Commissioner for Research, Innovation and Science.

· The European Commission urged Bulgaria to pursue “strict” fiscal policies that will compensate for “slightly favorable assumptions on growth and revenue collection”. Prime Minister Boiko Borissov’s government envisages economic growth of 0.3 percent this year after last year’s contraction of 5.1 percent. The government ran up a deficit of 500 million lev ($350 million) in January and projects the gap will widen in February and March as it completes outstanding payments on infrastructure projects and other public orders.

Bulgarian Press Review, March 17, 2010

2010-03-17T13:32:00.001-07:00

Press Review
Sofia, March 17 (BTA)

THE HOME SCENE

"Troud" leads with a story ("Anti-Crisis Axe for All") reporting of contemplated government measures to bring down the budget deficit. Among these is to start charging an income tax (of 10 per cent) before payment of social and health insurance; and start charging a tax of 10 per cent for all pensions bigger than 136 leva. The plan sends to forced two-weekly unpaid leave budget-paid emplyees; slashes by half the paid maternity entitlement (from the current 225 days) of young mothers.

"Standard News", too, writes about this ("Mothers' Money Cut Down"). The paper explains also that it is one of 37 anti-crisis measures that the Finance Minister will present to employers and unions at a discussion on Friday.

The measures' authors in the Finance Ministry said that these are difficult days and that the draft copy which the unions have, is only one possibility. "Nothing will go through in Parliament before it is discussed by the tripartite council," the story says quoting Labour Minister Totyu Mladenov. Mladenov was reportedly told by Prime Minister Boyko Borissov that he wants to hear out people's opinion before he makes a decision. "But one thing I can guarantee: the money that is paid to policemen and the military will remain unchanged," said Borissov.

"Sega" writes in a front-page story that the government's anti-crisis plan will be a severe blow on all incomes. The story says that the plan has 28 proposed measures and two parts: one for reducing the costs of the state administratuin and one for increasing the recipts from the population by cutting back on a number of social perks. The plan was reportedly prepared by a working group set up by the Prime Minister.

In "Troud", the deputy leader of the influential Podkrepa Labour Confederation, Dimiter Manolov, is quoted as saying that the plan is "imbecile" and that it is aimed at the low-income population groups. In "Zemya", Manolov is quoted as saying that the measures are "terrifying". In "Douma", the proposed measures are described as "monstrous".

***

In a "Troud" interview, former Foreign Minister and former deputy head of the intelligence service, Lyuben Gotsev, says the government is beginning to have trouble - "serious trouble with some things," he says. "It will be hard for Mr Borissov from now on. How long the downturn will last and whether next winter will be more difficult, is for the economic analysts to say. On the other hand, we shouldn't forget that the Wolrd Bank and the IMF have their way to pull the strings," says Gotsev. He is supportive of the idea for opening up the economic files from the transition - "if they exist".

***

Politican analyst Ognyan Minchev says in "Troud" that he is optimistic about the opening of the communist-era secret files - but the files are economic and political and one cannot open the former without opening the latter. "I see hope in the relatively firm position of the government and most of all of Deputy Prime Minister Tsvetan Tsvetanov, in respect of organized crime, as well as the conflict with the government and the GERB majority, pushed through by President [Georgi] Purvanov."

Minchev goes on to say that the President is an indicator of the olygarchic interest in politics. "The more this conflict picks up intensity, the bigger indications we are going to have that GERB is determined to cross the line of olygarchic control."

Minchev says further that the economic shape of the country gives a reason for concern and yet a political crisis and early elections are unlikely. "Sooner or later, there will be a GERB alternarive but Purvanov will not be the one to take the helm of it."

***

In "Dnevnik", social analyst Zhivko Georgiev says that some people in GERB have emerged as spokespersons of an interest which does not match fully the vision of Prime Minister Borissov. He mentions Interior Minister Tsvetan Tsvetanov as one example. Georgiev believes that Finance Minister Simeon Djankov is the first candidate for the role of a safety fuse about to blow. "1997 was worse economy-wise but at least [then Prime minister] Ivan Kostov had a clear vision of what he was doing and tangible instruments: the currency board combined with political will and a strong public consensus about what exactly was to be done. At the moment the government is totally helpless," says Georgiev.

ECONOMY

Before the end of March Bulgaria is beginning talks with Gazprom for a new contract, Bulgargaz CEO Dimiter Gogov tells "Klassa". He adds that this year, too, Bulgaria will be unable to use up the whole requested amount of natural gas due to the economic stagnation.

***

"Monitor" reports that Allianz Bulgaria and the person who controls it, Dimiter Zhelev, have syphoned 200 million leva from insurance in the past 5 years. They did that through insurance policies of state-owned energy companies for a single insurer: the Energiya insurance company. Allianz controls half of the Energiya shares. The said companies chose Energiya as their insurere with no tender as required by the Public Procurement Act. They paid to Energiya premiums for a total 311 million leva. Only 22.7 million leva were paid in compensations during the same period.

***

Yanko Georgiev of the management of Bulgaria Air will be the new CEO of the national air carrier, "Standard News" reports. The long-serving CEO, Dimiter Pavlov, was relieved of his duties last Friday.

***

"Pari" warns that without a clear idea about the mechanism whereby the government will sell residual shares in companies, the whole operation which is meant to rescue the budget, may fail.

***

"24 Chassa" has a front-page story about a major knitwear producer, Nitex of Dospat, and how it is struggling with the crisis. Instead of their full wages, the Nitex workers last month were paid only 35 leva and a box of sweaters each, to sell and supplement their meagre wage. Before the crisis they used to make 400-500 leva a month.

FOREIGN POLICY

"Troud" has a report on the Moscow visit of Parliament Chair Tsetska Tsacheva and her talks with the Speaker of the Russian State Duma, Boris Gryzlov. It says that the possibility of deployment of parts of the US missle defence system in Bulgaria were high on the agenda. Gryzlov is quoted as saying that Russia is not going to sign the nuclear weapons reduction agreement unless it is paired up with the missle defence system. The paper comments that these words can be considered a clear message from Prime Minister Vladimir Putin because Gryzlov is a senior member of the ruling party in Russia.

In his capacity as chairman of the United Russia party, Gryzlov offered his party's cooperation and handed to Tsetska Tsacheva a draft agreement between the two parties. Tsacheva says that this is not going to be ideological partnership but interaction between two ruling political parties.

***

"It seems that the power-holders in Skopje don't have enough problems with Greece and are consistently working to have more problems, this time with Bulgaria," "Troud" writes. The Macedonian government reportedly plans to insist that the European Framework Convention for the Protection of National Minorities be included in a new base bilateral agreement that would put Bulgaria under an obligation to recognize a Macedonian minority.

***

The Macedonian Stock Exchange hopes for Bulgarian investors, CEO Ivan Shteriev says in "Dnevnik". On Thursday, Sofia is hosting Day of Macedonian capital market and Macedonian issuers.

***

Meeting with Vietnam's Deputy Prime Minister Pham Gia Khiem in Vietnam, Bulgarian Deputy Foreign Minister Marin Raikov suggested that Bulgaria's ports of Varna and Bourgas start to be used as a doorway to Europe for Vietnamese exports, "24 Chassa" reports.

The story further reports that the Bulgarian side raised the issue of scrapping visa requirements for business people.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – March 17, 2010

· The government approved a national action plan to fully implement the provisions of the acquis of Schengen rights and the removal of internal border controls. Implementation of the measures of the plan will provide the successful preparation of Bulgaria for accession to the Schengen area in 2011, which our national goal is.

· The Government cancelled Wednesday a last week decision to increase health insurance contributions from 8 per cent to 10 per cent, the government information service said. Wednesday's decision follows a broad discussion and a careful consideration of the effects of the possible hike on all parties involved.

· Interior Minister Tsvetan Tsvetanov will take part in the protest of the police on Saturday, a reporter of FOCUS News Agency announced. Minister Tsvetanov explained to journalists that he has always supported the "peers", regardless of the assessment that they would gave emotionally and largely objective as requested, however the Minister must be supportive of their problems. Realities in the country should be taken into account, because there is no Minister of the Interior who doesn’t want the police to receive more money and to work in better conditions.

Bulgarian press review, March 16, 2010

2010-03-16T06:36:00.000-07:00

Press Review
Sofia, March 16 (BTA)

HOME SCENE

"Boyko: I Sent Djankov to President with Flag of Truce" is the headline of a "Troud" item which says that Prime Minister Boyko Borissov on Monday tried to distance himself from the impeachment of President Georgi Purvanov, referring the problem to Parliament and the Constitutional Court. "It's not my move now, this is not my problem. My move was played in a very clear way by sending [Finance] Minister [Simeon] Djankov to call on the President with a flag of truce," Borissov is quoted as saying. However, Purvanov does not want this page to be closed, the prime minister said at a joint news conference with European Commissioner Kristalina Georgieva. Georgieva also took Djankov's side and said that in the conditions of a global financial crisis "we are not the only ones dancing tango : two steps ahead, one step back."

* * *
"Purvanov's impeachment is not the cause of GERB but of [Democrats for Strong Bulgaria leader] Ivan Kostov," political scientist Tatyana Bouroudjieva says in an interview given to "Novinar." In her view, the collection of MPs' signatures on a motion to impeach the head of state is "an act of symbolic personal commitment on the part of the respective persons to a common cause. GERB is creating this communion of a cause at the moment. It is another question that this is not the cause of GERB but rather of the old UDF [Union of Democratic Forces], of Ivan Kostov who practically used to tolerate the opposition criticism Purvanov levelled at him as leader of the BSP [Bulgarian Socialist Party] at the time. It seems that this is a very personal, painful moment Kostov has not been through with yet. In the person of Purvanov, the BSP achieved something that is difficult to forgive. This is the cause of Kostov and of DSB, not even of the UDF. At the moment, GERB is behaving like a party that operates under other people's dictate," Bouroudjieva says.

* * *

"Purvanov: Check the Donors of Family-owned Foundations," "Novinar" says in a headline. Responding to PM Borissov's suggestion about a check on oligarchs, President Purvanov called for a probe of those well-off Bulgarians who benefited from privatization during the transition years and made considerable donations to major family-owned foundations of Bulgarian politicians. Commenting on Interior Minister Tsvetan Tsvetanov's statement that a letter would be sent to the Presidency requesting the names of oligarchs to which the law-enforcement authorities have "a special attitude," Purvanov said the minister should know that the presidential institution was not in possession of such information.

* * *

"24 Chassa" carries an interview with Prof. Dimiter Yonchev, a security expert and one of the architects of the State Agency for National Security (SANS), headlined "I Have Written Off SANS after the Scandals". In Yonchev's words, a national security strategy should have been adopted first to define the place and role of the agency, as well as its relationship with the other components of national security and then establish the agency itself. Anyway, now the agency has been gradually finding its identity and emerges from the state of information closedness, he notes. It tries to resolve its problems and most probably has future.

* * *

"24 Chassa" comments on an opinion poll the MBMD agency held in Sofia and Bulgaria's big cities last weekend which shows that the cabinet wins the debate with the head of state. PM Borissov (approved by 58 per cent) and Interior Minister
Tsvetanov (56 per cent) enjoy considerably higher ratings than President Purvanov (40 per cent). However, the contemplated impeachment procedure is supported by 34 per cent of respondents while 51 per cent are against it.

ECONOMY

"Government Starts Urgent Privatization," "Sega" says on it front page. The government will accelerate the privatization of all state-owned minority shares held in companies. The Ministry of Economy, Energy and Tourism will consolidate the 55 state-owned minority shares in a holding company which will quote its own shares on the Bulgarian Stock Exchange, Finance Minister Simeon Djankov said on Monday. In parallel to it there will be a process of classical privatization implemented through competitions and tenders. The purpose of the cabinet is to revive the stock market and ensure solid contributions to the Silver Fund [a state fund guaranteeing stability to the public pension system]; by law, 90 per cent of all privatization proceeds go into this Fund. This will stabilize the fiscal reserve, too, as the Silver Fund is part of it.

* * *

Referring to PM Borissov, "Troud" reports that in February the government paid 650 million leva to companies in settlement of its debts, promising to pay another 250 million leva to the business. Borissov apologized to people "locally" that he is faced by a fait accompli and has got to pay to "circles and rings of companies" because there are contracts concluded with them. Otherwise the companies to which the government is indebted may sue him, he said. According to Borissov, in July the national budget will be updated. He described the millions of leva that had been poured into energy projects as "crazy, criminal waste" citing as an example the Belene N-plant project and the Tsankov Kamuk Dam.

* * *

"24 Chassa" writes that as of April, 150,000 civil servants, including policeman, the military and civil service clerks, will have to pay a share of their health and social insurance contributions, all of which have so far been covered by the state. On Monday the cabinet gave up the idea of increasing the portion of the health insurance contribution paid by those employed in the private sector from 8 to 10 per cent. "Everybody should be equal before the law. It is not fair to make some people pay while others do not," Djankov is quoted as saying. According to estimates of the Finance Ministry, the remuneration of public sector employees will drop by 12 per cent as a result of making them pay social and health insurance contributions. In this way the government is expected to economize 150 million leva.

* * *

"Let us make clear the foggy part of the health care reform," "Troud" says. A reform consists of two parts: the way in which the money is collected and the way in which it is expended. "You cannot get the right answer about revenues when you have not the right answer about expenditures. Now the incumbents are trying to focus on the way of collecting the money and how much more they could collect to spend it on an unreformed second part, i.e. to cover unreformed expenses. The second part of the reform should be ready first, i.e. the foggy part of it should be made clear, and then the incumbents can go and tell people: we need that amount of money for the reformed part and divided by the number of working people, this means that they have to pay such and such insurance contributions."

* * *

"GERB does not have a vision about pulling out of the crisis," UDF leader Martin Dimitrov says in an interview for "Sega." In his words, "raising the health insurance contribution rate is insane." "It is like adding fuel to the fire," he says. According to Dimitrov, 2010 will be a very difficult year, there will be a boom of bankruptcies and unemployment will increase. The UDF proposes to reduce tax and social insurance rates and believes that the state should help the business to survive instead of paying more and more benefits to the jobless and the poor.

* * *

"The number of civil servants should be substantially downsized," Menda Stoyanova MP of GERB who chairs the Budgetary and Finance Committee of the National Assembly, says in an interview given to "Monitor." In her view, the anticrisis measures suggested by the UDF are unacceptable at the moment because tax and social insurance rates are among the lowest in Europe and the world. "The budget and the currency board arrangement do not allow us to restrict further the revenue side of the budget," Stoyanova says. The economy has not registered and is not expected to register any tangible growth, therefore there will be nothing with which to compensate a reduction of taxes, she says.

* * *

Interviewed for "Troud," former finance minister Plamen Oresharski MP of Coalition for Bulgaria says that Bulgaria is threatened by a Greek scenario of financial instability but is still far away from it and that he believes the government will find a way to prevent it. His commendation is that the cabinet should be in no hurry to spend money from the fiscal reserve. If the fiscal reserve is expended and revenue collectability is not improved, the government will have to look for another source of money. And if this source is an arrangement with the International Monetary Fund, Bulgaria will not be allowed to enter "the waiting room" of the Eurozone [EMR2].

* * *

"We Are Not Well but We Are Not Greece Either," reads the headline of an article in "Sega." According to its author, there may be a wave of protests in Bulgaria but only because the government "organizes them, no matter how absurd this may sound." The Interior Ministry employees are going to stage protests on Saturday, followed by the employees of the judiciary and civil servants because their incomes will be cut down as the state refuses to cover their social insurances any more. However, the author describes the problem of social insurance contributions and who pays them, of incomes and of who has or has not the right to protest as a minor problem, saying that the big problem is that the government cannot implement its budget at the moment. "Now it does not have money for health care, tomorrow it will lack money for education. And will prompt protests again. And finally nobody will pay the state anything. As it is in Greece now. But even then we will not be like them. We will not protest, we will stop using the services of the state."

BULGARIA - EU

In the Justice and Home Affairs section of the European Commission interim report on Bulgaria's progress, expected to be published on Friday, the government is praised for its political will to combat organized crime while the justice system is criticized for the lack of convictions. The judiciary is reproached for the poor results in fighting high-level corruption and organized crime, but on the other hand the efforts of the Interior Ministry to cope with the underworld are described in positive terms.
In an interview given to "Standart News" Justice Minister Margarita Popova explains that the European Commission interim reports register facts and outline trends. Assessment phrases are rare in them and that is why they are particularly important, she says. "The reports are brief but very helpful to check whether one is moving in the right direction at the right speed. They can easily be subjected to a comparative analysis and encourage constancy," Popova says. In her words, by talking with its European partners "in one language" help reach the same conclusions about what has been accomplished and what has not.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – March 16, 2010

· The Bulgarian MEPs from all political groups will ask next week for a meeting with European Enlargement Commissioner Stefan Fule to present him with the cases of human rights infringement in the Republic of Macedonia, in which citizens with Bulgarian identity are involved, in particular the case with Spaska Mitrova, the press service of the socialists in the European Parliament announced. The Bulgarian MEPs plan to focus on the violation of the Copenhagen criteria in the area of human rights in an EU candidate country. Living in RM with a Bulgarian passport Spaska Mitrova lost the custody of her baby girl to her former Macedonian husband after a ruling of the Macedonian Court in the town of Gevgelia.

· Turkish Foreign Minister Ahmet Davutoglu will visit Bulgaria on March 18-19, Foreign Ministry Spokesperson Vessela Cherneva said at a regular briefing on Tuesday. Davutoglu will meet Foreign Minister Nickolay Mladenov, President Georgi Purvanov, National Assembly Chair Tsetska Tsacheva and Prime Minister Boyko Borissov.

· Speaking at the opening of a three-day conference on counter corruption best practices for Europe, US Ambassador here James B. Warlick commended the Bulgarian Government for its efforts to fight corruption and organized crime. The three-day conference is arranged by the George C. Marshall European Center for Security Studies, with the support of the US Embassy in Sofia. Ambassador Warlick stressed in his opening speech that "the work that is going on in Bulgaria today is brave," adding that "this government has taken some important, huge steps in the area of law enforcement to arrest key figures in the organized crime."

· The Supreme Cassation Prosecution Office unit specialized in investigating abuse of EU funds submitted 60 indictments to court since the start of 2010, the unit's head, prosecutor Angelina Mitova, told a news conference here on Tuesday. Twenty-one sentences have come into effect. In comparison, some 125 indictments were submitted in 2009, with 28 effective sentences. Eighty-five case files were suspended, added prosecutor Mitova. The largest number of irregularities were detected under the single area payment scheme.

Bulgarian Press Review, March 8, 2010

2010-03-08T09:45:00.001-08:00

Press Review
Sofia, March 8 (BTA)

HOME SCENE

The national dailies give prominence to the scandal between President Georgi Purvanov and the Government. Last Friday Purvanov received Finance Minister Simeon Djankov at the latter's request in connection with Djankov's controversial statement in a TV entertainment show on March 1 regarding the President's property status. In the show on Nova Television, the anchors asked Djankov whether he had any evidence to prove his earlier claim that the President was "a young billionaire" and that he owned upscale estates in the US, Europe and Dubai. The Finance Minister denied recollecting having ever said anything of the kind. "Still, is he [Purvanov] or isn't he a young billionaire?" the anchors insisted. "Definitely, he isn't young," Djankov said.

"Standart News" publishes an interview with Prime Minister Boyko Borissov under the headline "Purvanov Is Young But He Is Not a Billionaire". According to Borissov, if someone feels insulted from another person's statement he should sue this person in court rather than attacking the Government's policy. "With all our actions we have shown that we do not seek a conflict," says Borissov. "When we formed a Government of the minority, I relied on the statesmanlike attitude of the party leaders and of the President, inclusive, because I have taken up the whole risk of leading the country out of the crisis. Now it turns out that I have to take over all the liabilities of the three-party coalition, masterminded by him [Purvanov]," the Prime Minister also says in the interview.

According to "24 Chassa", in the first hours after the bursting out of the scandal with the transcript of the talk between President Georgi Purvanov and Finance Minister Simeon Djankov, Prime Minister Boyko Borissov said he is ready to tender his resignation, if President Georgi Purvanov makes an analogous move. Such scenario was reportedly discussed in a very closed circle. The paper further refers to what are described as well informed sources as saying that the Prime Minister even appealed for "such fair play" ending in early elections in a telephone conversation with Purvanov. At a discussion held Sunday, however, GERB decided that the triggering of early elections should not be on the agenda now.

"Troud" refers to magistrates as saying that, if the Constitutional Court ends the term of President Purvanov, there will be no early presidential elections. It would be Vice President Angel Marin that would take up his duties for the remaining two years of the incumbent President's term of office. This clarification is provided by former Constitutional Court members Pencho Penev and Dimiter Gochev. The two comment on the case with the publicized transcript and the incumbent accusations that, by doing so, the President violated Article 32, Paragraph 2 of the Constitution prohibiting the recording of persons without their consent. If the Constitutional Court is petitioned on the matter, it will have to clarify what the nature of the talk held was and whether legal or moral requirements for observing of confidentiality could be associated with it.

Georgi Markov, also former Constitutional Court member, comments the case for "24 Chassa". In his opinion the attempted impeachment of President Purvanov will fail for two reasons: first, there would be hardly seven Constitutional Court members to vote for Purvanov's removal and, second, it is highly disputable whether there has been violation of the Constitution. Markov explains that four of the Court' members have been appointed by Purvanov while the Court's President used to be his personal advisor.

"Troud" publishes commentaries on the Purvanov-Djankov scandal. Order, Lawfulness, Justice (OLJ) leader Yane Yanev is quoted as saying that a demand for impeachment should be supported by two thirds of the MPs or at least 161 votes. This means that the votes of GERB, Ataka and the Blue Coalition would not suffice. "Georgi Purvanov's reaction is a preventive counter-attack against the risk of surfacing of his links with businessmen from the underground world. We have always said that he is not worthy of the position he holds and with his conduct he is becoming dangerous about the stability of the state," Ataka leader Volen Siderov says. In his view the Head of State is trying to discredit the Government and the reforms, which it has been implementing. According to Socialist Tatyana Doncheva, Djankov made a gaffe, which he then tried to cover up in his talk with the President but was highly unsuccessful. The paper also cites Bulgarian Socialist Party (BSP) leader Sergei Stanishev as saying that when a Finance Minister has a formal meeting with the President, he should be aware that the talk is public.

"Standart News" publishes the opinion of four political analysts under the headline "Transcript as Boomerang". According to Yulii Pavlov, rather than requesting a meeting with the President, Djankov should have stated the facts in a public declaration. As far as the published transcript is concerned, it presents Purvanov as petty-minded and quarrelsome person, Pavlov states. Vassil Tonchev predicts that clashes between the President and the Government will become more frequent with a view to the presidential and local elections due next year. Miroslava Radeva describes the scandal as a possibility for Purvanov to reap dividends for his political future. Zhivko Georgiev is categorical that this is only a waste of public energy. In his view getting rid of the Finance Minister would be a successful move for the incumbents.

"It is madness to make a drama from a show," Prof. Dragomir Draganov says in an interview for "Troud". In his view Purvanov's reaction was inadequate. "He [the President] was either angry with the Government and was seeking a way to say what the reason for his anger was or he was desperate for not being heard. It is not fair on the part of Djankov to carry out the tricks of the World Bank, while the private business waits for the payment of 2,000 million leva in outstanding obligations from the state."

"Is it time for a war between institutions," "Pari" asks. The case made Prime Minister Borissov begin talking again about early elections. "Yet, who would win, if such elections are held?", the author asks. The public support for GERB has dropped by 13.3 per cent. The fight with Purvanov may prove dangerous for the Prime Minister and the Government and divert the Cabinet's attention from its most important objective - preserving the country's financial stability.

ECONOMY

The Cabinet is secretly preparing a plan for quick overcoming of the crisis, "Sega" writes. The said measures have been drafted for a month now by a taskforce and will be adopted within a special law on recovery of the Bulgarian economy, the paper says referring to Deputy Finance Minister Vladislav Goranov. The package of measures includes accelerated repayment of the state debts to the business, reduction of the social security burden, etc. The plan will rely on privatization as a quick source of revenues for the Treasury in the conditions of exhausted economy. The bill will be ready in two or three weeks, the paper says.

***

Bulgaria loses 133 million leva from the 15 per cent drop of imports, "24 Chassa" writes. The paper refers to data of the Customs Agency showing that in the first two months of the year imports decreased by 15 per cent year-on-year. This was the reason for the drop of revenues from customs, excise duties and VAT. In January-February 2010 the Customs Agency collected 913.8 million leva, 12.7 per cent down from the like period of 2009. The excise duties gathered were 575.4 million leva marking a decrease of 13.8 per cent. The revenues from VAT dropped by 7.4 per cent while the ones from customs duties halved.

***

Last year the real estate market saw its biggest ever decline as of the beginning of the democratic changes, "Troud" writes. About 200,000 transactions were signed then, which is by over one third down compared to 2008. In the 2006-2008 period the transactions struck annually were not less than 300,000, the paper recalls.

***

In an interview for "Sega" Rositsa Steliyanova, Executive Director of the Employment Agency, says that 52,000 unemployed will undergo re-training and will be offered new jobs. As she put it, nothing unexpected has happened on the labour market. "We even expected that January unemployment was slightly higher but it remained below 10 per cent. We expect it to be over 10 per cent in the first quarter of the year. What matters for us are the offers for seasonal workers that would be made in the beginning of April." Steliyanova said that the Agency is absolutely certain for the time being that the average annual unemployment would remain within 11.4 per cent as projected.

***

Pharmacies insist that patients pay a fee for having their prescriptions fulfilled as is the practice in the other EU Member States, "Troud" writes. This transpired at the 3rd Congress of Bulgarian Pharmacists. In the United Kingdom this fee is allegedly three pounds.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – March 08, 2010

• The President's administration has sent to Parliament Chair Tsetska Tsacheva an audio recording and a hard-copy transcript of Georgi Purvanov's conversation with Deputy Prime Minister and Finance Minister Simeon Djankov of March 5 when the two met at Djankov's request.

• Gold jewellery worth over 50,000 leva was intercepted by customs officers at Kapitan Andreevo border checkpoint. Two Polish citizens were attempting to smuggle it across the border.

• President Georgi Purvanov conferred the Order of the Balkan Range, First Class, on the outgoing Ambassador of the Republic of Korea, Kim Myong-jin, for his great contribution to the development and strengthening of bilateral relations. Purvanov said that there had been different periods in the two decades of official diplomatic relations between Bulgaria and the Republic of Korea, but that the last few years were seeing a boom in political dialogue, economic contacts and cultural interaction.

• The money for dentists and general practitioners for January will be paid on Monday and 100% of the payment for February for pre-hospital aid will be paid regularly, while on Wednesday some BGN 350 million will be poured into the healthcare system, said Dr. Vanyo Sharkov, chairperson of the Bulgarian Dental Association, announced in interview to BNR, after the meeting between the medical organizations and the Prime Minister.

• Bulgarian government will propose 2% increase of health insurances, government’s press office announced. On Wednesday, the Council of Minister will decide to allocate extra BGN 350 million to the National Health Insurance Fund and will propose 2% increase in the health insurances.

Bulgarian press review, February 23, 2010

2010-02-23T05:09:00.001-08:00

Press Review
Sofia, February 23 (BTA)

HOME SCENE

National Revenue Agency chief Krassimir Stefanov has proposed an idea of implicating owners of expensive estates and cars, that are formally in the possession of other persons, "24 Chassa" writes. According to Stefanov, this could be done through a legislative amendment envisaging that a person using lastingly given property should be considered its co-owner for tax purposes.

***

The National Revenue Agency (NRA) expects to collect up to 10 million leva in VAT from people with annual income exceeding 50,000 leva from sources different from employment under a contract of service, "Troud" writes. When people have such income they should be registered under VAT. Yet, 90 of the 100 Bulgarians having declared income of over 1 million for 2009 do not have such registration. NRA has begun a campaign of forceful VAT registration. The paper refers to Finance Minister Simeon Djankov as saying before Pro.Bg television that the second stage of the operation involves checks of people having bank accounts in Switzerland. Referring to Djankov "Classa" writes that NRA employees are leaving for Germany to get familiarized with data about people, who have allegedly not paid their taxes in Bulgaria but have placed their money in Swiss banks. Earlier this month it transpired that Germany has been offered a CD containing data on the bank accounts of German citizens in Switzerland. The CD reportedly contained data about nationals of other countries, including Bulgaria. "Novinar" also reports about the issue.

***

Workers of the Kabiyuk studfarm, near Shoumen, have not been paid wages for 34 months now, "Douma" writes citing Confederation of Independent Trade Unions in Bulgaria Vice President Valentin Nikiforov. The same paper cites data showing that employers owe workers a total of 400 million leva in wage arrears. The paper refers to unionists as saying that unemployment is expected to reach 15 per cent this year, which means that the number of unemployed will increase by 200,000 people.

***

Sixty-four per cent of the elderly live in misery, 21 per cent of the Bulgarian population is poor, "Zemya" writes referring to data presented at the opening of the European Year for Combatting Poverty and Social Exclusion. Fifty-five per cent of the people living in poverty are unemployed and 23 of them are women.

***

Electricity in Bulgaria is expensive and non-competitive, eng. Krassimir Purvanov, Executive Director of the National Electric Company (NEK), says cited by "Troud". In his view charges should be increased by some 0.02 leva/kWh as of July 1. Purvanov is also quoted as saying that in the next two years NEK should invest at least 100-150 million leva in reconstruction of electricity pipelines and sub-stations because of the renewable energy sources (RES). This includes the reconstruction of the Shabla and Kavarna sub-stations as well as enhancing the transiting capacity of electric pipelines.

***

The number of new houses has dropped by some 70 per cent in a year. A total of 1,343 construction permits for buildings with a total of 3,921 apartments were issued in the last quarter of last year, which compares to 2,452 permits for 12,881 apartments issued in the like period of 2008. These data, supplied by the National Statistical Institute, are quoted by "Sega" and "Dnevnik". The decrease comes following a continuous increase of the number of construction permits issued in the course of five years, "Sega" recalls.

***

Sofia is second in the efficiency of costs of big cities category within a ranking of European cities, which has been published by the FDI Magazine, owned by "Financial Times", for 2010/2011, "Classa" writes. Within the same ranking Stara Zagora is placed second in the foreign investment strategy category.

JUSTICE AND HOME AFFAIRS

According to "Telegraf", charges will be pressed against Bulgarian Socialist Party (BSP) leader and ex-prime minister Sergei Stanishev next week for the lost secret report of the State Agency for National Security (SANS).

It is time that Petko Sertov (the first SANS chief) starts talking about the Octopus, says Metodi Andreev, former chairman of the communist-era secret police files commission, cited by "Novinar". In an operation codenamed Octopus, former State Agency for National Security officer Alexei Petrov and 13 other persons were arrested on the night of February 9 to 10 and were later charged with blackmailing, extortion and racketeering, inducement to prostitution, drug pushing, influence trading, money laundering, concealment of income, tax evasion and fraudulent recovery of VAT input tax.

***

Alexei Petrov worked under a contract of service at the Kremikovtzi metal works in the course of six years, "24 Chassa" writes. He was reportedly hired on January 7, 2000 as Economic Advisor. His monthly salary was 444.20 leva. Petrov quit in late 2006 after submitting a prior notification in November the same year. Petrov allegedly played a role during the scrap crisis in the company heading the taskforce in charge of settling the problem.

***

In an interview for "24 Chassa" former sport minister Vessela Lecheva says that Sergei Stanishev should have tendered his resignation. Lecheva states that she would withdraw from the party, if she sees that there is no will for serious change.

FOREIGN POLICY

The Chief Directorate for Combatting Organized Crime is checking the case with the missing bag with ballot papers in Washington, "Troud" says. This scandal has prompted the recall of Bulgarian Ambassador to the US Luchezar Petkov by ex-foreign minister Rumiana Jeleva. The inspection has been ordered seven months after the July 5 parliamentary elections in Bulgaria.

***

The European Union is not concerned about Russian investments in the Belene N-plant, "Novinar" quotes President Georgi Purvanov as saying after a meeting with EU Energy Commissioner Gunther Oettinger. Purvanov is on a two-day visit to Brussels. Energy was the top issue on the agenda of his talks. Bulgaria has placed the issue of speeding up the Nabucco gas pipeline project at highest level within the EU, the daily writes. This country is also interested in increasing the role of nuclear power as Europe considers it as a way of reducing greenhouse gas emissions and attaining its goals for delay of global warming.

CULTURE

The idea of the Culture Ministry for the establishment of four museum complexes in Sofia is a global project, which has no precedent in Bulgaria, says Culture Minister Vezhdi Rashidov quoted by "24 Chassa". Rashidov is categorical that the theatre reform will be beneficial for the artists, would guarantee their professional development and boost their self-confidence.

***

Bulgarian popular pop singer Lilly Ivanova has instigated court proceedings against composer Mitko Shterev, having written the music for some of her best songs, "Troud" writes. The singer got insulted from an article by Shterev entitled, "At 80 Lilly Will Still Be The Same Liar". The first hearing of the case is scheduled for Thursday. The claim is for 10,000 leva. "

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – February 23, 2010

· Bulgaria can join the Euro area in 2013. This is what President of the European Parliament Jerzy Buzek said after the meeting with the Bulgarian President Georgi Parvanov, the Bulgarian National Radio reported.

· No more reshuffles and appointments will be made in the Cabinet, said Bulgarian Prime Minister Boyko Borisov in the town of Gabrovo commenting on Ivan Kostov’s (DSB) idea deputy Prime Minister for EU funds to be appointed, Radio FOCUS Veliko Tarnovo correspondent informs. “Reshuffles are not made when the team is working well,” Borisov said.

· Prosecutor’s Office has brought charges against the former Minister of Labor and Social Policy Emilia Maslarova, the Prosecutor’s Office press office announced. Maslarova has been investigated in connection with the award to a close friend of an overpriced contract for repair of a social services centre in Stara Zagora and embezzlement of 9.807 million leva of funding under the Beautiful Bulgaria Programme.

· Russian Embassy in Bulgaria has received a bomb threat signal on Tuesday morning, the Ministry of Interior’s press office announced. The signal was received at 112 emergency phone line. The police have searched the region but no bombs were found.

· Flights from and to Athens, scheduled for February 24 (Wednesday), were canceled over the strike of the employees of the Air Traffic Management in Athens, Sofia Airport press office announced.

Bulgarian press review, February 22, 2010

2010-02-22T06:02:00.001-08:00

Press Review
Sofia, February 22

THE HOME SCENE

The results of a nationally representative political survey conducted by the Alpha Research Agency for Market and Social Research between February 7 and 15 are at the focus of attention in the Monday newspapers. "Confidence in GERB Plummets but Not In PM Borissov" caps a report on the topic in "Sega" which says that public trust in GERB decreased by 13.3 per cent compared to late August but this failed to affect the personal rating of GERB leader and Prime Minister Boyko Borissov whose approval is at 51 per cent. The approval ratings of all political parties with the exception of the Movement for Rights and Freedoms decrease too. If elections were held at the moment, GERB would garner 38-40 per cent electoral support, the Bulgarian Socialist Party, 13 per cent, and the Movement for Rights and Freedoms, 6 per cent. The Blue Coalition and Ataka would win some 3 per cent each, and Order, Lawfulness, Justice 0.9 per cent. The average grade of the performance of the Borissov cabinet fell from 4.13 from its 100th day in power to 3.79 at the moment. The Interior Ministry's organized crime networks' dismantling operations, Kristalina Georgieva's election as EU commissioner and Rumiana Jeleva's resignation as foreign minister are the three events that have had the strongest positive impact on the Government's image in recent months, the poll found. Hospital closures, Rumiana Jeleva's failed EU commissioner candidacy and the non-payment by the State of part of the amounts owed to companies have had the most pronounced negative impact.

* * *

"Monitor" quotes a statement by Interior Minister Tsvetan Tsvetanov on Sunday that the Octopus criminal group and what came to be known as The Impudent gang were structured not without support from the state. "The Octopus tentacles have reached politicians, as well as the Interior Ministry," Tsvetanov said. The battle is difficult, he says, because the criminal groups have ample financial resources and no one has worked against them "in depth". The Interior Minister said that next week there will be dismissals of officers in the system of the Interior Ministry on suspicions of involvement with criminal groups.

* * *

In an interview to "24 Chassa" Interior Ministry Chief Secretary Kalin Georgiev says that commandos from the specialized squad for combatting terrorism will train officers in each regional directorate of the Interior Ministry how to conduct arrests of members of high-profile organized criminal groups. The commandos mini-squads will take part in all bigger anti-mafia operations nationwide, Georgiev says. He says that many of the victims of the methods of work of the Octopus crime gang reportedly wanted to meet personally top officials of the Interior Ministry and the Minister himself to see that the investigation against the Octopus members is true. In an operation codenamed Octopus, former State Agency for National Security officer Alexei Petrov and 13 other persons were arrested on the night of February 9 to 10 and were later charged with blackmailing, extortion and racketeering, inducement to prostitution, drug pushing, influence trading, money landering, concealment of income, tax evasion and fraudulent recovery of VAT input tax.

* * *

Former National Assembly chairman and prominent lawyer Ognyan Gerdjikov says, interviewed by "Troud", that the legal team of the current Parliament is the weakest so far. Gerdjikov further comments that new political parties appear all the time and attract public trust. Such was the case with the National Movement for Surge and Stability, and also with GERB, which quickly managed to win voters' confidence and become "election hits". It is inevitable for such parties to have some people who are not cut out for political work, he says, noting that there is no way for quickly established formations to find the best persons.

* * *

A report in "Troud" quotes Democrats for Strong Bulgaria leader Ivan Kostov as saying that Movement for Rights and Freedoms leader Ahmed Dogan was one of "The Untouchables". On Sunday Kostov urged the law-enforcement authorities and the prosecuting magistracy to do their jobs properly and reach up to the so-called Untouchables. Speaking on the Bulgarian National Radio Kostov decline to name more "Untouchables" saying that this is not a politicians' job.

* * *

"Sega" writes that Bulgaria's first EU commissioner Meglena Kuneva, who was in charge of consumer protection, may be the National Movement for Surge and Stability (NMSS) candidate in the 2011 presidential elections. NMSS Chair Hristina Hristova broke the news in a Bulgarian National Radio interview on Sunday. Kuneva's nomination has not yet been formally discussed in the party. On Saturday Kuneva said she had declined an offer of President Barroso to continue to work at a high-ranking position in the Commission. Kuneva said she had decided to return to Bulgaria and get involved in politics.

* * *

Interviewed by "Sega" Defence Minister Any Angelov says he pledges his reputation as a guarantee for the biddings held by his Ministry. Angelov stresses that the Ministry works in a very transparent manner. All orders, decisions, as well as answers to MPs' question are made public. Angelov says that since the new leadership of the Ministry took office, all public procurement competitions are open. He stresses that the new leadership does not resort to the ordinance concerning special public procurement in order to hold biddings under the cover of the protection of classified information.

* * *

A headline in "Troud" alerts that the Commission for the Positive Medicines List has decided that patients with Parkinson's Disease and cataract sufferers will have to pay for their treatment while hitherto it was covered by the National Health Insurance Fund. Patients with osteoporosis will have to pay more for their medicines. The most alarming in the decision, which was made on February 18 and enters into force in March, is that diabetes patients will have to pay between 20 and 40 leva monthly for insulin while until now the medicine was provided free of charge.

ECONOMY

A snapshot of people's incomes in 2009 derived from a Gallup database shows that the economic meltdown spared the rich and the poor but badly affect the middle class. Gallup's Zhikov Georgiev comments the snapshot in "Troud", saying that the first 10 per cent of the richest people in Bulgaria hold 41.5 per cent of the aggregate cash incomes of all households. In the next group the percentage is 14.7, while the poorest account for 1.8 per cent of the aggregate incomes. The trends observed in the snapshot are that the middle class has been sharply impoverished and that the gap between the richest and the poorest has widened. Regional differences became more pronounced. Georgiev concludes that Bulgaria is no longer a single space economically, as well as socially.

* * *

In a "24 Chassa" interview Economy, Energy and Tourism Minister Traicho Traikov says that "temporarily, Bulgaria will use Russian money for the Belene nuclear power plant". Traikov notes that only a few months back such an option was "a distant dream". "We now have an offer for financing whereby we do not take a commercial risk and are not asked to offer state or corporate guarantees. However, for this to happen, the sides need to agree on certain key issues so that we are sure that we have a lasting structure," he says, adding that such an entity should include a big strategic investor, a western utility company. According to Traikov, this is the wish of the Russian partners as well.

"Pari" quotes Union of Democratic Forces (UDF) leader Martin Dimitrov as saying that the lobbies in favour of the construction of the Belene N-plant are very strong and that only UDF is against the project. Dimitrov urged Traikov to provide more information about the possible loans for the project and their conditions. The UDF leader is of the opinion that the project can easily ruin the Bulgarian economy and is even dangerous for this country. "The project must be stopped," he says.

* * *

A front-page report in "Sega" says that public servants' monthly salaries vary between 600 and 2,400 leva. The article says that the remuneration in the state administration is chaotic and that the average salaries in some departments are four times higher than elsewhere for no logical reason. An employee of the Commission for the Protection of Competition gets 2,416 leva while an employee of the Social Assistance Agency, as little as 567 leva, says the report. The findings are quoted in a secret report of remuneration in the state administration sent to the Council for Administrative Reform a copy of which "Sega" obtained. Shocked by the findings in the report, Finance Minister Simeon Djankov said last week that a new model of remuneration will be introduced as of January 1, 2011.

* * *

Contraband trade in cigarettes will "swallow" 800 million leva in revenue to the budget, says a report in "Troud". Unofficial data show that the contraband trade in cigarettes reaches 50-60 per cent of the market, and even 70 per cent in some border areas. Chairman of the Association of Producers and Sellers of Tobacco and Tobacco Products Hristo Lachev is quoted as saying that illegally sold cigarettes increased by 30 per cent compared to 2009 while the official market shrinks by 5-10 per cent monthly.

* * *

"Sega" informs that the tax authorities are starting checks of members of the public who reported incomes of more than 50,000 leva for 2009. More than 90 per cent of the natural persons who earn the largest incomes in Bulgaria have failed to register under the Value Added Tax Act even though such registration is mandatory, National Revenue Agency Executive Director Krassimir Stefanov said.The one hundred top earners of incomes from sources other than employment relationships declared an aggregate 347 million leva in their tax returns for 2009. Between them, the top three on the list earned over 48 million leva.

FOREIGN POLICY

"Sans Emotions towards Russia" caps an interview in "Standart News" with Foreign Minister Nickolay Mladenov. Mladenov says that in the past few months the government has undertaken actions to ensure more flexibility in energy supplies. The fact that a given country is looking for ways to diversify its energy sources and this ensure security of supplies does not mean that the issues is directed against Russia, Mladenov says. "Our relations with Russia should be based on the understanding by both sides that we are sovereign states which solve the outstanding issues between themselves in a normal dialogue, without excessive emotions," Mladenov says. He is categorical that Bulgaria does not hold talks about elements of the United States' missile defence system.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 22, 2010

· Most likely, the Bulgarian National Security Strategy will be adopted before the new strategic concept of NATO, which is expected to be approved in Lisbon in the autumn, Secretary of the Security Council in the Prime Minister Gen. Rumen Milanov explained at a round table discussion: "Strategy for Homeland Security - public expectations and political consensus”.

· Bulgaria will continue talks with Russia on lending some EUR 2 million to back the construction of NPP Belene until a strategic investor is attracted, Bulgarian Minister of Economy, Energy and Tourism Traycho Traykov told media. Last Friday Traykov met with his Russian counterpart Sergey Shmatko and Rosatom Director General Sergey Kirienko. Traykov said a new project company involving the National Electricity Company (NEK) or the Bulgarian Energy Holding will be set up and financed by the Russian side to ensure the project moves forward. The loan will be secured by existing and future construction with no state guarantees required, he noted. In an interview with 24 Hous Daily, Traykov explained that it was so far impossible to determine what stake the Russian side would have based on the EUR 2 billion investment, but assured that Bulgaria will hold the majority share in the project. He commented on Mr Shmatko’s statement implying that RWE might return as the strategic investor in the project, saying that when the German company had withdrawn the conditions were different. Traykov added that during the official visit of the Bulgarian delegation to Germany, German Chancellor Angela Merkel had promised to encourage German companies to participate in energy projects in Bulgaria. He said that Bulgaria relies upon Russia’s support during negotiations with potential investors.

· Number of unemployed people in Bulgaria is 272,800 in the Q4 in 2009 and the unemployment rate is 7.9%. Compared to the same period in 2008 the number of jobless people is increased with 95,100 and the unemployment rate with 2.9. This emerged from the statistics of NSI. Unemployment rate increases more sensibly among men compared to women (increase in the rate is respectively with 3.5 and 2.3 points), as in the Q4 2009 jobless rate of men (8.4%) exceeds the jobless rate of women (7.4%) with 1 percent.
Unemployed young people (15-24 years of age) are 53,200 and the rate of youth’s unemployment reaches 19.5%- respectively 20.9% for men and 17.3% for women.
In the period Q4 2008 – Q4 2009 there is significant increase in number of long-term (less than a year) unemployed people n Bulgaria. It rises with 86.8% and reaches 155, 200, or, 56.9% of all unemployed people.

Bulgarian press review, February 19, 2010

2010-02-19T06:06:00.000-08:00

Press Review
Sofia, February 19

THE HOME SCENE

Half of the cigarettes in Bulgaria at the moment are contraband, according to sources of the cigarette business quoted in a front-page story in "24 Chassa". Last year alone Bulgarians smoked 8 billion cigarettes for which no excise duty was paid. Real imports totalled 22.5 billion pieces but only 17.2 billion were declared and the losses for the public purse stand at over 600 million leva. According to unofficial information which is close to the figures of the Customs authorities, in March-December 2009 the decline of the amount of cigarettes for which all dues was paid, was 10 per cent, the story goes.
Analyst Tihomir Bezlov says in "24 Chassa" that with the current shape of the Customs Agency and the excessive levels of excise duties, the Exchequer will only lose some of what it used to collect. The most recent haul of contraband cigarettes in Varna only proves this forecast, he adds.

***

"GERB Soften to Smokers" is a headline in "Troud". The story tells of "an unlikely coalition" which came into being Thursday as GERB proposed softer restrictions for smokers in restaurants and bars and the Bulgarian Socialist Party (BSP) supported them. By amendments to the healthcare law, the majority is trying to reverse the total ban on smoking in public which is due to take effect from June 1 this year.
"Dnevnik" writes that the total ban on smoking "burned down". "Standard News" quotes Parliament Deputy Chair Luchezar Ivanov (GERB) as saying that with cigarettes "we can't be better Catholics than the Pope".

***

"Douma" reports that municipal and private hospitals are preparing a national protest on April 7. That was reportedly decided at two-hour talks of the CEOs of 26 hospitals across Bulgaria. Local token strikes begin on Friday, said the director of the hospital in Purvomai, Southern Bulgaria, Ivan Madzharov.

***

Asked by "Troud" whether social dialogue exists in Bulgaria, the leader of the Confederation of Independent Trade Unions in Bulgaria, Zhelyazko Hristov, says, "It exists - good, bad or ambivalent". "Prime Minister Boyko Borissov gets much of the credit for this: when you try to contact him, he immediately comes up with an answer and a response. Social Minister Totyu Mladenov is like that, too, even though he is between the hammer and the anvil," says Hristov. He goes on to say that the unions want to know how the healthcare reforms will continue after starting without concord. "Maybe it is better to stop for a second, look around and listen because there is the sound of the train of discontent coming."

***

In a "24 Chassa", former Labour Minister Emilia Maslarova says she can write a book about how a person can be disgraced with media stories alone. Maslarova faces charges for wrongdoings during her tenure as Labour Minister in the government of socialist Sergei Stanishev. She says in "24 Chassa" that she hopes for charges to be pressed against her soon because she knows she had done nothing wrong.
Speaking about the retirement reform, Maslarova says it should start after 2014. Also, all social payments should be removed from the fund for old age pensions.

***

"Troud" carries an interview with American journalist Claire Berlinski where she says that Bulgaria "is west but with a Marxist problem".

***

In a "Troud" interview, the chairwoman of the Agency for Bulgarians Abroad, Rayna Mandzhoukova, describes as "non-sensical" the calls for bringing to Bulgaria another 60,000 of expat Bulgarians. "They don't necessarity want to settle in Bulgaria. There are various reasons for applying for citizenship: some just want to die with a Bulgarian passport in hand," she says.

DEFENCE AND FOREIGN AFFAIRS

"Bulgarska Armiya" reports that the condition of three Bulgarian servicemen wounded during in Afghanistan, has improved significantly.
This paper also carries an interview with Deputy Defence Minister Valentin Radev who says that the army should shed any redundant properties.
A front-page story in "Dnevnik" quotes Foreign Minister Nickolay Mladenov as saying that job cuts in oversees missions will be put on hold. Instead, the Ministry will examine its structure and the structure of the diplomatic service, as well as the proposals for dismissing diplomats, made by Mladenov's predecessor Rumiana Jeleva.

***

"Sega" reports in its website that the Russian Foreign Ministry has told the Bulgarian Ambassador in Moscow, Plamen Grozdanov that it intends to ask Bulgaria officially about the goals and essence of its talks with the US on the deployment of elements of its missle shield in Bulgaria. The paper recalls the Bulgarian and the US position that no negotiations have been held on the matter, and quotes Prime Minister Borissov as saying a couple of days ago that he "pretends he didn't hear" the exchange between US and Russia.

JUSTICE AND HOME AFFAIRS

All Friday papers report the latest development in the case of former State Agency for National Security (SANS) expert Alexei Petrov on Thursday when the court decided that he stays in remand. "Petrov: Do I Get a People's Court to Try Me?" ("Troud") and "A. Petrov: Stalin-style Repressions" ("Zemya") give an idea of the headlines.
In "Novinar", former Interior Minister Emanouil Yordanov calls "socialist cynicism" the allegations that he was the person to hire Alexei Petrov for the Interior Ministry.
In a "Troud" interview, Interior Minister Tsvetan Tsvetanov says that several days from now several Interior Ministry officers will have their clearance revoked for communicating with some representatives of Alexei Petrov's criminal group.
In "24 Chassa", journalist and socialist party member Velislava Dureva dismisses the arrest of Petrov and six other suspected members of his crime group as "a show" meant ony to show the world that Bulgaria is fighting crime. In her words, Petrov is only one of the characters in the deceitful show of the transition (to democracy). "What news is that Bulgaria is run by the fifth power composed of money, politics, crime and 'justice'! This news has been no secret in the past 20 years but nobody is willing to do away with the status quo [Е] just the opposite: they cherish it and use it for their own interests - or for another's after embracing them as own.

ECONOMY

All papers - a front-page story in "Klassa" - report that Bulgaria faces a 20 million euro fine for wrongful payments to farmers in 2008 under the Single Area Payment Scheme.

***

"Standard News" writes that casinos have started acting like loan sharks: they offer loans to hooked gamblers and then get their money and homes. The story is based on accounts from checks about which the paper learnt from Finance Minister Simeon Djankov.

***

The papers report the sale of bTV to the CME television group in a 400 million dollar deal. The reports quote an announcement by News Corporation which owned bTV.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 19, 2010

· Official talks on anti-missile defense shield to be disposed in Bulgaria have not been held yet, the Ministry of Foreign Affairs’ press office announced as a rely of the note of the Russian Federation, received on February 19. Meanwhile, Bulgaria noted acquisition of nuclear and rocket potential, which violates the agreements on their non-proliferation by countries and terrorist networks, is one of the most serious threats for the common security. Being NATO member state Bulgaria will continue observing strictly the common approach of NATO on taking decision in the security field, including anti-missile defense shield.

· The three people who were detained in a special police operation in Sofia during the night have criminal records. They are known to the police in relation with drugs distribution, Interior Minister Tsvetan Tsvetanov said. During the night the police carried out an operation targeting drugs distribution in the capital city. They seized some 4.5 kg of marihuana, 2 kg of amphetamine, small doses of cocaine and heroin packaged and ready for distribution. “This is the Interior Ministry’s systematic approach to drugs distribution,” said Tsvetanov.

· The Sofia Court of Appeals has ordered that alleged crime boss and former undercover agent Alexei Petrov must remain in custody. In a sitting lasting several hours on February 18 2010, the court ruled that Petrov should remain under arrest, together with Marcelo Djotolov, who was arrested alongside Petrov and five others on February 9 2010 as part of a police operation dubbed Octopus, aimed against an organised crime group. This group, according to Interior Minister Tsvetan Tsvetanov, had been involved in racketeering, extortion, prostitution, gambling, trafficking of people, money laundering, tax evasion, influence peddling and economic offences, all in the past 10 years. After the arrest it became clear that Petrov had been working as Bulgarian secret services undercover agent since 2000.

Bulgarian press review, February 18, 2010

2010-02-18T06:50:00.001-08:00

Press Review
Sofia, February 18 (BTA)

HOME SCENE

Interviewed by "Troud", Prosecutor General Boris Velchev says the operation codenamed Octopus will continue. He also says this case has been the most complicated so far in his term. "First, there is the scope and scale of organized criminal activity, and second, there is the question why this happened and who allowed it to happen. The first question is easier to answer because all it takes is a competent investigation. As to the second one, we are usually bogged down in explanations and everyone finds an excuse," Velchev says. He promises that the Octopus case will make amazingly fast progress. "I do not know what Alexei Petrov did for the State Agency for National Security (SANS), but SANS undoubtedly did quite a lot of things for Petrov. We will carefully look into the way classified information of the country's most secret service landed in Petrov's office."

"24 Chassa" says that a mobile phone was found in the cell of a person detained during the operation. Prime Minister Boyko Borissov said the information found in the phone greatly helped investigators by throwing light on the contacts of people arrested together with former SANS advisor Alexei Petrov. Borissov declined to give any details.

"Sega" writes that 10 more witnesses have testified, substantiating charges against Petrov and six people close to him of forming an organized group for racketeering, extortion, VAT fraud, tax evasion and other crimes. Sofia City Prosecutor Nikolai Kokinov said on Wednesday that when the mastermind of a crime group is remanded in custody for an indefinite period, witnesses have more courage to testify against him.

"Sega" writes that prosecutors have called for immunity for witnesses against the Mafia. The magistrates have in mind witnesses from the lower levels of organized crime groups who help uncover serious crimes. The effective Penal Code envisages such protection only in case a crime has been prepared but not committed. The new proposal was prompted by Operation Octopus.

Quoting lawyer Rumiana Radkova, "Klassa" reports that Alexei Petrov has asked for a meeting with US Ambassador James Warlick. Petrov claims he is the victim of political repression and an unfair trial.

"Standart News" publishes the opinion of sociologist Kuncho Stoichev, who says that while corruption, drug dealing and prostitution exist everywhere, the question is if the system fosters their growth or the system is sound but these crimes reflect an inextricable part of human nature. He says that now is the time not only to cut off the octopus's tentacles, but to mend the rules and the system.

In a "24 Chassa" interview, sociologist Andrei Raichev says Alexei Petrov had dealings with three prime ministers: Ivan Kostov, Sergei Stanishev and Borissov. The public needs to know what happened during Petrov's contacts with them and what they talked about. "The political puzzle must be solved because woe is the country in which stability hinges on person - Borissov," Raichev says.

***

"Troud" reports on its front page that senior customs officers will be arrested. A ring smuggling expensive clothes and perfumes was broken up at the Bourgas Customs Unit. Interior Minister Tsvetan Tsvetanov said that in several years a customs officer, Krassimir Gochev, handed out over 1 million dollars in "loans" and "investments". Gochev was involved in smuggling at the Lessovo checkpoint on the border with Turkey and paid people above and below him.

***

"Sega" comments on a decision of the Constitutional Court invalidating the elections in 23 voting sections in Turkey. This is the first time in 20 years that the court has transferred seats in Parliament from one party to another. For the first time Bulgarian elections will be brought to the attention of the European Court of Human Rights. The moral of the story is that there is no effective mechanism to challenge election results in Bulgaria. The court ruling has also made it possible for parties to challenge election results to the bitter end.

***

"Sega" reports that the Foreign Ministry is setting up an emergency centre to rescue Bulgarians abroad. Boyko Borissov's promise that the State will help every Bulgarian in trouble abroad has led to the latest change in the Ministry's structure.

***

Quoting Sofia City Prosecutor Nikolai Kokinov, "Troud" says that indictments against two ministers of the previous government - Nikolai Tsonev of defence and Valeri Tsvetanov of agriculture - will be presented to the court in a matter of days. Prosecutors are also putting the finishing touches to indictments against former deputy interior minister Raif Moustafa, former National Revenue Agency director Maria Mourgina and businessman Rosen Marinov.

***

"24 Chassa" reports that traffic police will start using the first batch of 1,200 disposable testers from March 1 to check drivers for drug use.

THE ECONOMY

Quoting Vassil Simov, CEO of the Bulgarian Commodity Exchange, "Klassa" writes that consumption has shrunk and there are no signs that Bulgaria is emerging from the crisis. He argues that Bulgaria is going through an economic crisis, not a financial one. The financial system is operating without a hitch, there is enough money in the market, loans are issued and banks report good liquidity. The point is that businesses are reluctant to borrow because they are afraid they cannot sell their products, Simov says.

"Troud" says that Finmetals Holding, which bought the Kremikovtzi iron and steel mill, must pay 40 million leva in damages to the State for failing to fulfil its investment programme in 2002. Roussi Statkov of the Supervisory Board of the Post-Privatization Control Agency said on Wednesday that this decision was made by the Sofia Appellate Court, which granted the full claim. Finmetals is owned by Valentin Zahariev, who bought Kremikovtzi in 1999 for one dollar. The plant was declared bankrupt in 2009.

"Troud" reports that the two most influential trade unions want an anti-crisis council to be set up with the prime minister to monitor the economic and social situation. In an anti-crisis package sent to Labour and Social Policy Minister Totyu Mladenov, the trade unions demand that EU funding be used to finance anti-crisis projects. They want the State to pay its debts to businesses and to start a public register of obligations to the Exchequer, as well as public procurement contracts to be paid within 15 days of delivery.

"24 Chassa" carries an analysis of the retirement system by experts Vladimir Karolev and Georgi Angelov. They and seven more experts set up an independent council on pension reform on Wednesday. They set two requirements for the retirement system - stability and choice. The two experts cite the pension funds of the Netherlands as an example of stability with their more than half a trillion euro. The two also argue that people should be able to choose when to retire: if they choose an earlier age, they will pay larger contributions. When there is a choice, there is no need for the State to set the retirement age, the experts say.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 18, 2010

· Foreign Minister Nickolay Mladenov presented his new team to the media and outlined his priorities.

· Brussels have unblocked seven operative programs due to only one reason - political will and reliable Audit Body, which will not hide anything, Prime Minister (PM) Boyko Borisov said before the mayors at the meeting of the National Association of Municipalities in the Republic of Bulgaria (NAMRB) in the town of Plovdiv.

· Alexey Petrov has expressed fears that evidences against him can be invented. Speaking with journalists before the hearing of the restraining order of the arrested in the Octopus operation in the Court of Appeal-Sofia he said: “Tsvetan Tsvetanov (Interior Minister) and Ivan Kostov (leader of DSB) are in a very odd situation over which they will probably invent evidences against me.”

Bulgarian press review, February 17, 2010

2010-02-17T04:34:00.001-08:00

Press Review
Sofia, February 17 (BTA)

FOREIGN POLICY

"Zemya" and "Pari" report about the elimination of intermediaries in the gas supplies. The Bulgarian authorities requested from the Chairman of Gazprom's Management Committee Alexey Miller removal of the intermediaries and an increase of the fees for gas transiting to third countries, "Troud" reports. Surprisingly, Miller arrived on a short visit on Tuesday at the invitation of the state-owned Bulgargaz. At his request, the Gazprom chief was received by Prime Minister Boyko Borissov and President Georgi Purvanov. The Bulgarian side also raised the issue of taking measures so that Bulgaria does not sustain losses from the future South Stream gas pipeline project by reduction of the revenues from transit fees, for example. Gazprom allegedly showed understanding to Bulgaria's request for the import of gas without intermediaries, Economy Minister Traicho Traikov said. According to "Dnevnik", Traikov's statement has made it clear that Gazprom keeps on making the new contracts on gas supplies conditional on the quantities, which this country would receive from South Stream.

***

There is no and there should be no official diplomatic reaction on the part of Moscow in connection with reports on possible deployment of elements of the US anti-missile shield on Bulgarian territory. Bulgaria takes sovereign decisions and does not owe explanation when choosing the means by which it ensures the sources for guaranteeing its national security, Deputy Foreign Minister Marin Raikov says in an interview for "Troud". "Our decisions in this area are taken in the context of the analysis, which we make jointly with our NATO allies," he adds.

***

"I would like to tell our compatriots that we should be somewhat more open to people, who come from outside to work here. Honestly speaking, we are not very hospitable," Bulgarian EU Commissioner Kristalina Georgieva says in an interview granted for the "Troud" paper. Prime Minister Borissov opened an opportunity for the Bulgarians abroad to work here, she also states.

HOME SCENE

The dailies report that the Constitutional Court declared unlawful the elections for Bulgarian Parliament held in 23 voting sections in Turkey. "24 Chassa" says that a total of 18,358 votes were cast in these and now they have to be subtracted from the base for vote distribution that determined the election results. GERB will have 117 MPs and the Movement for Rights and Freedoms (MRF) will remain with 37 MPs. The Blue Coalition and Order, Lawfulness, Justice (OLJ) will keep the number of their national representatives but there will be personal changes in these group.

***

"We expect from the Octopus operation to clear the image of MRF," MRF Deputy Chair Aliosman Imamov says before "Klassa". "We suppose that Alexei Petrov knows where the billions from the privatization have gone. If this is uncovered it would become clear that MRF is not the curse of the transition."

***

The designation of over 126 ha of agricultural lands has been changed as the latter had been obtained by private persons through swaps with the state prior to March 2009. They will be used for storage facilities, wind parks, green houses, tractor repair facilities, a winery, etc. The change of their designation was effected in the past six months, after the GERB Party came to power, from July 27, 2009 to February 2, 2010. Agriculture Minister Miroslav Naydenov presented a list of the companies, involved in the swaps, at the request of Bulgarian Socialist Party (BSP) MP Anton Koutev, who expressed doubts about violations of the moratorium on the change of designation.

***

Bulgaria has sustained losses of 8,500 million leva due to scandalous swap deals, "Ataka" writes. The country is threatened with a fine of 1,500 million leva because the EU considers the swaps as unauthorized state aid.

***

Interviewed for "24 Chassa" Social Minister Totyu Mladenov says that less people will be laid off in February compared to the previous month but that unemployment is growing. As at January 31 it was 9.9. per cent. According to Mladenov, further reduction of the social security contributions would be perennial for the social security system.

***

In a publication in the "Troud" paper Prof. Alexander Chirkov advises to establish a Medical Chamber and a healthcare fund under the budget.

JUSTICE AND HOME AFFAIRS

Alexei Petrov was arrested on charges of leading a criminal gang but now he will be sued for tax evasion, "Standart News" writes. Referring to a statement of Interior Minister Tsvetan Tsvetanov, the paper writes that Petrov owes 1.5 million leva in taxes. The report from the tax authorities would be enclosed to
the case file. As agent under cover Petrov has earned millions from providing consultations to companies. The Commission Establishing Property Acquired from Criminal Activity was reportedly preparing a request for distraint on half of Petrov's assets.

***

Stefan Hristov, Chief of the Migration Directorate with the Interior Ministry, has been arrested on charges of helping a criminal gang to arrange Bulgarian residence for Moldovan citizens. The price for this "service" would reach 15,000 euro, "24 Chassa" writes.

***

"Novinar" cites a survey of the Centre for the Study of Democracy showing that 4-5,000 million leva are the annual profits from criminal activity in this country. They come from human trafficking, drugs, illicit cigarette smuggling, corruption and VAT frauds. This, however, does not include financial frauds and the money generated from the grey economy, assessed at nearly 30 per cent of GDP in 2009. The boom on the market of real estates in the past ten years has turned Bulgaria into a preferred destination for money laundering by foreigners, the survey also shows.

***

"I am sorry that I did not tender my resignation," Chairman of the State Agency for Refugees Svetoslav Michev says in an interview for "24 Chassa". Asked whether he would accept protection from BSP, he answers in the positive.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 17, 2010

· No elements of the United States' missile defence system will be coming to Bulgaria at this stage, US Ambassador James Warlick told the press in Sofia. He said that no talks are being held at the moment and it is a thing that is still in the air. The issue has only been discussed informally within the framework of NATO partnership. Asked whether he expected things to make progress, the US diplomat said it is a question that should be addressed to the Bulgarian government.

· The government relieved Svetoslav Michev as Chairman of the State Agency for Refugees (SAR), after considering a report of a commission which conducted a special check in SAR, the government's information service said Wednesday. The government appointed Nikola Kazakov as the new Chairman of SAR.

· The Bulgarian government has consolidated its thesis very clearly - it will not take position on Burgas–Alexandroupolis pipeline at all until a qualitative Environmental Impact Assessment (EIA) under the highest international standards is made. Up to now no documents on this issue have been tabled, said Minister of Regional Development and Public Works Rosen Plevneliev. Minister of Finance Simeon Dyankov will do the whole co-ordination and the control over the implementation of the future engagement of the state under the Burgas–Alexandroupolis pipeline.

· Greek farmers are withdrawing the tractors along the Promachonas border checkpoint with Bulgaria, the Border Police announced. It is expected the whole farming technique to be withdrawn and the traffic through Kulata-Promachonas checkpoint to be finally normalized.

Bulgarian press review, February 16, 2010

2010-02-16T06:27:00.001-08:00

Press Review
Sofia, February 16 (BTA)

HOME SCENE

The Prime Minister has dismissed the two deputy chairmen of the State Agency for Refugees with the Council of Ministers, "Troud" reports. Krassimir Kossatev and Dimiter Vladimirov were removed from their positions over very serious violations, Prime MInister Boyko Borissov said Monday adding that he had drawn up a report which he would submit to the Council of Ministers at its meeting on Wednesday proposing the dismissal of the chairman of the Agency, Svetoslav Minchev. The institution has been drained of thousands of leva. "There is no drama in my removal. I am the last agency head left from the team of the previous government and my removal is logical," Minchev is quoted as saying by "24 Chassa."

* * *

"I do not know Alexei Petrov, I have not conferred him any rewards," former interior minister Georgi Petkanov, now a constitutional judge, says in an interview for "Troud." In his words, while he was interior minister Petrov was not well known to the public. During his term, Petrov was an officer at the Interior Ministry but did not have any special achievements as such to deserve honours. Petkanov says the Interior Ministry deserves to be praised for what it is doing now: arresting the Impudents (a group involved in kidnapping), Octopus (a police operation codenamed "Octopus" against organized crime in which Petrov was arrested) and other similar operations. "I would very much like that Operation Octopus ends in sentencing the culprits," he says. "But I doubt they would be convicted." "Troud" devotes space to the opinion of Atanas Atanassov, head of the National Security Service at the time of Ivan Kostov's cabinet. Atanassov calls for "untangling the whole story about the group linked to ex-prosecutor general Nikola Filchev." He recalls that Petrov was recruited in the National Security Service (NSS) on Filchev personal insistence late in the autumn of 2000. "I do not discuss secret agents," another former interior minister, Emil Yordanov, says. When he was interior minister, Petrov was not on the payroll of the Ministry. "DSB: It's Time to Arrest Filchev," "24 Chassa" writes in a headline on the same subject. Democrats for Strong Bulgaria insist on investigating all political links of the persons detained in Operation Octopus and to call to account all politicians who provided a political umbrella for them. "I Was Dangerous! But for Women, Years Ago" is the "24 Chassa" headline of an interview with Filchev. Responding to accusations that he was Petrov's political umbrella, Filchev says he has never favoured anybody and never asked the Interior Ministry for Petrov's appointment to the NSS. He recalls that Petrov's appointment was proposed by Atanassov and the order on it was signed by Yordanov, interior minister in the Kostov cabinet. "Kostov cannot forgive me that I exposed him as a thief and leader of a group of bandits," Filchev says. According to him, at that time the privatization proceeds came up to 30,000 million leva but only 3,000 million went to the Treasury."Where are the remaining 27,000 million," he asks.

* * *

The incumbents are ready to release 400 million leva from the health care reserve fund and allow 15 hospitals one year to meet the requirements for normal operation and conclude agreements with the National Health Insurance Fund (NHIF), which otherwise will be closed down, "24 Chassa" reports. These are mainly hospitals in population centres of remote location. That is what PM Borissov said at a meeting with hospital directors on Monday, trying to ease tension arising from plans to close down smaller hospitals. The purpose is to make these hospitals try to become real ones, and not to close them, MP Borissov said. But if they fail to reform, they will be closed down and emergency medical centres will be set up in their place. The incumbents behave like real estate agents, "Sega" comments on a statement of Health Minister Bozhidar Nanev about plans to privatize state-controlled hospitals. Nanev said the privatization project would be launched after completing the reform of heal care. Now the government will improve the organization and financial state of hospitals on the money of citizens paying health insurance contributions, making them attractive for investors. This government has a very simple and effective concept about reforms: redistributing the last pieces of state property by selling them to private players, "24 Chassa" notes.

* * *

"Troud" discusses the flood situation in Bulgaria. It writes that a lot of rivers and dams has overflowed and hundreds of people had to be evacuated. The Kapitan Andreevo checkpoint on the border with Turkey was closed. Worst is the situation in Elhovo, on the Toundja river, the water level of the river rose to the critical 4.20 m. There is a danger of houses there being inundated. The local Civil Protection unit is prepared to evacuate people. Over 1,000 residents of the village of Bluskovo, Provadia Municipality, had to leave their homes. The heavy rainfalls caused landslides at Evksinograd, near Varna, and Velingrad. Subsoil water flooded graveyards in Shoumen; the civil protection team is pumping out the water.

ECONOMY

Quoting nationals statistics, "Sega" writes that the monthly household income per capita in December 2009 was down 11.9 per cent from December 2008; the number of the employed fell by 182,099. Most badly hit by downsizing were construction and the hospitality industry where 35,000 and 13,000 were laid off. The processing industry lost 71,000 jobs. Household incomes contracted by 44.61 leva a month. The cost of living went up by 0.7 per cent in January 2010, "Troud" writes referring to data released by the National Statistical Institute. The January inflation upped by 0.7 per cent from December 2009; it is 0.5 per cent year-to-year. Entertainment prices went up by 1.7 per cent; transport by 1.5 per cent; food, soft drinks, alcohol and cigarettes by 0.9 per cent; utility services and housing maintenance by 0.9 per cent. However, clothes and footwear were down by 1.9 per cent.

* * *

Pension system incomes fell by 11,000 million leva over the past decade, "Klassa" writes. At the same time, its expenditures are going up. The deficit in the public social insurance system was 89 million leva in 2000, and not it is expected to reach 2,300 million leva, Bozhidar Danev, President of the Bulgarian Industrial Association (BIA) said Monday. If a reform is not carried out shortly, the financial stability of the country will be exposed to a risk. Commenting on a statement by Labour and Social Policy Minister Totyu Mladenov, "Troud" says that giving up the plans to increase pensionable age starting as of this year is tantamount to not carrying a reform of the pension system. If the incumbents do not implement the reform now, while they are strong, they will not dare carry it out at a later stage of their term, when the next general elections will be nearing. "Courage is needed for the pension reform. I have it," Deputy Prime Minister and Finance Minister Simeon Djankov says in an interview for "24 Chassa." In his words, the reform which is most needed to support public finances is the pension reform, that is why it is unavoidable. Djankov says that Bulgaria cannot afford to pull out of the crisis by "printing banknotes." "We cannot afford a deficit either," he says. Not only because of the plans to join the Eurozone but because of the stability of the currency board mechanism. BIA proposes to implement the pension reform in two stages: before and after the crisis meltdown, "Pari" writes. Criteria such as pensionable age and length of service should still apply during the first stage. After the crisis is over, without abandoning the principle of solidarity of the social insurance fund, every insured could freely choose when to retire on pension irrespective of their age or length of service.

* * *

US and European companies may be the constructors of new generating units at the Kozloduy Nuclear Power Plant, N-plant Executive Director Dimiter Angelov says in an interview given to "Dnevnik." The project for building two units - Seven and Eight, is a promising future for the N-plant as they will replace the four units decommissioned so far, using the existing infrastructure. The Bulgarian Energy Holding will only lose if the infrastructure of the N-plant is not used, Angelov notes.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 16, 2010

· Director of Migration Directorate with the Interior Ministry has been detained, the press office of the Ministry announced. Detention is a result of continuous work in a joint operation of employees of the Directorate for Internal Security-MIA, State Agency National Security (SANS) and the National Investigation Service (NIS) conducted under the direction of the Sofia City Prosecutor's Office.

· Bulgarian Prime Minister Boyko Borisov met with chairman of Gazprom Management Board Alexey Miler. The two officials discussed on realization of South Stream project and the new agreements for natural gas supply which are to be signed between the two states, the press centre of the government announced. The discussion was attended by Bulgarian Minister of Economy, Energy and Tourism Traicho Traikov. Prime Minister Boyko Borisov put the issue the existing gas transit for Bulgaria to be considered within South Stream project in a way that not to harm our state.

· The Constitutional Court declared illegal the election of the members of Parliament elected by proportional electoral system, Mariana Ivanova Darakchieva from Blue Coalition at 7th Many-seated constituency -Gabrovo, Rushen Mehmet Riza from Movement for Rights and Freedoms in 8th Many-seated constituency -Dobrich and Atanas Markov Semov from Order, Low and Justice in 23rd Many-seated constituency - Sofia. The reason is - the illegality of elections held in 23 polling stations in the Republic of Turkey in which 18 358 real votes were submitted, that must be excluded from the basis of allocation of votes based on which the election results are determined. That says a message posted on the website of the Constitutional Court.

Bulgarian press review, February 12, 2010

2010-02-12T10:05:00.001-08:00

Press Review

Sofia, February 12 (BTA)

THE HOME SCENE

The Operation Octopus during which former State Agency for National Security (SANS) adviser Alexei Petrov was arrested along with dozens of other persons on February 11 continues to be the most widely discussed topic by the newspapers. The Interior Ministry suspects that the Octopus group was involved in acketeering, blackmailing, drugs, influence trading, economic frauds and other crimes. On Thursday the prosecuting magistracy demanded remands for seven out of the total of 14 arrested persons, the newspapers write.

"Tax Authorities Dig In Octopus" caps a report in "24 Chassa" which says that the National Revenue Agency starts checks into all members of the Octopus crime group, and the persons and companies related with them. Finance Minister Simeon Djankov is quoted as saying that tax checks will be conducted together with each operation of the Interior Ministry. For a month now the tax authorities and the Interior Ministry have been jointly following big cash flows circulating among firms and banks, says "24 Chassa".

The Friday dailies quote Prosecutor General Boris Velchev as saying that he is not displeased by Alexei Petrov. As a SANS officer Petrov was a member of several special teams working on a number of joint operations of the Interior inistry, SANS and the prosecuting magistracy, "24 Chassa" says. "Where we worked with Petrov, we have no grounds to be displeased with him," Velchev said on Thursday. The Prosecutor General also said that he is aware of Petrov's reputation which he described as "ambiguous, to put it mildly".

"Troud" quotes Prime Minister Boyko Borissov as saying that Operation Octopus is like a war testing the endurance of the warring sides. The Prime Minister also described as "absurd" allegations that he had to settle old accounts with Petrov and thus the former SANS officer was arrested.

Quoting Ivan Kostov who chairs the parliamentary committee on SANS supervision, "Novinar" says that information was leaked towards Petrov about his possible arrest. However, the team working on the case managed to contain it, which Kostov said was commendable.

"24 Chassa" quotes a statement by the United States Ambassador to Sofia James Warlick that "the United States congratulates all law enforcement personnel involved in the courageous and professional actions they took in apprehending some of the most notorious suspected criminal figures in Bulgaria".

Former head of the counter intelligence General Atanas Atanassov tells "Troud" that Petrov had been a state security officer from before 1989, the year when democratic changes started in Bulgaria. Atanassov recalls that according to a report of the commission dealing with secret police files, Petrov had been a tenured employee of the Sixth Department of the now defunct State Security in 1987-1990. He argues that this is an extremely important fact. Atanassov says that for many years many people said that organized crime in Bulgaria was created by the repressive machine of the communist regime.

Interviewed by "Troud," former Interior Ministry chief secretary Valentin Petrov says that if the court decides to let Alexei Petrov go, this will be a big failure for Interior Minister Tsvetan Tsvetanov and the special services. Valentin Petrov stresses that the most important thing is the presence of evidence so that the detainee is not set free after a couple of days.

Tihomir Bezlov from the Centre for the Study of Democracy tells "Troud" that Operation Octopus is a risk and a threat to the government. According to Bezlov, a clash between Petrov and Borissov is the biggest such happening in the transition period. He says the figures with such big clout in politics and business clashed in a direct confrontation which ended with an arrest. If the charges against Petrov fail, this would not trigger a conflict between the Prime Minister and the Interior Minister, says Bezlov. However, there will be a big risk and threat to the government, he warns.

A comment in "Sega" says that fifteen years ago the lizard did not cut its tail and asks what is in store for Octopus now. The author says that there was not a government under which Petrov did not prosper. His business and his influence grew continually, no matter who ruled Bulgaria. Petrov surely has enough information about the political process in this country, about the economic upsurges and declines, about the underground becoming one with governance, writes the author. No one knows what Petrov will disclose and about whom. In order to prove that Petrov traded in influence, the Interior Ministry and the prosecuting magistracy will have to name the politicians who assisted him in this. It is yet unclear who installed Petrov where - the state in the mafia or the mafia in the state.

* * *

The Friday newspapers write about the report of the latest Bulgarian Christmas fund-raising campaign by President Georgi Purvanov and First Lady Zorka Purvanova. Health is not a commodity and the health care system cannot be restructured solely along financial lines, Purvanov said, speaking to the press after he and his wife met with donors who participated in the Bulgarian Christmas campaign. The President commented that "no fund-raiser can replace the government and no charitable initiative justifies the abdication of the Bulgarian State in health care".

* * *

"Land Swaps: Yes. Alteration of Designated Purpose of Land: No" caps an interview in "24 Chassa" with GERB floor co-leader Iskra Fidossova, who also chairs the parliamentary Legal Committee. She says that land swaps is not a dirty misnomer but has become so due to the bad practice. Fidossova argues that the opportunity for the state and municipalities to make land exchanges should be kept but in the presence of clear rules. What must be banned by all accounts is altering the designated purpose of the land with the intention of developing it, Fidossova says, noting that this is where things go wrong. She says that dubious swaps are being considered one by one and arguments are being sought to challenge and dissolve them.

* * *

"Bulgaria's True Prime Minister is [Interior Minister] Tsvetanov," "Troud" says, quoting Order, Lawfulness and Justice party leader Yane Yanev. Yanev is further quoted as saying that there are deep-running disagreements between Tsvetanov and Borissov which apparently emerged during Operation Octopus. In reality the true prime minister at the moment is Tsvetanov who "rules" GERB's MPs, Yanev said, claiming that two thirds of the people in GERB are personally loyal to Tsvetanov and constitute an internal opposition to Borissov.

* * *

"Troud" reports that the prosecuting magistracy has started corruption investigations against three higher education establishments - the Southwestern University in Blagoevgrad, the University of National and World Economy in Sofia and the Economic Academy. The news was announced on Thursday by Science and Education Minister Sergei Ignatov during a meeting of the parliamentary anti-corruption committee. MPs received unverified alerts for briberies for exam passings.

* * *

Interviewed by "Klassa" social analyst Yurii Aslanov says that the leader of the opposition Bulgarian Socialist Party (BSP) should name his successor. Aslanov says that even if BBSP calls an extraordinary congress, the forum would not lead to any change, and would instead risk plunging the organization into accusations, petty issues and squabbling which will not change the outlook of the party or take it out from the current stupor. According to Aslanov, such an extraordinary forum will further worsen things as it will can spoil the attitude to BSP of its members and voters and thus, the party will lose.

ECONOMY

"Troud" quotes preliminary data announced Thursday by Finance Minister Simeon Djankov according to which the budget deficit in January stood at 495 million leva. Djankov said there will be a deficit until April, when the budget will break even. A surplus is expected in May and June and by the end of the year there should be a balanced budget, according to the Finance Minister.

Djankov said that the January deficit was due to the 240 million leva paid for programmes with European funding, 214 million leva in foreign debt payments and 40 million leva in overdue budget payments to companies.

* * *

In a leading report "Troud" says that after all the retirement age will remain unchanged for the time being. Its increase has been postponed for the time being, as the priorities of the cabinet in 2010 and 2011 will be the health care reform and the stabilization of the labour market, Labour and Social Policy Minister Totyu Mladenov said Thursday, quoted in the newspapers. The reasons why the pension reform will be delayed are unemployment and the hardships of the economic downturn.

BULGARIA-EU

Bulgaria has received positive compliance assessment for two more operational programmes (OPs), OP Administrative Capacity and OP Environment, Prime Minister Boyko Borissov said before the EU 27 informal meeting of heads of state or government in Brussels, quoted by the Friday newspapers. This brings the number of operational programmes with positive compliance assessment to six in the last three days.

OP Administrative Capacity is worth 132 million euro and Environment is worth 1,466 million euro, the dailies recall.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 12, 2010

· Bulgaria will take a decision on whether to depose anti-missile defense at its territory after a discussion with the EU member states and the Bulgarian Parliament. This is what Prime Minister (PM) Boyko Borisov said as a reply of the question about disposing anti-missile defense in Bulgaria, FOCUS News Agency reporter informs.

· The decision where to depose the anti-missile defense in Bulgaria is half mathematic, half political. I think that at the basis of the military co-operation between the U.S. and Bulgaria-the Bulgarian-American bases in Bulgaria it will be normal to depose anti-missile defense at the territory of Bulgaria, former foreign minister Solomon Passy and president of the Atlantic club told journalists, FOCUS News Agency reporter informs.

· The Ministry of Heath does not closes hospitals but arranges quality criteria of the medical services, said heath minister Bozhidar Nanev during the parliamentary control, FOCUS News Agency reporter informs. According to Nanev there has been a fear for many years it will happen.

· All checkpoints along the Greek-Bulgarian border worked normally, Bulgarian National Television (BNT) said on February 12 2010. On the evening of February 11, Greek protesters who had blocked the border for four weeks opened the Kulata- Promahon checkpoint for automobiles and later that evening for trucks.

Bulgarian press review, February 11, 2010

2010-02-11T05:01:00.001-08:00

Press Review
Sofia, February 11 (BTA)

JUSTICE, HOME AFFAIRS

The Thursday dailies report about Operation Octopus, during which former State Agency for National Security (SANS) adviser Alexei Petrov was apprehended. "Troud" writes that Octopus has sucked in Alexei Petrov, Plamen and Yordan Stoyanov, aka The Dambovs, six pimps and 130 strippers. The newspaper quotes the Interior Minister as saying that yesterday the police had rounded up 13 people, five of whom are at top of the chain. Later, Petrov's right hand Toni The Hamster (Anton Petrov) turned himself in, according to "Monitor". Alexei Petrov's handler of the National Security Service (NSS) has also been arrested, writes "Telegraph". Nikolai Nachev, former head of the NSS economic department, has been among those that were detained. Interviewed by "Troud", Prime Minister Boyko Borissov says he is certain that the evidence police has gathered will hold in court.

Alexei Petrov was arrested after a businessman complained that associates of the former SANS adviser hand pressured him to hand over his business to them, or else they threatened to kill him, writes "24 Chassa". According to the daily, three more businessmen volunteered to testify against Petrov after news of his arrest broke out. The dailies report that Petrov's arrest had been videotaped.

"Troud" writes that some of the arrested suspects used sex tapes to blackmail businessmen. During the arrest the police squad found a tiger and a leopard at the house of the Stoyanov Brothers. The daily cites trade unionists that the brothers ran a fraud scheme along with former Kremikovtzi CEO Alexander Tomov. For his part, Tomov says that he spent four months at the steel maker, while the brothers had worked there for over ten years.

The dailies report that the arrested are allegedly part of a group involved in blackmailing, forcible debt collection and racketeering, soliciting to prostitution, drug pushing, embezzlement of funds from the Kremikovtzi AD to the detriment of Bulgarian State, influence trading, money laundering, concealment of income, tax evasion and fraudulent recovery of VAT input tax.

The Order, Lawfulness and Justice party and Tatyana Doncheva are products of Alexei Petrov's political engineering, according to"Monitor" and "Telegraph".

In a "24 Chassa" interview, Prosecutor General Boris Velchev says that ties between the mafia and the government have been severed. Velchev says that now people are sensing a strong-handed government, which is no accident, as the police backed by SANS has proved to be strong and well-organized.The Prosecutor General explains that informants rarely go to the prosecution authorities. Their first stop is the police. Velchev says that more people will be willing to cooperate after the police and the prosecution authorities begin to command more respect.

Interviewed by "Troud", Kristina Patrashkova, chief editor of the Gallery tabloid, says that Prime Minister Borissov and Alexei Petrov have long known each other. They were on the same karate team, they had a joint business and have continued to keep in touch to this day. It may seem a paradox, but the operation against Petrov could be interpreted as an operation against the Prime Minister too, says Patrashkova. In an interview for "24 Chassa", she says that Petrov has nothing to do with the newspaper ownership, which does not mean that Gallery staff does not know him. Often Petrov provided them with information. In the last issue, Petrov said that he had been targeted by the Chief Directorate for Combating Organized Crime and that his arrest was imminent. He provided a document that a member of the Impudent kidnapping ring had beenpressured through use of force to say that Petrov had contracted a killing, which he refused to do, Patrashkova says.

THE HOME SCENE

The dailies report that the Agriculture Ministry will try to regain part of the forests that were swapped under the previous government. Prime Minister Boyko Borissov convened a security council on Wednesday as Bulgaria is facing a fine of 55 million euro by the European Commission over the swaps.

***

In a "24 Chassa" article, Union of Democratic Forces Martin Petrov proposes an elegant way out if those who benefited break off the deals of their own accord.

HEALTH

The Union of Pharmacists in Bulgaria has proposed to the Health Ministry that drugs be sold at fixed prices (based on the highest one) which will cause a rise by 10-15 per cent, reports "Troud", citing the Pharmacy Owners Association.

The daily writes that the European Commission is against as fixed prices of drugs will kill off competition.

***

In an interview for "24 Chassa", Luchezar Ivanov, chair of the parliamentary health committee, says that doctors will be dismissed if they have asked money from patients. Special teams will be running checks. Ivanov notes that family tourism in Spain boomed after a ban on smoking was imposed. As a doctor he is against people smoking in public places.

***

In an interview for "Troud", Roumen Petkov of the Bulgarian Socialist Party (BSP) says that its leader should be replaced within three months. Asked why, Petkov says that the BSP has no answer what would happen if Prime Minister Borissov called early elections at the end of year. Petkov says that the party should not seek rejuvenation at any cost despite its pool of potential, but a sense of security. According to Petkov, Georgi Kadiev and Kornelia Ninova lack the experience to control the party, and Iliyana Yotova will not make a good leader. However, for Petkov Dora Yankova has the experience, the leadership skill, is an undisputed authority and has stayed clear of scandals.

ECONOMY

Two more operational programmes (OPs), Competitiveness and Transport, received positive compliance assessment on Wednesday.The total resource that will be available for small and mid-sized businesses under the Competitiveness OP is 1.3 billion euro, Prime Minister Boyko Borissov said. The financial framework for OP Transport is 2 billion euro. Borissov said he hoped that Bulgaria would receive positive assessments under the remaining three operational programmes by the end of the week.

***

"Troud" cites figures of the Bulgarian National Bank, showing 12 new "bank" millionaires in the fourth quarter of 2009. Some 360 households andindividuals have bank deposits which exceed one million leva, totalling 879.9 million leva.

Over 40 per cent, or 22,191 million leva of all loans extended in 2009 were over the one million leva mark. By the end of 20009, 5,238 natural persons and legal entities received seven-digit loans. Their number is 44 down compared with the third quarter of 2009, according to "Klassa". Some 5,124 businesses took loans of over one million leva, worth a total of 21,987 million leva. Their number was 45 down from September. Some 114 natural persons took loans of over one million leva, worth nearly 205 million leva.

***

Associate Professor Vladimir Adamov, Rector of the Svishtov Academy of Economics, has been suspected of plagiarism and will likely be stripped of his doctoral degree.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 11, 2010

· A protected witness of the prosecution in the trial of notorious suspected crime leaders Krassimir and Nikolai Marinov, aka the Marguins, faces perjury charges after he denied knowing them. Sofia City Prosecutor Nikolai Kokinov said that shortly after a hearing on the Marguins' case here Thursday. The witness, Ivo Ilchev, was brought to the courtroom wearing a mask for the Marguins case hearing and was questioned behind a screen. He told the court he does not know and has never spoken to the Marguin brothers.Prosecutor Kokinov said Ilchev had told him that he was threatened after the previous hearing on the case. He said that the prosecuting office have the telephone number of the person who called to threaten the witness and will investigate the case.

· Bulgaria's foreign trade balance in January-December 2009 (with exports in FOB prices and imports in CIF prices) was negative and totalled minus 9,600 million leva, or 9,700 million leva less than in 2008, the National Statistical Institute said Thursday.In FOB/FOB prices (after eliminating the expenses for transport and insurance for imports), the foreign trade deficit amounted to 8,000 million leva, reaching its peak in March and April.According to preliminary estimates, Bulgaria's foreign trade turnover in January - December 2009 amounted to 55,700 million leva at current prices, registering a drop by 29.3 per cent year on year. The imports (in CIF prices) declined by 33.4 per cent from a year earlier and totalled 32,700 million leva. Imports exceeded exports in 2009, in line with 2008 trends. The value of imports exceeded the value of exports by nearly 42 per cent. Following a lasting tendency of recent years, the turnover in the third quarter of 2009 was the highest. Exports and imports peaked in the fourth quarter of 2009, reaching respectively 28 per cent and 26.1 per cent of their annual volumes.

· Bulgaria has received positive compliance assessment for two more operational programmes, Prime Minister Boyko Borissov told journalists in Brussels Thursday. Operational Programme Administrative Capacity is worth 132 million euro and Environment is worth 1,460 million euro, Borissov said before the informal meeting of the heads of state or government of the EU 27. The Operational Programme Administrative Capacity received today a positive compliance assessment, Deputy Prime Minister and Finance Minister Simeon Djankov told a news conference Thursday. This makes it the fifth operational programme to receive positive compliance assessment in three days after OP Competitiveness and Transport the previous day, and Technical Assistance and Regional Development a day before. Djankov pointed out that the total sum of interim payments which Bulgaria can use now amounts to 132 million euro.

Bulgarian press review, February 10, 2010

2010-02-10T05:40:00.000-08:00

Press Review
Sofia, February 10 (BTA)

HOME SCENE

Interviewed by "Dnevnik", Interior Minister Tsvetan Tsvetanov says that an operation codenamed "Octopus" is being launched, which is expected to show the real picture of the State. It will also show what happened during the transition period while the octopus was growing stronger and its tentacles reached into all echelons of the executive, the legislature and of every branch which exercises control. This is influence peddling, the problem which exists in reality. The lack of a political will in the last 20 years has led to the assessments in the European Commission reports, which are also the views of the Bulgarian public, Tsvetanov says.

***

"Troud" reports that Boyko Borissov will gain one MP at the expense of Ahmed Dogan's Movement for Rights and Freedoms parliamentary group. The calculation was made by election expert Mihail Kostantinov ahead of a Constitutional Court ruling on an application that challenged voting in Turkey during the Bulgarian parliamentary election last summer. Two more groups will see changes. Ventsislav Vurbanov will return to the Blue Coalition, and Atanas Semov, close to Yane Yanev of the former Order, Lawfulness, Justice group, will be replaced by an MP from Gabrovo. The Court put off its decision until next Tuesday.

***

"Standart News" writes that Bulgaria will become a centre of the secret services in the Balkans. This was announced by Prime Minister Boyko Borissov on his return from a two-day working visit to London. He explained that several very powerful centres of the secret services can be set up in Bulgaria to fight organized crime and drug trafficking in the country and the Balkans. Negotiations to this effect have begun with the leaders of the largest crime-fighting units in Britain.

***

"Troud" says that the Union of Democratic Forces (UDF) called on all Bulgarians who swapped private land for state-owned land to cancel the deals because the European Commission is threatening to impose sanctions of the order of millions of euros. Leader Martin Dimitrov said these swaps constitute state aid, as suspected by the EC. If the swaps are not declared invalid on a voluntary basis, the government should start cancelling them, the UDF also said, asking GERB not to explain to the EC that the swaps constitute an offence and not state aid.

***

Stoyan Koushlev says in "Standart News" that his commission on criminal assets has started legal action for assets worth 150 million leva. Twenty-one proceedings were instituted in January, compared with 12 or 13 a month as a rule. Fourteen decisions were made in favour of attachment to the amount of 24 million leva. In January alone, seven cases for confiscation of property were instituted. A crisis always breeds crime, he concludes.

***

In "Troud" Sofia Mayor Yordanka Fandakova says that it costs about 500,000 leva to properly clear the snow in major boulevards and streets used by public transport. The latest snow cost the capital about the same as the construction of two kindergartens - one million leva. Fandakova also says that Sofia should implement a number of construction projects in 2010 and 2011, which will cause some inconveniences to residents. Thirty projects are in progress now and their number will increase.

***

In "24 Chassa" Sergei Stanishev comments on a statement by left-wing municipal councillor Georgi Kadiev that he will compete for the leadership of the Bulgarian Socialist Party. Stanishev says he is unperturbed by this bid, adding that Kadiev can try for the leadership at the congress in the autumn.

***

In an opinion piece on the parties in office and in opposition, "Sega" comments that if GERB fails, it may not survive in opposition. If this "laboratory experiment" (a reference to GERB) fails, Democrats for Strong Bulgaria, the UDF and Ataka will go under, too. Although much weaker, the Socialist Party will survive, and the Movement for Rights and Freedoms may see its dream of running the country on its own come true.

THE ECONOMY

"Pari" has interviewed economists, financiers and politicians, who concur that a balanced budget is a good thing, but it should not be achieved at the expense of companies. Economists Georgi Ganev and Georgi Angelov believe that a balanced budget is fully feasible this year due to the improved economic outlook. However, former deputy finance minister Krassimir Katev says it is not right to stifle businesses just for the sake of a balanced budget and of joining the eurozone. He warns that unless the government pays its obligations to companies, a wave of corporate failures may occur.

"24 Chassa" reports that all costs of the three electricity distribution companies will be carefully analysed and reduced so as not to have a rise in electricity prices from July 1. The distribution companies have also been advised to cut spending if possible. The daily quotes Angel Semerdjiev, chairman of the state energy and water regulator.

"24 Chassa" reports that tendering for Lot 3 of the Trakia Motorway will be launched by February 15 at the latest. The procedure for Lot 4 will most likely be advanced, and the two procedures will run almost parallel. Regional Development Minister Rosen Plevneliev is quoted as saying that Trakia may prove to be the lowest-budget motorway in Europe. Bulgarian consortium Motorway Thrace made an offer for less than 2.2 million euro per kilometre for Lot 2 last Friday, while the government has planned a budget of 3 million euro/km.

BULGARIA, EU

"Troud" reports that the European Parliament approved the Barroso 2 Commission on Tuesday, and Kristalina Georgieva took over from Meglena Kuneva in front of Bulgaria's 17 MEPs. Kuneva described Georgieva as a very good professional, whose experience at the World Bank will be useful in the new European Commission. In turn, Georgieva said that Kuneva's performance made an excellent impression in Europe, which will help the new Bulgarian commissioner.

"Sega" says on its front page that Brussels finally released 1,300 million euro for Bulgaria, giving it access to EU money for the first two of seven operational programmes after a positive compliance assessment from the European Commission. Before that Stanishev's government had two negative assessments. Bulgaria will have access to 1,300 million euro under Operational Programme Regional Development, and to 48.2 million euro under OP Technical Assistance. Thus Bulgaria was given access to 1,400 million euro, one fifth of the EU money available until 2013. "When the facts and Brussels speak, everyone should remain silent," Borissov said on Tuesday. However, he and the ministers said the problem with the absorption of EU money lies in the lack of projects. "The entire economic team will work towards more and better quality projects," Borissov said.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – February 10, 2010

Special joint operation of the Ministry of Interior and State Agency National Security (SANS) called Octopus is underway, press centre of the Ministry of Interior announced. Twelve people have been detained so far within the course of Octopus operation that is carrying out in the capital. The operation has been launched last night under the direction of the Prosecutor’s Office.

***
“Five striptease bars and 13 night clubs have been inspected during the special police operation in Sofia tonight,” Minister of Interior Tsvetan Tsvetanov said for Focus News Agency.

***
Regarding the announced 24-hour strike in Greece today traffic of sleeping cars between Sofia and Athens has been canceled, included in the train composition of two international fast trains between Bulgaria and Greece.

***
Minutes after the “Barroso II” Commission received the approval of the European Parliament, the new Bulgarian European Commissioner for International Cooperation, Humanitarian Aid and Crisis Response Kristalina Georgieva convinced her colleagues to grant more financial aid to Haiti that is currently recovering from the devastating earthquake that struck the country on January 12, the Standart daily reported, quoting Nova TV.

Bulgarian press review, February 9, 2010

2010-02-09T03:27:00.000-08:00

Press Review
Sofia, February 9

FOREIGN POLICY

Bulgaria should be invited immediately to join the Eurozone because of its low budget deficit, British Prime Minister Gordon Brown said at his meeting with visiting Bulgarian counterpart Boyko Borissov, "Klassa" writes. Brown promised to lobby the European Council on February 11 for making the Nabucco gas pipeline project a priority of the entire EU. "Monitor" quotes the British PM as saying that he will do his best for lifting all restrictions for Bulgarians willing to work in Britain. Britons will invest 100 million leva in a Bulgarian electric car plant, "Standart News" says in a subtitle. The investment project is of the US fund Quorus Ventures, and the money will be provided by British companies. This is what PM Borissov said after a meeting with Quorus Ventures officials.

* * *
"24 Chassa" tells about the arrest of Bulgarian medical workers of the children's hospital in Benghazi, Libya, on February 9, 1999 on suspicion of involvement in the infection of 363 Libyan children with HIV.

HOME SCENE

Two sectors of key importance for Bulgaria's security - healthcare workers and policemen, on Monday warned they would rebel, "Sega" says. Medical workers are discontented with cutting the money for healthcare and the closure of hospitals, and policemen will stage protests if they are not provided with decent pay and normal working conditions. "Doctors Issue Ultimatum, "Douma" writes commenting on the issue. Medical workers insist on increasing the budget for healthcare so that it reaches the 2009 level; if their demands are not met by 17:00 hrs local time on February 15, their steering committee will fix a date for a nation-wide protest. "The situation of the Interior Ministry employees is worsening. We want to talk with the prime minister and tell him our discontent is not politically motivated," Policemen's Trade Union leader Ivan Savov said as quoted by "24 Chassa." Police employees insist on increasing the allowances they are given for clothes and food, as well as on raising their base remuneration. They are also dissatisfied with having been deprived of the specific working conditions supplement they were paid before. The Health Ministry responded by massive checks at hospitals; the Interior Ministry blamed the worsening situation on the crisis, "Sega" notes.

* * *
The State should be refunded the difference between the higher market value and the lower prices of woodlands that passed into private hands through swaps, otherwise the European Commission may open an infringement procedure against Bulgaria over providing unauthorized state aid, "Sega" writes referring to sources in the European Court in Luxembourg. Practically, this means that the government should ask the new owners of the woodlands acquired through swaps to pay that difference. If the money is not refunded, Brussels may claim it in the form of a fine plus penalty interest. The way out is not in cancelling the swaps but making them at market prices, Emil Dimitrov MP of GERB says in an interview for "24 Chassa." He has waived his immunity as MP over a scandal with such swaps. "Troud" also carries an interview Dimitrov headlining it "Woodlands Are Expensive If their Status Is Changed."

* * *
The Super Borovets project is deblocked, the Bulgarian partners are surprised, "Troud" says. It quotes a Reuters release which refers to an anonymous representative of the State Fund of the Sultanate of Oman who said that the Super Borovets project would be completed in 2012 and that 800 million euro would be invested in it. The Fund is the major investor in the mega-project for the Borovets mountain resort (Samokov Municipality). However, Samokov Mayor Angel Nikolov and one of the minor investors, Glavbulgarstroy, have been surprised by the statement that came from Muscat. No work is done on the project, the first sod for which was turned in October 2007, they said.

* * *
Voters like PM Borissov's spontaneous reactions but cause the cabinet ministers to feel uncertain, Genoveva Petrova, Executive Director of the Alpha Research Agency, says in an interview for "Dnevnik." In her words, Borissov's is an almost authoritarian mechanism of government, untypical for the government of a democracy.

JUSTICE AND HOME AFFAIRS

"24 Chassa" carries an item that tells about one of the wealthiest men in Bulgaria, Veliko Zhelev, who was advisor to two former ministers of regional development and public works, Valentin Tserovski and Asen Gagaouzov. Varna-based companies linked to Zhelev won public procurement contracts for 143.6 million leva before VAT. At the time (2004-2008) he held a senior position at the National Road Infrastructure Agency and was advisor to the said ministers. Zhelev ex-wife and an ex-partner of his held interests in the companies which got the contracts. Zhelev's brother was a member of the Management Board and executive director of one of these companies. The prosecuting authorities have initiated proceedings against an unknown perpetrator; the State Agency for National security (SANS) is investigating the case.

* * *
In the past year, many of the special services in the world have not worked with their Bulgarian counterparts. They were directly told: "We will not work with you but I would not tell why because there are foreign media here," PM Borissov said hours before his meeting with the British MI6 in London on Monday, "24 Chassa" writes.

* * *
The National Centre for Safe Internet will work for the establishment of a public register of persons convicted of sexual abuse of children, "Novinar" says. The idea is to publish the names and pictures of sexual abusers. Thus parents could check if there are such persons in the neighbourhood they and their children live. If this is unacceptable, then the Centre proposes that the register be made available to schools and other institutions working with children.

* * *
Policeman Yordan Kostov who, according to the Interior Ministry, is involved with a gang of kidnappers that now is widely known as "The Impudents," has helped resolve a number of killings, including the murder of the Belneyski sisters, "24 Chassa" says. Kostov has been arrested for taking bribes from inmates willing to be allowed a home leave or get more lenient treatment. However, he was conferred a lot of awards and was punished only twice. He was transferred from the Dobrich police to Sofia in 2000 after he was checked for unauthorized contacts with local business circles. Reportedly, even now Kostov has connections with businessmen and politicians of all parties. According to the author of the item, in his relations with prison inmates Kostov most probably was just doing his work, trying to get information and it was just natural to offer them something in return. As to the home leaves, he arranged them thanks to his connections in the prison administrations and the prosecuting magistracy.

ECONOMY

Having polled economists, "Dnevnik" writes that more forecasts are for about a 5 per cent drop in Bulgarian economy. One of the reasons is the shrinkage of domestic demand which proved to be so serious that even the Christmas and New Year season consumption failed to stimulate the economy as expected. Delayed payments to the private sector by the government and the local authorities also had an adverse effect on the economic growth. The daily recalls that in the autumn of 2009 the government forecast a drop of 6.3 per cent in the economy but later adopted a more optimistic view predicting a contraction of 4.9 per cent. As a result of the rising number of companies in trouble and the active rescheduling and renegotiation of debts in the past year, the banks are increasingly often seeking the services of consulting companies in relation to acquisitions, "Dnevnik" writes referring to a survey of its own. The purpose is finding investors ready to put money in otherwise viable companies which have temporary troubles or establishing a company specially for the purpose of buying out companies in trouble or shares therein, financing the deals with bank loans.

* * *
The press writes about traffic problems arising in connection with the latest heavy snowfalls.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 9, 2010

· The Koulata-Promachonas border checkpoint (between Bulgaria and Greece) was opened at 10.30 am on Tuesday to let 100 trucks in each direction, Commissioner Todor Georgiev, head of the Border Police in Smolyan, told BTA. Some 170 trucks were waiting to pass into Greece. The border authorities on the Bulgarian side are facilitating a speedy passage. The checkpoint, blocked by protesting Greek farmers, was last open to trucks on Sunday afternoon. Since then only cars and buses have been allowed through. The Bulgarian border authorities have no available information of protesting farmers' plans or how long this schedule will be kept.Traffic through the three remaining checkpoint along the Bulgarian-Greek border is normal, said Commissioner Georgiev.

· A police officer was killed and another one was injured in a domestic incident in Enina, Sough-Central Bulgaria, Monday night, the Interior Ministry said. The two policemen responded to an alert for a row in a local home, and were attacked by the home owner. The pepetrator was arrested.

· The energy regulator has instructed the three power distribution companies in Bulgaria, CEZ, EVN and E.ON, to use any internal reserves that may be available, to preclude an increase of electricity prices from the middle of the year, regulator chief Angel Semerdjiev said Tuesday. He suggested that such reserves could come from cost cutting by the companies.

Bulgarian press review, February 8, 2010

2010-02-08T03:50:00.001-08:00

Press Review
Sofia, February 8

THE HOME SCENE

"Kostov Pushing Djankov, Borissov to Abyss," Podkrepa Confederation of Labour Konstantin Trenchev says in a "Troud" interview. He notes that the dialogue they have with the power-holders is due, on the one hand, to the Prime Minister, who is a person willing to listen and discuss things, and, on the other hand, to the Social Policy Minister, who has a trade union background. Both are clear about the benefit of mutual contacts. "If we fall out, nobody stands to gain from that. We reckon with the exceedingly delicate situation of the Prime Minister. GERB do not have a majority, they are surrounded by semi-allies whose only concern is how to unseat the present politicians. I would not stake on Kostov, not for the world," Trenchev says. "He gloats over the Government's mistakes. He cannot hide his glee when some of the ministers errs. To him, anybody's failure - and he hates everybody - is his own success," the tradeunionist says, assessing Democrats for Strong Bulgaria leader Ivan Kostov.

* * *

Commenting on a statement by Union of Democratic Forces (UDF) leader Martin Dimitrov attacking the President's veto on the Defence and Armed Forces Act, "Troud" comments that "the actual issue is whom should the Chief of Defence report to: the Defence Minister or the President. There was no such clause in the law until 2000. At that time, Peter Stoyanov was president and the UDF was in power. The UDF cabinet moved the amendments to Parliament. In 2000, UDF leader Ivan Kostov was prime minister. That is why the present UDF leader asked the then UDF leader why he has inserted the requirement in question into the law which now sparks controversy in Parliament. We thus might be led to believe that 'that' president was ours while 'this' president is not and is not entitled to such a 'perk'. Another self-evident conclusion is that an MP should not have a short memory," the daily observes.

* * *

"Nearly a month and a half after the high-profile arrests of the kidnappers' ring called 'The Impudent' by the Interior Ministry and the prosecuting magistracy, instead of the case clearing up the unknowns are increasing," "Sega" comments. "The feeling is that the loop around the fearsome gang is loosening. Prosecutors have no answers to more and more questions, while the court is getting hesitant about their evidence. That is why it is difficult to predict whether these bombastic operations will lead to convictions. All the more so that all court hearings of the case are held in camera and it is very difficult to judge objectively the cogency of the prosecution evidence."
Interior Minister Chief Secretary Kalin Georgiev says in a "Standart News" interview that "we cannot possibly succeed by an office worker's approach, by simply 'going to work' from 8 a.m. to 5 p.m. We are confronted by a strongly motivated opposition on the part of the criminal underworld. Just as they are aware that each mistake is fatal for them, we, too, must realize this. There are no minor problems, there is work done and not done, a success or a failure. The latter is unthinkable for us," a categorical Georgiev says.

* * *

The Mediana Agency found in a nationally representative opinion poll, commissioned by "Troud", that the Jeleva case and the ensuing Cabinet changes affected approval fatings for January. Approval for Nickolay Mladenov surged by 10 percentage points because, after Rumiana Jeleva, the former defence minister was welcomed to his new workplace, the Foreign Ministry, with huge hopes. The approval rating of Prime Minister Boyko Borissov declined from 66 to 62 per cent. The big surprise was Interior Minister Tsvetan Tsvetanov, whose 51 per cent approval nearly drew level with President Georgi Purvanov's 53 per cent. Purvanov is the second most approved politician after Borissov.

* * *

Georgi Kadiev says in "24 Chassa" that he will run for leader of the Bulgarian Socialist Party (BSP). "The six-month GERB incumbency has been poor quality, but there is no tangible shift of moods back to the BSP. On the contrary, if the economy collapses and the BSP proves inadequate, Ivan Kostov may well prove to be the big winner. If the BSP is divided on whether there is a change or the change is faked, this can be cleared up only at a congress until the end of this year. So that a new leadership, if any, could have time to make changes before the 2011 local elections. If there is a new congress now and a chairman is elected there, I will run. And if I succeed, it won't be a palace coup, it won't be because of the apparat but in spite of it," Kadiev says.

* * *

"Troud" reports that forty former police officers and experts in security, European and international law Saturday set up a non-governmental Alliance for Secure Bulgaria. The idea of the new association is to use the experience and contacts of former security services personnel for the elaboration of expert assessments to assist the instititutions and for proposals for legislative amendments.

ECONOMY

"A new, less acute crisis is likelier than insignificant growth," Democrats for Strong Bulgaria leader Ivan Kostov predicts in a "Dnevnik" interview. He sees as "normal" the fact that the finance and economic ministers forecast economic growth. "That's how all power-holders talk. But observers, economists, macroeconomists are much estranged from corporate economics," Kostov argues. He expects 2010 budget revenues to be less than last year's. "Economic activity probably continues to contract. It is acceptable to have a deficit in the first quarter only if it is offset in the coming months. Otherwise, the deficit may get out of control," Kostov warns.
Interviewed for "Telegraf", Agriculture Minister Miroslav Naydeov explains that "[forest land] swaps are a crime rather than a State aid." "We have rallied behind the standpoint that we will argue that this is a crime and that the officials who committed it will be held criminally liable. On the whole, however, this is not a policy of the State intended to benefit somebody because unauthorized State aid implies that the State has purposefully created conditions to benefit particular entitites, and moreover selectively. A step intended to assist, say, a particular branch, would qualify as State aid. I donТt think that those who took advantage represent a branch," Naydenov reasons.
"The former government withheld letters on the forest land swaps," "Troud" reports. "The scandal surrounding the likelihood of Bulgaria being fined over 55 million euro because of the forest land swaps is two years old, and now it is entering a new phase. Letters between the European Commission, the Ministry of Finanance and the State Forestry Agency were withheld while the three-party coalition government was in office," Deputy Agriculture Minister Georgi Kostov told the daily on Sunday. Sixteen non-governmental organizations have sent the European Commission two alerts about the swaps under the Stanishev Cabinet.
"Either GERB will cancel the swaps, or the swaps will cancel GERB," "24 Chassa" writes in an analysis. "Forest and land swaps cannot be ignored," the author writes. "GERB will have to do better than a moratorium. Otherwise, it will make an untimely exit from the stage, and Boyko Borissov will have to bid an unglorious good bye to his promising political career. Undoubtedly, this is the most painful political issue now and cannot be evaded for three fundamentally new reasons. First, the latest elections gave rise to specific expectations that the State will recover the stolen land tracts. Secondly, the bottom-up pressure was recently augmented by a top-down and external pressure. The European Union has already threatened to fine us. Thirdly, authentic non-governmental organizations have emerged over the last couple of years. They are firm in their convictions and are gaining strength."

BULGARIA - EU

The absorption of 203 million euro under Operational Programme Transport, as well as of money under Operational Programme Environment, is in jeopardy, "Troud" writes, quoting from the 2009 report on the absorption of EU funding of the National Assembly European Affairs and EU Funds Oversight Committee. The document found that the most tangible delay in the Transport Programme is in the road sector, for which nearly 1,000 million euro has been allocated. There is a credible risk of an automatic release of resources under the budget in 2011 due to non-absorption. Under Operational Programme Environment, none of the 23 regional landfills have gone under construction.
"Bulgaria has abosrbed 1.3 per cent of the funding under the EU operational programmes," "Sega" says in its coverage of the report.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 8, 2010

· On Monday morning Russian-flagged ship IRTYSH 1 broke its anchor chain and the high wind carried it away to the shallow waters in Burgas Bay, opposite the village of Kraymorie. Before the incident the ship was at a roadstead in the city of Burgas where it was waiting to receive information about the next port, the Bulgarian Ministry of Transport, Information Technology and Communications announced.The captain of the vessel issued a distress signal and two tugboats were sent to help the ship. A third one is on standby.The crew of the ship is out of danger and there is no information about environmental pollution.

· Bulgaria emerged completely snowbound on February 8 2010, as excessive snowfall is reported across the country, with the exception of the southwest where it is currently raining, Bulgarian media reported.Traffic in Sofia is impeded in most areas, with heavy congestion observed on Tsar Boris 3 Boulevard, as well as Tsarigradsko Chaussee, Cherni Vruh Boulevard, Bratia Buxton Boulevard, and the southern boroughs of Boyana, Kniazhevo and Dragalevtsi on Vitosha Mountain. According to the Bulgarian National Television (BNT) there were 42 snow-clearing machines active on Sofia's main arteries on the morning of February 8.

· Several municipalities in Northern and Northeastern Bulgaria have declared a state of emergency due to the snowdrifts, heavy snowfall and low temperatures. They are Dulovo, Samuil, Isperih, Tutrakan and Sitovo.In the municipality of Dulovo only the road between the cities of Silistra and Shumen is open. The schools will be closed on Tuesday as well.The municipality of Samuil will be in a state of emergency until February 10.

Bulgarian press review, February 5, 2010

2010-02-05T04:38:00.000-08:00

Press Review
Sofia, February 5

FOREIGN POLICY AND DEFENCE

"Troud" leads with a story saying that the whole Lufthansa crew has filed complaints against Volen Sidenov, the leader of the Bulgarian parliamentary party Ataka, after Siderov was arrested at Frankfurt Airport on Wednesday for misbehaving during a flight from Sofia. The paper quotes Frankfurt police spokesman Jurgen Linker. Obviously under the influence of alcohol, during the flight Siderov threw food on the floor and insulted the crew, Linker said. Ten federal police officers participated in his arrest. Approached for comment, Siderov dismissed the whole case as a slander and threatened to sue the air company and all newspapers that wrote about the incident.
"Ataka" newspaper quotes Siderov as saying that he would sue Lufthansa because their crew "did not behaved in the civilized manner expected of a European company" and showed a disparraging attitude to Bulgaria.
"24 Chassa" quotes Ataka deputy floor leader Dessislav Choukolov as saying that Foreign Ministry spokesman Dragovest Goranov will be held accountable for distributing what Choukolov called "false information" that Siderov was arrested in Germany.
In Choukolov's words, Siderov and the Lufthansa crew "only exchanged remarks" during the flight.

***

"24 Chassa" carries an interview with Kristalina Georgieva, the Bulgarian Commissioner-designate for International Cooperation, Humanitarian Aid and Crisis Response entitled "The Way We Are Seen from the outside Affects Our Pocket". Georgieva says that what Finance Minister Simeon Djankov is doing for fiscal discipline is very important for having the door to the euro zone open up for Bulgaria and for having Bulgaria's partners treat it in a positive and serious manner.
The paper also runs an interview with Georgieva's mother, Minka Georgieva, where she says that the childhood dream of the future EU commissioner was to be an actress.
"Standard News", too, has an interview with Kristalina Georgieva ("I Have Been Lucky. I Will Be Helping People Again").
"Monitor" quotes MEPs as saying that the opportunities are being explored for sending Rumiana Jeleva, the former Bulgarian Foreign Minister and failed EU Commissioner-designate, to Vienna or Bern as ambassador. Jeleva stays Vice President of the European People's Party.

***

In "Standard News", Agriculture Minister Miroslav Naydenov says that the blockade of the Bulgarian-Greek border "will teach us to stand up for our rights".
A front-page story in "Troud" says that "a strike wave is overcoming Greece like a tsunami" and the euro "swallowed water" because of Athens on Thursday, sinking to seven-month lows against the dollar (1 euro to 1.39 dollars). The Bulgarian central bank set an exchange rate of 1.41 leva to the dollar against 1.39 leva a day earlier. Farmers have warned that the blockades are tightening, the story says.

***

"168 Chassa" has a story on the double murder of Slavka Naidenova, the sister of the late Bulgarian tycoon Ilia Pavlov, and her 8-year-old son Paul Wilson, in the US. Investigators are reportedly looking into the possibility that the two were killed for old debts of Ilia Pavlov to the Russian mafia.

***

"Standard News" reports in a banner headline that Prime Minister Boyko Borissov has been invited by Chelsea owner Roman Abramovich to a Chelsea - Arsenal match on Sunday. Prime Minister Borissov opens a visit to the UK the next day.

HEALTH CARE

"Klassa" and "Douma" have in front-page stories quotes of Health Minister Bozhidar Nanev who told Reuters that the Bulgarian government "is likely to begin a privatization programme of its state hospitals this year, once an overhaul of the indebted and inefficient sector is complete". The Health Minister believes that investor interest would rise once Bulgaria "had put in place a better funding structure for hospitals". The majority of Bulgaria's 350 hospitals are state-owned and 71 of these were on a list of assets banned for privatization, Reuters says quoted by the two papers.

***

MPs of GERB, the Bulgarian Socialist Party (BSP) and Ataka are willing to pool efforts and push through milder smoking restrictions for public places, "24 Chassa" reports. A total ban on smoking indoors becomes effective from June 1. Smoking will no longer be allowed in restaurants, bars, night clubs, public and administrative buildings and at the workplace. The ban was enshrined in legislation adopted in 2009 but MPs and restaurant owners agree that it will bring the demise of many businesses.
Emil Dimitrov MP (GERB) was the first to say he was moving revisions, arguing that the ban would be a further blow on tourism. He suggests that Bulgaria should adopt the Spanish model where restaurants and bars have the freedom to choose whether to allow smoking or not. He plans to table the revisions in April. Socialist Kornelia Ninova agrees with him and believes that the current situation should remain where restaurants are allowed to have smoking and non-smoking sections. Another advocate of milder restrictions is said to be Ventsislav Lakov of Ataka.

THE HOME SCENE

In a "Telegraf" interview, Prosecutor General Boris Velchev says that ways should be sought to undo detrimental forest swaps. He is quoted by "24 Chassa" as saying that the forest swaps for which Bulgaria faces a EU sanction of up to 1.5 billion leva, were a crime and not state aids (as the European Commission suspects they may have been).
"Monitor" reports a resolution adopted by Parliament on Thursday, to suspend the change of the assigned purpose of agricultural land located within Protection Zones A and B of the Black Sea coast. In this way Parliament effectively banned construction on such land until July 1, 2010 (by that time the MPs will have to adopt legal revisions). With this ban in effect, close to 3,400 ha of state-owned land on the coast will be saved from development and the owners will only be allowed to engage in farming on their newly acquired property, the paper writes. Kavarna on the northern Bulgarian coast is mentioned as the champion of forest swaps.

***

"Dnevnik" - frontpages the sentencing of two men for the 2000 murder of Bulgarian law student Martin Borilski in Paris. Georgi Zhelyazkov will serve 19 years and Stoyan Stoichkov 17 years. The paper observes that after nine years and four court instances working on this case, the Veliko Turnovo Appellate Court is the first to sentence Zhelyazkov and Stoichkov.

***

The Bulgarian government is not enthusiastic about investigating Bulgarians who are concealing incomes abroad, "Sega" writes. This reportedly emerged after a meeting of Finance Minister Djankov with his German counterpart Wolfgang Scheuble where Scheuble told him about the measures Germany is contemplating based on information about the bank accounts of EU citizens in tax havens. Djankov is quoted as saying to that that it is an interesting idea and he would think about it.

***

Once a national security strategy is adopted, a bill on national security will be drafted as well as a new military strategy and a reservists bill, Defence Minister Anyu Angelov says in a "168 Chassa" interview.
Angelov's deputy Valentin Radev tells "Monitor" that the Air Force needs new fighter aircraft.

***

BSP leader Sergei Stanishev tells "Douma" that his party "is the bearer of the Left idea and can't be crushed". He says that Prime Minister Borissov presents Bulgaria as EU's ghetto.

***

The Friday papers write about an idea of President Georgi Purvanov to designate a Reconciliation Day in the Bulgarian calendar. The President suggested that during a discussion dedicated to February 4, 1997.
Thirteen years ago, Purvanov as the BSP leader and Nikolai Dobrev as PM-designate, returned a mandate to form a government.
The President suggested that "we should have a place to bring together the Heros, the icons of Left and Right and overcome the narrow partisan and ideological thinking".

***

Staff turnover is no longer the problem it used to be for Bulgarian companies in all sectors in the past 2-3 years, HR experts tell "Klassa". The meltdown and growing unemployment have reduced the number of those who quit their job. This has helped many managers involved in HR development, prepare working programmes for motivation and staff retention.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 5, 2010

· Situation on Greek border is abnormal, Commissary Konstantin Tityanov, head of Ministry of Interior Regional Police Directorate-Blagoevgrad. In his words if representatives of the Bulgarian business block the border the police will immediately inform the Prosecutor’s Office and the police will observe the law.
Commissary Tityanov said further representatives of the Bulgarian business has the right to block the border because, after all, the losses over the blockage are big. He added the police presence will be stepped up in the area.
“The communication between the protesting representatives of the Bulgarian Business Association and the police in the town of Blagoevgrad has been excellent. However, this is a matter of the future, we will see how things will develop,” Tityanov said.
He noted the Ministry of Interior Regional Police Directorate- Blagoevgrad will not allow fights to occur between Greek and Bulgarian protestors at Kulata checkpoint.

· Three light earthquakes have been registered in Bulgaria on Friday morning, the European-Mediterranean Seismological Center says on its website. A 2-magnitute quake was recorded 56 km southeastern from Stara Zagora, 27 km southeastern from Radnevo and 23 km northwestern from Topolovgrad at 4km depth. A 2-magnitute tremor was recorded at 8.29am 22 km from Elhovo, 4km northwestern from Topolovgrad and 52km northwestern from Edirne, Turkey. The third 2.7-magnitute jolt was recorded at 8.33 am 19 km northwestern from Svilengrad, 18 km south from Topolovgrad and 34km from Edirne, Turkey.

· The number of cancer patients in Bulgaria has increased by two per cent in a year, according to statistics released in Sofia on February 4 2010, the World Day against Cancer. Doctor Zdravka Valerianova, director of the National Specialist Oncology Hospital, said that in 2008, there had been 34 000 new cancer patients, and that year, 17 000 people in Bulgaria died of cancer. Currently, 223 000 people in the country had malignant cancers. When you know what the risk factors for cancer are, you can help yourself and reduce the risk considerably, Professor Stefka Petrova, director of the National Public Health Protection Centre said.

Bulgarian press review, February 4, 2010

2010-02-04T05:50:00.001-08:00

Press Review
Sofia, February 4

THE HOME SCENE

In an interview for "Troud", President Georgi Purvanov says he will stay in politics after the end of his second term. Purvanov believes that the left and right end of the political spectrum in Bulgaria will be reshaped at any rate because some political formations have run their course during the transition period. The end of the crisis will spawn other modern political ideas, which will most likely find expression in the respective political projects. "My priority is to sustain political stability, as this is a key condition for emerging from the crisis. In a volatile political situation we all know how economic and social processes can escalate," warns Purvanov. He underscores that in the aftermath of February 4, 1997, Bulgaria missed its chance to develop and endorse the idea of a government based on a broad consensus on key issues. The confrontation, born at the time, has been poisoning the social climate ever since.

***

"24 Chassa" carries an analysis by politician Georgi Markov on GERB's six-month government, headlined "Strong Prime Minister, Weak Parliament." Markov says that in its 20 years of democracy Bulgaria has never had such strong prime minister during the first six months in office. Several very strong political moves of Borissov come to the fore. The first is the crackdown on organized crime. Borissov succeeded in winning over very experienced and tough politicians like Ivan Kostov [Democrats for Strong Bulgaria leader] and Volen Siderov [Ataka leader] and made them involved with government without a coalition agreement. Parliament is one of GERB's weaknesses. In its six months it has not passed a single act that commands respect and admiration. Parliament suffers from a shortage of smart legislative ideas and good political rhetorics.

***

"Sega" runs an analysis on GERB's change of heart on the issue of GMOs.Within days Bulgaria will have a new act on genetically-modified organisms (GMOs). However, it is unclear what provisions it would set out. Non-governmental organizations are protesting, MPs are confused and have been put under pressure to denounce GMOs. It is a mystery whether the chaos is deliberate or it is just a peculiarity of the GERB era. However, one thing is clear: the strict ban on GMOs at present will be scrapped. The question is whether the new law will open the door to GMOs just for the sake of appearances or mutant foods will take over Bulgarian soil.

***

In an interview for 24 "Chassa", Konstatin Trenchev, leader of Podkrepa Labour Confederation, advises Prime Minister Boyko Borissov never to give a definite answer, because the top command should speak last, as its statement may block the whole structure. Trenchev takes into consideration the fact that Borissov's government took power at a very difficult time. He says he is patient because the incumbents are inexperienced but honest. "Honesty is the rarest commodity in the state. When those in power are honest, they are looking for the right decision," adds Trenchev.

***

"Sega" runs a commentary that the feud between Borissov and Movement for Rights and Freedoms (MRF) leader Ahmed Dogan will help MRF's development. The commentary takes note of the fact that lately the Prime Minister has been attacking the Movement. However, these attacks are rash and ill-judged.The MRF and the Turkish minority will continue to be political synonyms. And any politician, who wants to put an end to that, should be very careful. One of the reasons for Dogan's political longevity is that for 20 years he has been under fire from all sides, which is a sure proof way to endorse the so-called ethnic model.

***

"GERB Rebels Silently against Borissov," reports "Troud". Seven months into the tenure of the 41st National Assembly, the first sparks of discontent in GERB have flown. Self-descriptions by GERB MPs ranged from "expensive button pushers", to "figure heads" and "puppets", after Prime Minister Boyko Borissov promised President Purvanov to back his veto on two acts.

***

In an interview for "24 Chassa", Dimiter Abadjiev, deputy leader of Order, Lawfulness, Justice (OLJ) confirms that he is leaving the party, as he feels he is no longer useful. Abadjiev says that his role was to win international support. After OLJ failed to win any seats in the European Parliament, opportunities for doing that greatly diminished. Abadjiev says that he has no ambitions for political posts, and he will continue to work as lawyer and look after his children.

***

"24 Chassa" runs an analysis on the arrest of the first police officer, known to have helped the kidnapping ring, dubbed the Impudent. The article highlights that very strong internal security departments are set in place to prevent the fusion between police and crime. In the past couple of years there have been attempts by the Bulgarian police at building such departments. Plans have been drawn up, human resources have been committed, but no funding has been secured. The author proposes that these departments should be shaped after the Anglo-Saxon model, with their own network of informants and alerts from within the ranks of the police.

ECONOMY

Interviewed by "Klassa", Tsvetan Simeonov, President of the Bulgarian Chamber of Commerce and Industry, says that the business will pull Bulgaria out of the crisis, but the state should not be interfering. Simeonov admits that the government may fail to sustain a balanced budget, which is to be expected given the difficult economic conditions. Simeonov puts the emphasis on honoring commitments made to businesses, as they generate GDP and pay taxes. He says that on paper the timeframe for recovery of input VAT tax was reduced, however budgetary payments to businesses are still delayed.

***

"EU Slap for Swaps of Three-party Coalition”highlights"Troud". Brussels could fine Bulgaria 55 million euro for forests swaps. If the purpose of the land has been changed, sanctions my reach 126 million euro. The government received Tuesday an inquiry by the European Commission into whether forests swaps constitute state aid. The letter follows alerts by non-governmental organizations, said Prime Minister Boyko Borissov. "We have to reply within 20 days. I will not try to disprove it, as we all know how the Tsar [Simeon Saxe-Coburg-Gotha], Stanishev and Dogan gave out the forests," said the Prime Minister. He stressed that those responsible should be held accountable, as this land had been acquired illegally.

***

"Pari" writes that corruption and not swap deals are a threat to forests. The 20-year transition period in Bulgaria has proved that whatever laws and ordinances are put in place there will always be loopholes. According to the author, swaps are part of market mechanisms, and the real problem is that society is too tolerant to corruption.

***

"Standart News" reports that Agriculture Minister Miroslav Naydenov will put in place an urgent action plan to save funding under the Rural Development Program. On January 26, Naydenov received a letter from Brussels that Bulgaria may be excluded from the European Agriculture Fund for Rural Development after it failed to implement EU directives for funds absorption. The Programme will disburse a total of 3,200 million euro until 2014.

BULGARIA-EU

"24 Chassa" reports on the approval of Kristalina Georgieva, the Bulgarian Commissioner-designate, right after she passed her confirmation hearing with flying colours in Brussels. Georgieva displayed class and experience in her designated portfolio for International Cooperation, Humanitarian Aid and Crisis Response. During the three-hour hearing Georgieva showed good reactions and a sense of humour. Shortly after the hearing, all coordinators of political groups announced that they supported Georgieva's nomination.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 4, 2010

· An explosion in a Bulgarian munition factory has resulted in injuries to three male employees, the Bulgarian Interior Ministry said late on February 4 2010.
The explosion occurred inside the Midjur munition factory in the village of Gorni Lom, northwestern Bulgaria.
The fire brigade received a distress call at about 6.30pm on February 3 saying there was a fire in the complex.The first explosions shook the privately owned factory in the late afternoon of February 3 and continued until the morning on February 4. Reportedly, there are more than 10 tons of explosive materials stored in the factory warehouses, as well as mines and other ammunition.The region surrounding the Gorni Lom village was sealed off by Bulgarian authorities. The safety perimeter extends about four km around the site. The Interior Ministry said that the local population is not in danger.

· One of Bulgaria's top ski destinations, Pamporovo, has fallen under the jurisdiction of Bulgarian Border Police and would be subject to security patrols from that department. The regional directorate of Border Police Smolyan said that the as of January 2010, the regulation has been amended, whereby the "frontier" area, previously encompassing anything and everything inside a 15km distance from the border, has now been extended to 30km.
Reportedly, in 2009, there had been a sharp increase of crimes perpetrated around the Bulgarian – Greek frontier, commissioner Todor Georgiev from the Border Police was quoted by Investor as saying. Allegedly, criminal activity in the area rose by around 25 per cent.

Bulgarian Press Review, February 2, 2010

2010-02-02T09:35:00.000-08:00

Press Review
Sofia, February 2

HOME SCENE

"Troud" highlights the President's decision to veto amendments to the Defence and Armed Forces Act and to the Meetings, Rallies and Demonstrations Act. This emerged after Georgi Purvanov's meeting with Prime Minister Boyko Borissov. The President argued that the amendments to the defence law curtailed his powers as Supreme Commander-in-Chief as the chief of defence is to report directly to the defence minister instead of to the President as now. The President and the Prime Minister also agreed that the security zone around the buildings of the Parliament, the President's Office and the Council of Ministers where no protests will be allowed be set between 5 m and 20 m.
In "24 Chassa" Defence Minister Anyu Angelov says that while he accepts the veto, he is confident that the President's powers are intact. He says he is familiar with the differences between the President and Parliament which have led to the veto on the Defence and Armed Forces Act, and believes that unanimity will be achieved with concerted efforts. Angelov explains: "The President exercises his powers on a proposal by the Council of Ministers. That is why there is no need to stipulate that the top military chief is subordinated to the President as well. It has never happened that the President issued an order to the chief of defence which was not known to or proposed by the defence minister or the Council of Ministers."

***

"Sega" reports that the Prime Minister put an end to criticisms of the court. He pledged a new work style, including a moratorium on recriminations between the institutions, at a meeting with the Supreme Judicial Council. Borissov learned from the explanation of Lazar Gruev, President of the Supreme Court of Cassation, that the Prime Minister cannot state his opinion on lawsuits in advance because this would lead to judgements against Bulgaria in Strasbourg.

***

Socialist Party leader Sergei Stanishev called for a polygraph test for Borissov, "Troud" writes. Stanishev claimed that the Prime Minister's GERB party had promised an accelerated VAT input tax recovery, while in reality 700 million leva were owed in VAT to companies. Stanishev argues that this is strangling the real economy, and at the same time tax audits and frozen accounts are stifling businesses, forcing them to cut wages and jobs. Stanishev explains that unemployment is rising and wages are falling because the government lacks a vision and competence. The anti-crisis plan should have been updated, including new priorities, which did not materialize, the Socialist leader says.

***

"Sega" reports that people are blocking roads to resist hospital reform. On Monday Gotse Delchev in the southwest residents and hospital staff blocked a road junction for an hour in protest at what they claim are drastic cuts in financing. More rallies were held in towns in Northeastern Bulgaria.
Boyko Borissov commented: "The health care reform is under way, this is all there is to it. No one has accomplished a perfect reform overnight. I believe this is the way to do it."
In "Troud" trade union expert Krustyo Petkov comments that people are rising against the way reforms are implemented, not against the reforms themselves. He says that protesting doctors and railway workers were followed by farmers and tobacco growers, protests are brewing against hospital closures and a rise in the retirement age. GERB administration seems to be looking for trouble through confrontation with millions of people. Health care concerns 7.5 million people, and the retirement age will be a concern to 1.5 million people in the coming years. The government should appoint experts to advise the Prime Minister and his "imported" team about how to reform public services without provoking discontent.

***

In "24 Chassa" Kolyo Paramov says he resigned as Borissov's advisor so as not to put him in "delicate situations". The financier who was to help Borissov about "the link between the real economy and practical policy" explained his unexpected rise and even more unexpected fall in a week's time blaming the attack on him on "court economists who tell every government things that will win them favour". He definitively blamed the Union of Democratic Forces (UDF) and Democrats for Strong Bulgaria (DSB) for orchestrating the attack. For his part, Borissov said it was silly for one to be advised only by like-minded people, but promised to mend the situation.
"Sega" asks who makes the appointments and dismissals in Borissov's cabinet. The problem is getting out of control, the daily says, referring to Prof. Ilian Mihov who was to become deputy prime minister and to Paramov. The daily asks who suggested those appointments, implying that there was outside intervention.
In "Standart News" sociologist Yulii Pavlov, Director of the Centre for Analyses and Marketing, says that good experts are not to be found in the parties. He was surprised that Borissov yielded to the pressure of UDF and DSB leaders Martin Dimitrov and Ivan Kostov and indefinitely put off Prof. Mihov's appointment. It was even more strange that he invited a left-wing economist, Paramov, to join his team. Pavlov notes that good economists can be found both at the Academy of Sciences and at the University for National and World Economy. He suggests that Borissov work with lecturers and even with advisory councils, which would greatly help the government.
In "Sega" Environment Minister Nona Karadjova says permissions for planting GMOs will be hard to come by. She denies that the sale of foods with GM ingredients is being liberalized. "Our only wish is to bring Bulgarian procedures in line with the EU's, which require case-by-case discussion of every GMO-related request. Seeing that people are very concerned, we will have the provisions which ban GMO in Natura 2000 areas and near organic crops." Karadjova promises that anti-GMO views expressed during the public discussion will be heeded.

THE ECONOMY

Quoting the Finance Ministry, "Troud" reports that the 2009 budget deficit was 529.5 million leva, 0.8 per cent of GDP. This ranks Bulgaria in the group of EU countries with the best financial indicators.
Bulgarian National Bank vice Governor Dimiter Kostov says in "Troud" that it is important to have a balanced budget. It should be balanced in the long term on the basis of good expenditure management. He refers to real expenditures because the tax burden is determined by the actual resources used in the public sector, not by the taxes in nominal terms, and it is these actual resources that must be controlled. It is a different matter if there will be a deficit or a surplus in an individual year, Kostov says.
In "Sega" Employment Agency Director Rossitsa Stelianova says that in January, 24 employers filed reports on major job cuts, which at 1,096 are nearly three times down from a year earlier when over 3,000 job cuts were made. The economic recovery in Bulgaria is largely due to recovery in major investors like Germany and France. Stelianova is confident that the January jobless rate will not exceed 10 per cent.
"Troud" writes that from March 1 the tax authorities will call or send e-mails to people with unpaid fines to state departments. They will be prosecuted only if the warnings are ignored. The National Revenue Agency has taken over the collection of fines from the State Receivables Collection Agency since January.

Links to some Bulgarian info websites in English:

• http://www.bta.bg/site/en/indexe.shtml
• http://www.novinite.com/index.php
• http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 2, 2010

• Protesting Greek farmers have not lifted the blockade for trucks for nearly 48 hours now and some 300 TIRs are currently waiting at Koulata to cross over to Greece, Border Police said. Only cars and buses are let through in both directions and the line of trucks is already over 6 km, but all traffic will be stopped at 11:00 am. The Ilinden-Exochi checkpoint will be closed for all vehicles
from 11:00 am to 3:00 pm, the Interior Ministry said.The situation at the other two border checkpoints, Kapitan Petko Voivoda and Zlatograd, is normal.

• Winter conditions in Bulgaria are reported as "heavy" while in some regions in the country they are "severe". Around the riverside city of Rousse, roads are partially closed due to ice cover. Accordingly, hundreds of lorries are queueing to cross the bridge to Romania. Reportedly, the long line of lorries extends all the way from Dunav Most, all around Rousse, reaching the interchange leading for Sofia.
•
• Bulgaria will adopt only such laws on GMO that are necessary to meet the requirements of the European Commission, Prime Minister Boiko Borissov said before journalists on Tuesday. Borissov visited a Laboratory of General Ecology with the Bulgarian Academy of Sciences (BAS). "The Government and I are against the development of genetically modified organisms," he stated.

• Since the end of October 18 clerks with the State Agriculture Fund have been suspended following a check for conflicts of interest. The news was announced at a press conference of the Agriculture Fund.The most striking case is the dismissal of a chief expert in the anti-fraud and anti-corruption unit. The official recommended the payment of a project although SAPARD irregularities had been established in it.Two officials were dismissed from the Agriculture Fund’s office in the southwestern municipality of Blagoevgrad because of links to consulting firms. Three more officials with the Fund’s technical inspectorate in the northern municipality of Montana were fired because of family relations with beneficiaries – without declaring a conflict of interest they were verifying Rural Development Program projects submitted by relatives of their.

Bulgarian press review, February 1, 2010

2010-02-01T05:33:00.000-08:00

Press Review
Sofia, February 1

FOREIGN POLICY

"Troud" interviews newly elected Foreign Minister Nickolay Mladenov who says that the foremost goal of the Bulgarian diplomacy will be to focus its attention on the Balkans. Mladenov argues that Bulgaria seems to have isolated itself and forgotten its neighbours. The Foreign Minister says that the policy towards its neighbours could be Bulgaria's contribution to the European policy for the Balkans. Mladenov says he has decided to make a quick tour of neighbouring countries to "identify problems". "It is not enough for Bulgaria to just say it is supporting the efforts of the countries in the Western Balkans to join the EU. I am fed up with hearing that Bulgaria joins this or that initiative suggested by someone else. It is high time for us to come up with an initiative to be joined by others," says Mladenov.
Another goal of the Bulgarian diplomacy will be to create opportunities for new markets for Bulgarian businesses.

* * *

"Novinar" writes that the quotas for cargo haulage between Bulgaria and Turkey increase by 40 per cent. This was agreed during the January 29 and 30 visit to Turkey of a Bulgarian delegation led by Prime Minister Boyko Borissov. Transport Minister Aleksandar Tsvetkov who was on the delegation is quoted as saying that many other agreements in the interest of forwarding companies have been reached with Turkey.

* * *

The Monday dailies report that the ship Asian Glory, with eight Bulgarians on board, which was kidnapped by Somali pirates on January 2, has been sailing to the Gulf of Aden. The reports quote Commander John Harbour, Chief Public Information Officer of the Atalanta operation of the EU in the Gulf of Aden. Quoting information of a Russian publication called "Naval Bulletin", the newspapers say also that Asian Glory could be turned into a base ship for launching new attacks and hijackings.

* * *

Quoting Deputy Foreign Minister Marin Raikov, "Novinar" says in a front-pafe report that there are four Bulgarians among the victims of the January 20 accident when a building in Liege collapsed after a gas explosion. The Belgian press says that Bulgarians used to live illegally in the building.

ECONOMY

"Sega" writes in a top report that outstanding payments of members of the public and companies to the budget have doubled, according to "black lists" of taxpayers published on the web site of the National Revenue Agency. If a year ago such amounts totalled 60 million leva monthly, they now stand at 120 million leva. These are debts that have been identified, proven by the tax authorities in the relevant statements and confirmed by the court, says the report. Experts explain this state of affairs not only with the economic downturn which left many businesses without orders and proceeds, but also with the considerable increase in tax frauds.

* * *

"Dnevnik" writes in a front-page report that non-performing debts for which forcible collection is sought reached 1,000 million leva in 2009. The daily cites data of the Chamber of Private Enforcement Agents. Last year the cases when debtors were unable to service their debts and refused to do so voluntarily increased by nearly 60 per cent. In 2009 private enforcement agents reported for the first time a drop in the amount of money they managed to secure to lenders. Last year a total of 320 million leva were collected by private enforcement agents who are by 80 million leva less than in 2008. The decrease is attributed to the fact that debtors do not have money while there are no buyers for real estate.

* * *

"Klassa" reports in a front-page story that Bulgaria was ranked on the 28th place, ahead of Poland and Romania, in the globalization index survey conducted by The Economist Intelligence Unit and commissioned by Ernst&Young. The results of the survey were presented at the World Economic Forum which has just ended in Davos. In 1995 to 2009 Bulgaria's globalization index increased from 3.52 to 4.03.

THE HOME SCENE

Interviewed by "Troud" German Ambassador to Sofia Matthias Hoepfner says that the Bulgarians and Europe are waiting for speedy reforms in Bulgaria. The Ambassador says that true friendship includes a certain degree of critical solidarity.
The German diplomat is of the opinion that the Bulgarian Code of Criminal Procedure should be overhauled.
Commenting the recent changes in the Boyko Borissov cabinet, Ambassador Hoepfner says that the government coped excellently in the given situation and proved that Bulgaria has truly skilled young people who meet the requirements of the most senior posts. He says that the good education of the young Bulgarians, some of who obtain it abroad, repays well.

* * *

The leading report in "24 Chassa" says that electricity prices in this country are unlawful since for at least three years the factor of the quality of the service has not been included in the rates. If this had been done, the end price of electricity should have been falling. Lawyer Georgi Dishev of the Bulgarian National Consumer Association argues that al least theoretically, the absence of a quality factor in the formula for calculating electricity prices makes them illegal. The prices may be question before the Supreme Administrative Court, he says.

* * *

The Bulgarian Socialist Party (BSP) has called for civil pressure again the healthcare reform, "Dnevnik" reports.
The Monday newspapers report on a seminar during the weekend of the parliamentary group of the left-wing Coalition for Bulgaria where the BSP decided to move a bill which will put the state under the obligation to come up with a number of "protected hospitals" which will not be possible to close down.
"Douma" writes that BSP leader and former Prime Minister Sergei Stanishev said at the forum that the BSP will appeal a letter of the National Health Insurance Fund (NHIF) setting new criteria for signing contracts with hospitals before the Supreme Administrative Court. Coalition for Bulgaria will find a way of challenging the policy before the Constitutional Court as well, he said. The criteria are changed by a NHIF letter, which contradicts the National Framework Contract, Stanishev said.

* * *

The leading story in "Troud" says how mountain rescuers, emergency aid doctors and police had to organize a search party Sunday for two reportedly missing British ladies while the women were at their homes in the village of Stoikite, near Smolyan, Southwestern Bulgaria. The misunderstanding was caused when Emily called 112 “emergency call number” to ask for an ambulance for her mother Amanda who reportedly had stroke symptoms. In order to make things easy for the ambulance team Emily said that her house was near the bottom station of the cable car. However, the 112 operator who took the call understood that the women had lost their way near the cable car and directed the ambulance there.

* * *

"Klassa" run the results of a Gallup International poll, according to which about 15 per cent of Bulgarians went on mountain excursions - for a walk during the weekend or to ski, in the past couple of months. Thirty-one per cent of adult Bulgarians went on a trip to the mountains in the past year or sooner while 44 do not remember when they last went on such a trip.

JUSTICE AND HOME AFFAIRS

In an interview to "24 Chassa" Interior Minister Tsvetan Tsvetanov says that what his ministry started with the operation dubbed "The Impudent" against kidnappers will continue until all participants in criminal groups up to the highest levels have been reached. What the ministry does in creating special teams to work on high-profile cases is a move in the right direction, Tsvetanov says, adding that ways are being sought to shorten the never-ending court trials where, in his words, conditions are created where witnesses are pressed to retract their testimonies.
Tsvetanov suggests that judges from the EU could perform monitoring of sentences ruled by Bulgarian courts.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, February 1, 2010

· Due to the heavy snowfall in the capital city Sofia Municipality and Traffic Police will divert temporarily the traffic on some roads so that the snow could be removed, the municipality announced.The traffic in downtown Sofia ground to a virtual standstill. The snow caused gridlock across the central parts of the city. It covered the ice on the roads, creating conditions for road accidents. Many light crashes were reported. Fire engines are pulling bus out of the snow
Traffic has been restored everywhere in Sofia, said Lyubomir Hristov, deputy mayor in charge of transport. He added some of the road sections had been gritted twice to prevent ice formation.

· West Incorporated, an Irish property investor, said on February 1 2010 that it has acquired the Telephone Palace building in Sofia for an estimated 22.5 million euro. The company could to invest more than 100 million euro in developing the property.
West Incorporated said it would not disclose the future purpose of the building, but the company has employed a team of top professionals, who have been researching possibilities to turn the building into a unique cultural and social centre both in Bulgaria and in Eastern Europe.

Bulgarian press review, January 29, 2010

2010-01-29T07:20:00.001-08:00

Press Review
Sofia, January 29

THE HOME SCENE

"Boris Velchev Defends Changes to Code of Criminal Procedure," "Troud writes. Changes to the Code of Criminal Procedure will untie the hands of the prosecuting magistracy. Any objections are "predictable and show fear," said Prosecutor General Boris Velchev on Thursday. He added that in Bulgaria people are much more afraid of the state than of criminals. He raised the question of what the prosecuting magistracy should be in a society with "a huge deficit of justice". Changes to the Code of Criminal Procedure were adopted in principle on Wednesday, but they were criticized harshly by MPs of the remaining four groups in Parliament: the Coalition for Bulgaria, the Movement for Rights and Freedoms, the Blue Coalition and Ataka.

***

"Troud" runs an editorial on the changes to the Code of Criminal Procedure (Better to Be Unpunished At Large than Innocent in Prison). For the first time during GERB's rule a support for a bill has been withdrawn for political reasons. The Code of Criminal Procedure institutes the role of the back-up lawyer who will replace a defense lawyer during an absence, irrespective of the reason, without the consent of the defendant. The irony is that a case will not be adjourned due to the absence of the defense lawyer, but it will when the back-up lawyer is absent. The Convention on Human Rights expressly states that a defendant has the right to choose a defense lawyer. The changes will see in the return of the "eternal defendant" after the scrap of a provision that cases should go to court after two years. The amendment is ridiculous against the backdrop of nearly 71,000,000 cases that were suspended after their statute of limitations ran out last year. The scrapping of the mandatory defense before the Supreme Court of Cassation, the limited access to cassation and retrial of criminal cases, and the weight given in court to anonymous tips and evidence obtained through special surveillance means smack of repression, according to the author.

***

In an interview for "24 Chassa", Lozan Panov, President of the Sofia Administrative Court says that the crisis has increased cases against the authorities, but it has brought down the number of divorces. More civil servants tend to file lawsuits after being laid-off. The number of cases instituted by the socially disadvantaged, the elderly and the disabled for bigger pensions and benefits remains the same. The number of legal disputes over tax is also unchanged. Cases over compensation for appropriated properties have doubled, according to Panov.

***

"Troud" reports that Anton the Hamster Petrov, who was one of the suspects held during Operation "Impudent" at the end of December 2009, was released on Thursday. Petrov who is claimed to be one of the masterminds of a kidnapping ring was released on a 20,000-leva bail by the Sofia Appellate Court. Just a week after the Sofia City Prosecution Office claimed that there was enough evidence incriminating Petrov of being part of the ring, the appellate panel found evidence against him inconclusive. Commenting the court's decision, Interior Minister Tsvetan Tsvetanov said that the 20,000-leva bail shows involvement with the ring.

***

"Hamster Takes a Bite at Themis," writes "Standart News". The Bulgarian independent court has once again baffled us when it comes to its "logical" decisions in regard to notorious figures of the underworld. Suspicions that something is off at the temple of Themis are growing stronger. It is obvious that one of the links in the chain consisting of the police, the prosecuting magistracy and the judiciary has failed and ordinary people are left with the impression that high-profile arrests are just for show.

***

"Sega" writes that on the votes of GERB Parliament adopted a controversial amendment to the Radio and Television Act which allows owners of advertising companies to apply for television broadcast licenses. So far they have been banned in order not to influence the TV advertising market. The revision was immediately called "the Gergov amendment", as it favors advertising boss Krassimir Gergov and he lobbied tirelessly for it.

***

In an interview for "Standart News", Minister without portfolio Bojidar Dimitrov says that Prime Minister Borissov would be bored if he were President. Dimitrov assures that corrupt officials of the Movement for Rights and Freedom are being investigated. Former agriculture minister Valeri Tsvetanov and two MPs of the Movement will be brought to court very soon. Of the crisis which the Bulgarian Socialist Party (BSP) is undergoing, Dimitrov says that BSP is an old party and a good brand. It has been through many crises, but it remains uncertain how many votes it will be able to garner. Dimitrov even sees it gaining as little as two or three per cent of the vote because of its coalition with the Movement for Rights and Freedoms.

***

In a commentary, "Sega" notes that pre-GERB rightist parties are trying to sit between two stools. The Union of Democratic Forces (UDF) and Democrats for Strong Bulgaria (DSB) are backing GERB in words, but they take every opportunity to distance themselves from the ruling party and to sell them selves as the competent authentic Right. It is becoming clearer that by the end if his term Prime Minister Boyko Borissov will turn into a lonely long distance runner. His only loyal partner is the nationalist Ataka party, which suffers from lack of international recognition. At a certain point this might create problems for the cabinet. The sad thing for the UDF and DSB is that they don't have public resources to defend their ideas, even when they are good.

***

"SANS Enters Guantanamo," "Troud" reports. Bulgaria will take in just one Guantanamo inmate under a proposal of a joint working group of the Interior Ministry, the State Agency for National Security (SANS) and the Foreign Ministry. The government is set to reach a decision within a month. The proposal was announced Thursday by Interior Minister Tsvetan Tsvetanov at a meeting with the parliamentary committees on defense and internal security. However, before the decision is made, SANS officials will visit Guantanamo to obtain firsthand information, Tsvetanov said.

ECONOMY

"24 Chassa" writes that tobacco growers will receive 116 million leva in March, with a second installment in store around Christmas. The subsidy per one kilo of tobacco will be as much as in 2009, under an agreement signed Thursday between the Agriculture Ministry and the National Association of Tobacco Growers. Prime Minister Boyko Borissov called a late night meeting, after tobacco growers announced that they were calling off the blockades of the Bulgarian-Greek border.

***

"24 Chassa" carries an analysis on subsidized tobacco growing. Under the existing scheme, the amount of subsidies depends on the amount of produced tobacco, which seems fair at first glance. However, only 5 to 10 per cent of the whole tobacco output goes to Bulgarian cigarette factories, and the rest is exported. The companies that buy it know very well the price of a kilo of tobacco. They also know that tobacco growers receive subsidies and they wring their hands with low purchase prices, which the tobacco growers accept, as they know that they are entitled to subsidies. A new scheme should be put in place which will ensure that money goes directly to tobacco growers and will not subsidize middlemen and tobacco companies.

***

"Troud" reports that land deals have been suspended in a third of Bulgaria. In 92 municipalities the market of agricultural land has frozen for a second time in the past three months. All transactions have been suspended including those for lease of land after contracts with geodesic companies that prepare sketch maps expired and new companies are being contracted. In December, deals were temporarily unblocked after the Agriculture Ministry extended the old contracts until Christmas.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 29, 2010

· From February 1, the National Health Insurance Fund (NHIF) is cutting off cash for 21 municipal and private hospitals as part of the Health Ministry’s controversial and long-awaited hospital care reform plan. The NHIF decision, announced on January 26, means that these hospitals will have to rely on other sources of money – but, more likely, that they will close.

· After a freezing spell in which temperatures fell to - 28oC in some parts of Bulgaria, snow has now returned bringing difficult conditions in the Bulgarian capital Sofia.
12-27 cm of snow fell overnight in Sofia and Western parts of Bulgaria. The press center of the Sofia Municipality reported early Friday that snow clearing operations continued all night and the situation is under control.

Bulgarian press review, January 28, 2010

2010-01-28T04:49:00.001-08:00

Press Review
Sofia, January 28

HOME SCENE

"Novinar" has interviewed Ilian Mihov, tipped as a future deputy prime minister, as saying that while he is a member of this government, changes in the currency board arrangement will not be on the agenda.

***

All dailies report that Boyko Borissov's proposal for cabinet changes was approved: Nickolay Mladenov and Anyu Angelov are the new ministers, respectively of foreign affairs and defence. Mladenov promised dialogue, Angelov pledged continuity, "Novinar" reports. This is the first time Borissov has said the changes were forced by the resignation of foreign minister Rumiana Jeleva, "who did not do well" as a commissioner-designate, the dailies say.

***

"Standart News" reports that deputy education minister Svetlana Lomeva was dismissed by Education Minister Sergei Ignatov, who was informed that Lomeva was not performing her duties. Allegedly, she did nothing to stop violations by the son of Sofia's ex-regional governor, Socialist Todor Modev. Ivan Modev is director of the Youth Programme at the Ministry.

***

Borissov wants his ministers to name the culprits for the problems with the EU, "Sega" says. "Dnevnik" writes that the ministers will report at every cabinet meeting how much has been paid out under the ISPA pre-accession programme and the operational programmes.

***

The daily stresses that the absorption of EU funding is one of the worst risks to the Bulgarian economy according to the convergence programme for the period until 2012. It is the document which will form a basis for discussion of Bulgaria's bid to join ERM 2 and the euro zone. Poor absorption carries a risk of lower growth and lower budget revenues. In contrast, good absorption would cause pressure on budget expenditures due to the required national co-financing. Still, the government prioritizes the absorption of EU funds, and the other priorities are the euro zone, a stable budget and high productivity.

***

At least 20,000 tobacco growers are staging a protest on Thursday, Asen Kyuchoukov, Chairman of the National Association of Tobacco Growers, says in "Troud". The protest is concentrated in Gotse Delchev, Haskovo and Rousse. "We want the [agriculture] minister to keep his promise, and we expect to be paid immediately the same amount as last year as agreed," the leader says. "Novinar" warns that the protesters are expected to block the border with Romania at the Danube Bridge and roads at Haskovo, Svilengrad, Gotse Delchev and Purvomai.

***

"Sega" reports that the Finance Ministry was shaken by the latest scandal over gambling tax. Deputy Prime Minister and Finance Minister Simeon Djankov said surprisingly on Wednesday that he is against a tax cut, although the Ministry's website has featured a bill of amendments to this effect for two weeks. Other ministries have been consulted about the bill and it is about to be introduced in the Council of Ministers. Gambling tax was raised two months ago after a monumental scandal, "Sega"says.

***

"Douma" quotes Regional Development Minister Rosen Plevneliev as saying that the government will start awarding concessions for the entire water and sewerage sector in 2011 because there is no financing for water mains replacement from Operational Programme Environment. The term of the concession contracts may be between 20 and 35 years.

***

"Monitor" quotes Borissov as saying that 200 million euro for the construction of the Danube Bridge may be lost due to poor management and the project's delay under former prime minister Sergei Stanishev. Borissov discussed this with his Romanian counterpart Emil Boc. The deadline is 2010 and Bulgaria will fail to use the EU money, Borissov said, reacting to Stanishev's criticism of the present government.

***

The closure of small hospitals is a high social price to pay and has next to no effect, "Sega" says.

***

Bulgarian military doctors have been offered monthly salaries of 36,000 dollars in Saudi Arabia, and between 15,000 and 20,000 dollars in Finland, Norway, Qatar and Oman, "Troud" says, quoting the director of the Military Medical Academy. General Stoyan Tonev says he received these offers within a week of meeting with the ambassadors of the five countries. At the same time general practitioners have not been paid their salaries for December yet.

***

"Telegraph" reports that Mariana Todorova, the lawyer of gangland bosses, including the Marinov brothers, also known as the Marguins, nearly died in a fire after unidentified persons set alight a tire in front of her door.

THE ECONOMY

"24 Chassa" quotes central bank statistics showing that 5,282 people were issued loans exceeding 1 million leva in 2009. Of them, 113 were borrowed by individuals, who took out a total of 202 million leva, 1,780,000 leva on average. In three years these borrowers increased fourfold. However, the credit crunch became evident in the summer when no bank issued a loan of over 1 million leva to a household. Corporate loans over that amount increased slightly, by 102 in three months, to 5,169.

***

"24 Chassa" assumes that the 11-day border blockade by Greek farmers has caused losses to both Bulgaria and Greece, while Turkey has gained from it. Since the border checkpoints at Koulata, Ilinden and Kapitan Petko Voivoda have been closed, the much liked Greek imports seabass and bream have been replaced with Turkish fish. Flower import has also been affected and roses are imported from the Netherlands only. "Zemya" reports that Brussels has threatened to penalize Greece. Spokesman Jonathan Todd is quoted as saying that the Greek authorities must notify the Commission and the EU countries of a road block which obstructs free movement and must provide detours, which did not happen.

***

In "24 Chassa" economists from the Centre for Liberal Strategies, the Institute of Market Economics, Industry Watch and other think-tanks advise against a budget deficit. A deficit puts the entire economy at risk, pushes up interest rates, shrinks investments, and euro zone membership may be postponed. If the government has outstanding debts, even if they were inherited from the previous government, they must be paid at the expense of other sectors, which are most ineffective and reforms have not made progress. Confidence takes time to build and the prudence of the post-1997 period will be blown to the wind if the government takes the easy way out as Greece did, casting a doubt on the future of the euro, the economists argue. A balanced budget is the only way to ensure budget responsibility, investments and economic growth.

FOREIGN POLICY

"Troud" says that after the EU showed sympathy in recent years for the outstanding issue of the property of Bulgarian refugees from Eastern Thrace and Asia Minor, now Brussels appears likely to be able to guarantee a solution, and Bulgarian diplomats should seize the opportunity. The daily learned that the speedy preparation of the next meeting of the Bulgarian-Turkish commission on outstanding issues will be high on Boyko Borissov's agenda during his visit to Turkey later this week.

***

Quoting "El Correo Gallego", "24 Chassa" writes about an emergency re-admission to hospital of Simeon Saxe-Coburg-Gotha's eldest son, Kardam, who had a car crash in August 2008 and was in a coma. Kardam, 47, has improved since starting growth hormone treatment. He was hospitalized for breathing difficulties and strong fever.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 28, 2010

· 380 000 Bulgarians have lost their rights to free healthcare after changes in the health insurance laws. If people want to regain their rights to free healthcare they will now have to re-pay all their outstanding health insurance payments as well as any interest incurred. On Monday there will be more accurate information for those who have paid their health insurance since of amendments the law now.

· An 18-year-old boy has died in Pirogov Multiprofile Hospital for Active Treatment and Emergency Aid. 18-year-old A.V. has been admitted to the hospital at 22:05 last evening. The boy had been shot in the head and died 15 minutes later. The incident occurred in the region of Central Railway Station in Sofia.

Bulgarian press review, January 27, 2010

2010-01-27T04:54:00.000-08:00

Press Review
Sofia, January 27

THE HOME SCENE

"24 Chassa" quotes GERB Floor Co-leader Iskra Fidossova as saying that "there are no plans for a debate on the Cabinet changes," referring to Wednesday's election by Parliament of Nickolay Mladenov as Foreign Minister and of Anyu Angelov as Defence Minister. "As if anticipating GERB's intention to cut short the procedure, the MRF [Movement for Rights and Freedoms] yesterday urgently took exception to the idea. 'The BSP [Bulgarian Socialist Party] will insist on a debate," said the Deputy Floor Leader of the left-wing parliamentary group Mihail Mikov. Meanwhile, the UDF [Union of Democratic Forces] yesterday lashed out against future deputy prime minister Ilian Mihov. The UDF argues that oligarchy in Bulgaria has three objectives: to bring down the currency board arrangement, to frustrate the adoption of the euro, and to build the Belene N-plant. Mihov backs the first two ideas," "24 Chassa" writes.

* * *

"Prime Minister Boyko Borissov's difficulties with The Blue [Coalition] erupted in connection with his backing of Stanishev's deputy prime minister Meglena Plougchieva for a senior position at the European Bank for Reconstruction and Development," political scientist Evgenii Dainov writes in a comment in "Troud." "In reality, it is all about undercurrents of self-identification of both Borissov and The Blue. The PM has opted for a strategy of keeping up his image as a national leader by demonstrating a statesmanlike suprapartisan behaviour rather than through political manoeuvring. The Blue Coalition, too, is seeking a new image and a clearer political role. Both Borissov and The Blue, however, find themselves at a disadvantage due to the lack of sustained dialogue, as well as exaggerating various happenings."

* * *

"Douma" quotes BSP leader Sergei Stanishev as saying on Tuesday that "the Cabinet changes contemplated by Boyko Borissov are inadequate and do not live up to public expectations. To live up to these expectations, the PM must part with at least three ministers: Finance Minister Simeon Djankov, Health Minister Bozhidar Nanev, and Environment Minister Nona Karadjova." The BSP will not back the Cabinet changes when they are put to the vote in Parliament on Wednesday.

* * *

"Troud" reports that UDF leader Martin Dimitrov told journalists on Tuesday that his party will compile a list of BSP and MRF bureaucrats who must be dismissed and will give the list to Prime Minister Boyko Borissov. The Blue attacked GERB for keeping for months now some notoriously incompetent representatives of the BSP and the MRF in senior positions, such as Energy Efficiency Agency chief Tasko Ermenkov. "If people believed that the BSP and MRF cadres in the administration were doing a good job, they would have voted for them," Dimitrov said, reasoning his demand for a purge.

* * *

"24 Chassa" frontpages the news that MRF leader Ahmed Dogan Tuesday assumed a new self-imposed responsibility: he will be in charge of "economic priorities, investment policy and new technology" in the Movement's Central Operative Bureau. "For the first time, Dogan took part personally and on an equal footing with the rest in the allocation of responsibilities, which are called 'panels' in the MRF. He chose his area of responsibility by himself. "Our ambition is that it will outline governance priorities with a view to seeking a national vision for the country's development," MRF Deputy Chairman Hristo Bisserov explained.

* * *

For the time being, GERB is adamant in its demand that the services and the Interior Ministry be able to require telephone and Internet traffic data not only in the case of serious offences (punishable by over five years' imprisonment), it emerges from modifications introduced by the ruling party before the second reading of the amendments to the Electronic Communications Act, "Troud" reports. "GERB insists on lifting the confidentiality of correspondence for lesser offences as well. The Right and the MRF, however, continue to argue that including other offences in addition to the serious ones is unconstitutional."

* * *

Under the heading "170 Hospitals Consigned to History," "Sega" writes that half of the hospitals in Bulgaria will probably cease to exist before the end of this year. Twenty-one medical-treatment facilities did not qualify for a contract with the National Health Insurance Fund (NHIF) for 2010 and have no alternative source of financing. Another 158 concluded contracts for an average 48 per cent fewer clinical pathways, which calls their survival into question. One hundred and ninety hospitals are not threatened with extinction. The figures were reported by the NHIF now that contracting for 2010 is almost complete.

* * *

"Monitor" reports that by this summer at the latest, there will be a three-pillar health insurance model. National Assembly Health Committee Chairman Luchezar Ivanov said on Tuesday that during its summer session, the National Assembly will adopt the requisite revisions of the law to regulate the establishment of supplementary compulsory health insurance companies. At present health care is underfunded by nearly 2,500-3,000 million leva, the MP argued.

ECONOMY

"If there are companies which have planned a 10 per cent corruption tax and admit this, let them be so kind as to reduce the amount of their receivable," former finance minister Milen Velchev says in a "Troud" interview, commenting on a statement by Prime Minister Boyko Borissov that if the companies reduce the amounts due to them by the State by 10 per cent, they will get their money immediately. "But reducing them all to a common denominator and forcing them to operate at a loss is not only unfair, it is dishonest."

* * *

"The prices of electricity will vary with service quality," "Sega" reports. This is envisaged in a revision of the Ordinance on Pricing which will be approved by the State Energy and Water Regulatory Commission (SEWRC). SEWRC Chairman Angel Semerdjiev said he expects electricity prices to rise by up to 5 per cent as from July 1.

* * *

"Standart News" writes that bad loans continued to increase in December 2009, reaching a proportion of 10.60 per cent. For the frist time in Bulgaria, overdue housing loans have also surpassed the 10 per cent barrier. Non-performing loans have increased for all types of products. Corporate debts are overdue in 9.98 per cent of the cases, and consumer credit defaults stand at 12.25 per cent.

FOREIGN POLICY

"A war is going on Afghanistan - for you and for us," the newly appointed US Ambassador in Sofia James Warlick says in a "Troud" interview. "Our partnership is based on jointly addressing matters which are important for both countries. International peace and security are precisely such matters. They are as important for Bulgarians as they are for Americans. The threats we are facing in today's world are not just against the US, they are against everybody. That is why we are working together in places like Afghanistan. I expect this cooperation to be promoted during my ambassadorship here," Warlick adds.

* * *

"Borissov brings three things in his suitcase from Berlin," "24 Chassa" comments, referring to the PM's visit to Germany. "The confidence and support demonstrated on the part of Angela Merkel calls for a response on the part of Bulgaria. Germany appreciated what the new Government has done so far. Both Berlin and Europe, however, want to see more. Whatever assistance Borissov asked for, he was assured that what is possible will be done. For his part, he must do even the impossible on his tasks: getting Bulgaria back to the normal European family."

* * *

"Borissov Found His Match in Merkel," "Sega" comments. "If anybody has doubted that Borissov and GERB are to a certain extent a project of Merkel, there is no more room for hesitation. 'I can assure you that the new Bulgaria Government will work in such a way that you will not be ashamed of having backed us,' Borissov said, as if the German Chancellor had appointed him to the job. It emerged that the PM went to Germany together with half of his Cabinet not to hold any negotiations but to submit a summing-up. Borissov took along his closest aides to parade the people with whom he does the German bidding. What actually took place in Berlin was not negotiatons between two states but a review of the situation in Bulgaria. Merkel's promise to visit on October 12 is not a protocol courtesy but a deadline by which she expects to see something more significant."

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 27, 2010

· With 127 votes in favour, Bulgaria's Parliament approved on January 27 2010 the appointment of Nikolai Mladenov as the country's new Foreign Minister. Mladenov moves to the new post after having been Defence Minister. Parliament also approved the promotion of Mladenov's deputy at the Defence Ministry, Anyu Angelov, to Defence Minister.

· The roads in Greece are blocked in more than 25 places and there is a changeable schedule of the blockades. The losses Bulgaria has suffered up to now are estimated at over EUR 40 million. The associations of tax and customs officials have announced they are ready to stage a strike in February

Bulgarian press review, January 26, 2010

2010-01-26T09:11:00.001-08:00

Press Review
Sofia, January 26

FOREIGN POLICY

The press leads on the rocket attack on Afghanistan's Kandahar Airport in which three Bulgarian servicemen received severe injuries. "Bulgarian ranger is in coma after a Taliban attack in Afghanistan," writes "Novinar". "Troud" has an interview with outgoing Defence Minister Nickolay Mladenov where he provides details about the condition of the three servicemen.

***

"24 Chassa" quotes knowledgeable sources as saying that the presence of Defence Minister Mladenov in Kandahar provoked the attack. Security experts tell this paper that the outgoing defence minister and future Bulgarian foreign minister broke the basic safety rules. First, he gave publicity to his visit immediately after landing in Kabul. Second, he went on an unprecedented five-day visit while all his predecessors and counterparts of other countries which have troops there fly in the night, do their job during the day and fly back home in the evening. Third, it was too big a risk to stay at the Kandahar base, especially when it was too easy to figure out where he was headed after Kabul (to Kandahar, where Bulgaria has the biggest contingent).

***

Deputy Defence Minister Anyu Angelov tells "Standard News" that Mladenov's visit was kept a secret until the last momnent.

***

The Tuesday press provides coverage of the Berlin visit of Prime Minister Boyko Borissov. A sample of headlines: "Merkel Commends PM Borissov's European Policy" ("Troud"), "German Investment on Condition of Judicial Reforms" ("24 Chassa"), "Merkel Gives Support for Euro, Schengen" ("Telegraf").

***

The Bulgarian authorities have long been aware of the problems in the water sector and the latest letter by Dirk Ahner, the Director General at the Directorate General for Regional Policy in the European Commission, was only a reminder, this DG's Spokesman, Dennis Abbott, told "Dnevnik". The remark was prompted by Prime Minister Borissov's statement of Sunday that the previous government kept secret the letters it got from Brussels warning it of problems with the EU funding for the water sector. Abbot is quotes as saying that all facts in Ahner's letter are known as they have repeatedly been discussed at meetings of the new Bulgarian administration and Commission experts. A "Sega" analysis says that the hiden-the-letter game does not excuse Borissov's government and smears Bulgaria's image.

***

"Troud" carries an interview with Greek Ambassador Danae-Madeleine Koumanakou who says that the actions of the protesting Greek farmers are an expression of the democratic principles underlying the functioning of Greece and are not aimed against Bulgaria, which is a friendly neighbouring country. She said that the Greek government is urging dialogue with the protesters and wants to resolve the problems and see the blockade of the Bulgarian-Greek border lifted the soonest possible.

***

A front-page story in "Klassa" says that the losses the border blockade is causing Bulgarian businesses are snowballing and have likely crossed the 80 million leva mark.

***

The commission in charge of opening the secret files of the communist-era State Security service will run a check for Kristalina Georgieva, the Bulgarian EU Commissioner-designate, Interior Minister Tsvetan Tsvetanov said Monday. The check is aimed to dispell suspicions about her affiliation with the communist services and will be done with Georgieva's consent.

***

In "24 Chassa", Prime Minister Borissov explains his support for the application of former Deputy Prime Minister Meglena Plougchieva (in the Sergei Stanishev government) for a senior position at the EBRD, with his belief that Bulgarians holding high offices "will have one eye on Bulgaria". This is the Prime Minister's response to criticism that he shouldn't have supported a person who has been part of the previous government.

***

In a "Troud" interview, Swedish Ambassador Paul Beijer provides details on his country's plans to close down embassies and open new ones. The Swedish Embassy in Sofia will close on September 30. "In Sweden, like in Bulgaria, budgetary discipline is strictly observed and this involves difficult decisions," he says.The Sofia office of the Swedish Trade Council remains. An honorary consulate will be establish to deal with visa issues for non-Bulgarians.

JUSTICE AND HOME AFFAIRS

The cases of three ministers of the Stanishev government - Emilia Maslarova (Labour and Social Policy), Nikolai Tsonev (Defence) and Valeri Tsvetanov (Agriculture), are about to enter the trial phase, says "Troud". Sofia city prosecutor Nikolai Kokinov reportedly said that the malfeasance-in-office investigation against Maslarova will be completed in early February. He would not say whether or not she will be indicted but sources of the prosecuting magistracy are adamant that Maslarova broke the Public Procurement Act. Tsvetanov's case for unlawful land swaps will enter the court two weeks from now. The paper adds that the former head of the National Revenue Agency, Maria Mourgina, will be tried for four offences, including tax evasion.

***

In a "Troud" interview, Kokinov says that all members of the Naglite [Impudent] kidnapping group are facing trial. He says that 10 people have been arrested in this case and most of them are willing to cooperate, trying to downplay their own role in the ring and aggravate the situation of their mates.

THE HOME SCENE

"Douma" ("40 Years of Service for Pension"), "Dnevnik" ("Pensions' Dilemma: at 63 or 65 Years") and "Sega" ("Dramatic Increase of Required Length of Service for Pension") lead on contemplated changes in the pension system concerning the age of retirement and the amount of pensions. The changes were proposed by an advisory board on the pension reform and were made public Monday by Labour Minister Totyu Mladenov.

***

"Dnevnik" reports that the government is willing to allow an increase of the budget deficit to 1.7 per cent of the expected GDP. The extraordinary expenses will be for payment of outstanding liabilities to the private sector.

***

The next six months will be decisive for making tangible the effect from EU funding, Centre for Economic Development head Georgi Prohaski says in a "Klassa" interview. He does not expects problems with achieving the revenue target in the national budget and even sees a likelyhood of surplus.

***

The real estate market is faced with a new collapse because of mortgaged homes: 37 per cent of home sellers experienced financial problems last year, "Klassa" says on its front page. The market could be flooded by offers of bank-owned homes and this will push prices further down and cause a collapse in the real estate business, says Tsevtelina Tasseva, CEO of the real estate broker Address. Experts say that an increasing number of banks are considering the establishment of own home brokerage units to sell mortgaged homes.

***

"Troud" reports that 231 schools in Northern and Eastern Bulgaria will be closed for cold days. The temperatures reached record-setting lows in eight towns. It was worst in Glavinitsa in Northeastern Bulgaria which had minus 29 C (down from the previous record of minus 26 C in 1982).

***

In a side effect of the cold spell, traffic police no longer use batons to stop cars for inspection: they stop them by using the lights and siren of the patrol car - and stay inside the patrol car, "24 Chassa" reports. That has been allowed by the law for many years now but is being put into practice only recently as temperatures plemmetted below zero.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 26, 2010

· Bulgarian Defense Minister Nikolay Mladenov has called Taliban claims that the rocket attack on the NATO Air Base in Kandahar was targeted personally at him “absurd”. The three injured Bulgarian troops have not been transported to the military hospital in Landstuhl in Germany yet. It is still not clear when that will happen. The forth injured - Sergent Aleksandrov, who is said to be in the worst condition, is stable, but still on life support.

· Bulgaria's Transport Ministry has advised Bulgarian citizens not to undertake travels to Greece as the protests by Greek farmers against falling subsidies entered into a second week and their stand toughened. At 11:00 p.m. the Greek farmers again blocked Promachonas checkpoint and no trucks are allowed to cross the border at Kulata checkpoint. Cars and buses can cross it freely. There is no information when the blockade will be lifted.

· Bulgaria's new centre-right government will launch a procedure for new private investors for its majority stake in the planned Belene nuclear power plant by the end of the year. There was reportedly renewed interest by big German energy companies to participate in Bulgarian projects. Representatives of these companies were to start negotiations in Sofia next week.

Bulgarian press review, January 25, 2010

2010-01-25T04:28:00.000-08:00

Press Review
Sofia, January 25

THE HOME SCENE

"24 Chassa" carries an interview with Prime Minister Boyko Borissov, in which he names the Movement for Rights and Freedoms (MRF) as GERB's main political opponent. Borissov says that unlike other loud political formations, the MRF are acting on the sly, in a European manner. The MRF backs GERB's good intentions in Parliament and no one could accuse them of sabotaging the state. The Prime Minister also says that they are very careful to conceal any involvement in any spots of tension in the country. Media, related to the MRF, have gone soft on the government. Dogan knows that every one of his political allies in the past 20 years has failed spectacularly, Borissov recalls. The Prime Minister is categorical that his government will be in power as long as it manages to govern alone. An hour after this becomes impossible, Borissov vows to hand in his resignation. Bargains with other parliamentary groups in a vote of no-confidence scenario, will mean that the GERB cause has failed.

***

In a "Troud" interview, MRF deputy leader Lyutvi Mestan forecasts that the era of GERB will be succeeded by the era of entrepreneurship. The idea of the messiah in politics is dying out and it will be replaced by pragmatism. The groundwork is laid for new political projects. Mestan argues that the entrepreneurship is the counterpoint of the messiah, where the mindset is that man is self-sufficient and the state is only his partner.

***

Interviewed by "Sega", political analyst Vladimir Shopov says that the Jeleva lesson shows that GERB power has its limits. According to him, the failure of Jeleva's nomination may be rooted in GERB's sense of infallibility as a party that always wins elections and beats everyone. To some extent, this sense has reflected on GERB's self-perception as a force on the foreign political scene. The excessive attention by the European People's Party and the serious investments in GERB as a political project have contributed to the conviction that purely political support is enough for the success of Jeleva's nomination.

***

In an analysis "Monitor" writes that Kristalina Georgieva's nomination has shown Prime Minister Boyko Borissov's swift reaction. The attacks against the Bulgarian Commissioner-designate, Jeleva's withdrawal from the post and Georgieva's nomination have reduced the risk of an open political confrontation in the European Parliament.

***

In a interview for "24 Chassa", Justice Minister Margarita Popova says that now it is victims, and not offenders, who are suffering at the hands of justice. Popova says that revisions to the Penal Code aim to speed up high-profile cases.The changes envisage a back-up defence lawyer in the pre-trial and trial phase.The Justice Minister also notes that under the Penal Code police officers are not trusted as witness and that a decisive reform is called for to change the existing rules.

***

"Troud" headlines "GERB Loses Blue Coalition's Support, If It Touches Gambling." In an interview Sunday on the Bulgarian National Radio, Blue Coalition co-leader Ivan Kostov warned the government that his coalition would withdraw its support if the cabinet changes the gambling tax in favour of businessman Vassil Bozhkov. Kostov explained that his concern stemmed from rumours spreading in Parliament that gambling laws would be changed. Kostov also said that the Blue Coalition approves of the cabinet reshuffle, although it had not been consulted by GERB.

***

"Troud" reports that MP Mihail Mikov of the Bulgarian Socialist Party called for the resignation of the Health Minister on the Bulgarian National Radio on Sunday. Mikov had been shocked at the Minister's remark that hospitals that are about to be closed under the plans of his Ministry "are sowing death." Mikov also raised the question of what would happen with the equipment of the shut hospitals. According to Mikov, the reserve of 1.5 billion leva of the National Health Insurance Fund should be unblocked. Mikov said that it had not been accrued to prop up the fiscal reserve.

***

In an interview for "24 Chassa", Bulgarian Academy of Sciences President Nikola Subotinov says that scientific fields that are making headway will not fall victim to the structural reform at the academy. Subotinov launches the idea of a research university under the academy, which will make full use of the academy facilities (nuclear reactor, research vessel, observatory, laboratories, museums) and staff capabilities without transferring research activities to universities.

***

"Sega" informs of the casualties and chaos, caused by the cold weather. The country has been in a snowy grip since the middle of the week. The cold has claimed five lives. Dozens of vehicles have been abandoned and a number of places have been left with no electricity, water or food. Northeastern Bulgaria was impassable because of drifts.

ECONOMY

In a "24 Chassa" analysis, President's aide and former deputy finance minister Kiril Ananiev lists seven upsides to a sensible 2 per cent deficit, which will be working towards concrete objectives: to support the business mostly through covering back payments for work done; to stimulate demand; to update the minimum wage and pay in the public sector; to provide a push for the key budget reforms and to sustain investment in major infrastructure projects.

***

"Troud" writes that the crisis has destroyed 1,500 construction companies. Big companies are experiencing difficulties, while middle and small-sized companies are going bankrupt. The number of construction businesses in operation has plunged from 5,700 to 4,100-4,200, according to Regional Development Minister Rosen Plevneliev in a radio interview. In his words, this is the price Bulgaria is paying for the easy money that had gone to people's heads.

***

"Troud" writes that Bulgaria runs the risk of losing at least 15 to 20 per cent of the EU funds for environment, after the Stanishev cabinet concealed four important letters from the European Commission. Prime Minister Boyko Borissov told a news conference that the European Commission had told the government to put an end to the schemes for money siphoning. In return, the government officials concealed all correspondence with the European Commission on the OP Environment and ISPA. Borissov said this was a sabotage and vowed to punish those responsible.
Former environment minister Djevdet Chakurov denied any concealed correspondnece between his ministry and the EC during his tenure.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 25, 2010

· A Taliban rocket attack hit the Kandahar NATO Air Base late Sunday night during the visit of the Bulgarian Defense Minister, Nikolay Mladenov, there. US Ambassador to Bulgaria James Warlick has extended his sympathies to the families of the four Bulgarian soldiers who were injured in the attack.

· Two kilometer TIR line is formed along Kulata checkpoint on the Bulgarian side of the border with Greece. The line along the Promachonas checkpoint is almost double. Cars, mini buses and buses are allowed using the border. Bulgarian Red Cross (BRC) will inform its head office, located in Geneva, about the crisis condition along border checkpoints on Bulgarian-Greek border. The volunteers will help 250 people, who are waiting for hours along the checkpoint the Greek farmers to lift the blockage.

Bulgarian press review, January 20, 2010

2010-01-20T06:49:00.000-08:00

Press Review
Sofia, January 20

BULGARIA – EU

Most newspapers lead with the news that the new Bulgarian candidate for European commissioner is Kristalina Georgieva, currently Vice-President of the World Bank. Prime Minister Boyko Borissov has informed European Commission President Jose Manuel Barroso about his intention to suggest Georgieva as member of the EC. Commenting on Rumiana Jeleva's withdrawal as Commissioner-designate, Barroso said he "fully respected" her "personal decision."

* * *

Although Borissov did not accept Jeleva's resignation as foreign minister, too, "Troud" writes there are speculations about her possible successor. The candidates include Deputy Foreign Minister Marin Raikov; the Bulgarian ambassador to the European Union in Brussels, Boyko Kotsev; the former ambassador to the United Nations, Stefan Tafrov; the new deputy foreign minister, Konstantin Dimitrov (affiliated to the Democrats for Strong Bulgaria).

* * *

According to "Sega," by staying in the cabinet Jeleva is in breach of the principles of at least two statutory acts - on administration and on the prevention of conflict of interest, because she has not ended her participation in the management of the company ETKO Schneiders.

* * *

"A strong candidature in Jeleva's place," "Novinar" says in a subtitle on the topic. "Klassa" quotes Georgieva as saying: "It is difficult, but we will manage it." "Klassa" publishes Georgieva's profile under the headline "All Is Work."

* * *

Commenting on the EC portfolio she would get, Georgieva says, as quoted in "Troud," that it has themes in it that are close to what she is in charge of at the World Bank. In her words, her experience at the mega-bank will help for her successful presentation at the hearing in the European Parliament.

* * *

"Standart News" discusses Georgieva's nomination under the headline "European Commissioner from America."

* * *

"24 Chassa" observes that Borissov has suggested his "strongest possible player." Georgieva has huge experience on the world scene, she knows the hot spots in the world, has been in very dangerous situations and knows how to react to particular problems, the daily says. Her experience at the World Bank is just another advantage. Brussels can now be relieved that Bulgaria is going to name an elite player forgetting any party biases.

In "Standart News" Borislav Borislavov, Rector of the University of National and World economics, describes Georgieva as an excellent specialist; Stoyan Aleksandrov of the same university, who is former finance minister, says she is an "unshakable authority."

* * *

Political scientist Andrei Raichev observes in "Troud" that Borissov is Bulgaria's first prime minister who knows how to "go into reverse gear" and still have complete control of the power.

* * *

The press reports that Borissov has sent a letter to the EC President Barroso insisting that urgent measures be taken to end the blockade of the Bulgarian-Greek border that prevents the free movement of goods and people. Bulgarian economy will suffer a loss of at least 10 million euro as a result of the blockade on the Greek side of the border, "Standart News" notes.

* * *

Bulgaria wants 10 million euro in compensation for the border blockade, "Ataka" says.

* * *

"Douma" says tourism in Sandanski, Bansko and the entire surrounding area has collapsed totally due to the blockade.

HOME SCENE

"Telegraf" runs an interview with Health Minister Bozhidar Nanev who says that his Ministry plans the opening of 100 emergency rooms. A doctor on 12-hour emergency duty will be paid between 60 and 100 leva (about 30-50 euro).

* * *

"The State Agency for National Security (SANS) is examining my papers to find out if my visit to the US in November 2009 involved a conflict of interest. Should they find there is something irregular about it, I am prepared to resign," "24 Chassa" quotes Health Minister Nanev as saying on Kanal 3 TV. Talking to "24 Chassa," however, Nanev said he had in mind taking on responsibility and not resigning. In November the US-based company Osteotech, Inc. paid the flight fare and hotel accommodation of a group of Bulgarians invited to the US by the Euro-Atlantic Fund (EAF) and the Americans of Bulgarian Descent Federation. The delegation included Nanev, Transplants Executive Agency Director Teodora Djaleva and EAF member Roumen Hichev. Hichev is vice president of Osteotech's daughter company Osteocenter Bulgaria, which exports tissue from corpse donors and imports allografts for the US-based company.

* * *

A new approach to the reform of the Bulgarian Academy of Sciences envisages to merge its institutes with universities concerned with similar scientific fields, Education and Science Minister Sergei Ignatov says in "Monitor." The first step to the merger would be the conclusion of framework agreements.

Some 15,000 permanent jobs in tourism have been lost in a year, "Douma" quotes Bulgarian Tourist Chamber Chairman Tsvetan Tonchev as saying. In 2008, nearly 110,000 people were permanently employed in the tourism industry. During the same period, the seasonal workers decreased by 30,000 from nearly 180,000 before.Branch organization surveys show that the volume of work in tourism has not decreased, but prices are falling, "Douma" observes.

* * *

The retirement age in Bulgaria will become 65 years for both men and women but people would have a chance to retire earlier - at 60 for women and at 63 for men, former deputy prime minister and social minister Lidia Shouleva, currently a member of the Consultative Council on Pension Reform, says in "24 Chassa." However, those who retire earlier will get smaller pensions.

* * *

"Pari" quotes Plamen Bonev, Chairman of the Supervisory Board of Radomir Metal Industries, as saying that Bulgaria's industry has been ruined by the thefts of energy monopolists who, with the consent of politicians, poured money into the Treasury, as well as in party funds.The newspaper carries an interview with Manuel Rivera, President of the Bulgarian-Catalonian Chamber of Commerce, who says that small businesses in Spain are looking for Bulgarian partners.

* * *

In a small country such as Bulgaria it is possible to limit the influence of organized crime because, except for the biggest cities, which are three or four, in all towns the locals know who belong to the underworld and what they do, "Tihomir Bezlov of the Centre for the Study of Democracy writes in "24 Chassa." In his words, it will take time to see a new generation uninvolved in the criminal redistribution of national wealth. This is the optimistic scenario, he notes. According to the pessimistic one, Bulgaria may remain in the periphery of the EU ridden by organized crime just like Southern Europe. Quoting Interior Minister Tsvetan Tsvetanov, Bezlov writes that "250-300
emblematic figures of the criminal world are harassing this country" and observes that there is a 70,000 strong army of policemen, prosecutors, investigators and SANS agents to counter them. He says further on that 14 years ago the then interior minister, Lyubomir Nachev, put the number of "bandits" at 2,315; in 2001 General Vassil Vassilev, who then headed the National Police Service Directorate, said they were 2,787; and ex-interior minister Roumen Petkov (2005-2008), put them at several hundred. Bezlov says that now an attempt is made to make an assessment of the really active and risky criminal structures.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 20, 2010

· Boyko Borisov’s government will have two new ministers. Bulgaria’s current Defense Minister, Nikolay Mladenov, is going to become the new Bulgarian Foreign Minister replacing Rumiana Jeleva, and his deputy Anyu Angelov takes over the post of Defense minister. The reshuffle of the cabinet of Prime Minister Boyko Borisov has to be confirmed by the Parliament before it takes effect.

· The Vice President of the World Bank, Kristalina Georgieva, has been approved by the Bulgarian government to be Bulgaria’s new EU Commissioner-Designate.
· At 11:00 a.m. Greek farmers again blocked Ilinden-Exohi checkpoint for all vehicles. Kulata checkpoint is closed for a second day due to the blockade at Promahonas checkpoint. 192 vehicles are waiting on the Bulgarian side of the checkpoint, with 185 of them being TIR trucks.

Bulgarian press review, January 19, 2010

2010-01-19T05:24:00.001-08:00

Press Review
Sofia, January 19(BTA)

THE HOME SCENE

"Troud" leads with the Monday meeting of Prime Minister Boyko Borissov and the leadership of the Interior Ministry, the prosecuting magistracy and the State Agency for National Security (SANS), on the efforts against organized crime groups in Bulgaria. The story quotes the Prime Minister as saying that there are 250-300 people who harass Bulgaria and 70,000 policemen, investigators, prosecutors and SANS agents are trying to crush them. It also highlights the words of Interior Minister Tsvetan Tsvetanov who said that no adequate action was taken against these 250-300 major crime figures in the past, and that this situation will change now. Prosecutor General Boris Velchev reportedly said that they get full cooperation from the Interior Ministry and SANS and have a strong will to do away with organized crime in Bulgaria.

***

"Troud" reports that MP Hristo Bisserov (Movement for Rights and Freedoms) has put forward amendments to the Electronic Communications Act whereby Internet and phone operators will charge the law-enforcing services a fee for the printouts with their clients' communications. The idea of introducing a fee cropped up during a public debate last week when mobile phone operators complained that no other European country has a deadline of 2 hours within which cell phone providers are required to produce a printout of a user's phone calls upon the law-enforcers' request. The minimum required time for this is between 3 and 5 workdays, they said.

***

"Sega" runs a commentary ("Unions to Burn Down in the Flames of the Riot") on the situation in the railway sector and says that last week's protest of railway workers was spontaneous and took by surprise the trade union headquarters. The author believes that civil society in Bulgaria is changing its structure and official trade unions are losing their meaning. "Authentic leaders stand out and self-organizing communities come into being. Official structures go gradually down." The author goes on to comment that this is a sad conclusion because workers need reliable protection and employers need experienced mediators in resolving labour disputes.

***

In a "Troud" interview, Bulgarian Academy of Sciences (BAS) President Nikola Subotinov says that the number of institutes with the Academy will be halved and the whole Academy will have a new structure. Decisions on whether to keep or lose institutes will be based on an international evaluation, the number of researchers capable of valuable research work, and the needs of society. The goal is to shed redundant administration, streamline the coordination procedures and improve the economic efficiency of research, the BAS President says.

***

A story in "Standard News" ("Phantoms in the Hospitals") says that hospitals facing closure are offering up to 3,000 leva under the table to medics to sign a contract with them only to secure the requisite number of medical specialists without actually using their services - or else get imminent closure and bankruptcy. The alarm for this new trick was sounded by the director of the municipal hospital in the Northern town of Byala Slatina.

In a "Monitor" interview, Dr Stoyan Alexandrov of the Health Ministry says that the restructuring of hospital services will help improve conditions for patients. He says that by January 20 it will be clear which hospitals will stay and which will be restructured - because they wonТt be shut down but will be transformed into facilities for follow-up treatment or hospices.

ECONOMY

Money invested in Bulgaria in 2009 totalled 2.6 billion euro, "Troud" writes quoting the head of InvestBulgaria Agency, Stoyan Stalev ("EUR2.6Bln Despite the Crisis"). Stalev used central bank premilinary figures. The like figure in 2008 was 6 billion euro. Bulgarians living and working abroad contributed over 2 billion leva last year, which is 38 per cent of the reported total investment. Indeed, last year's investment was smaller than before but even that was good, considering the circumstances, Stalev commented.

***

Another front-page story in this paper says that Bulgarians will have the freedom to choose when to retire instead of having to follow mandatory retirement age rules - if an idea which is being considered by an advisory board on pension reform is pushed through. The idea is to set an extended period of time (between the age of 60 and 65, or 63 and 65, for example) during which people can choose to retire or continue to work. It will make it easier for them to accept the change and will make them take the best decision about when to retire, the paper says quoting experts from the advisory board.

***

"Sega" reports estimates by the Bulgarian Industrial Association (BIA) that one in five Bulgarians will be out of job in 2010 and that real unemeployment will go up to 19-20 per cent. This is much higher than the government's forecast of 13.7 per cent of unemployed people this year. BIA says that this level was reached in late 2009 when 530,000 - 540,000 people were jobless. The Employment Agency reported 9.13 per cent unemployment in December which means that 338,000 Bulgarians were out of job at the time.

BULGARIA - EU

Most papers have updates on the procedure for the approval of EU Commissioner-designate Rumiana Jeleva by the European Parliament. "Brussels Concludes than Jeleva Is Clean" is a headline in "Standard News" which cites an opinion by the EP Legal Service quoted by Deutsche Welle Monday evening. According to this paper, this opinion ended the dispute over the Bulgarian commissioner-designate.

***

"Troud" says that the battle is "to at least save Jeleva's honour". Joseph Daul of the European People's Party Monday against called upon those who had questioned Jeleva's integrity, to appologize to her. "Many saw in his persistence an attempt to save Jeleva's honour and that of the EPP, in case they are unable to push through her designation. Everybody but her own party is against the Bulgarian [candidate] and she seems to stand in the way of Barroso Commission 2 to getting the majority they need for their approval," writes the "Troud" correspondent in Brussels.

***

In "24 Chassa", Justice Minister Margarita Popova says one shouldnТt go as far as finding fault with the Bulgarian legislation in his wish to say how strongly he dislikes a particular EU Commissioner-designate. It was Popova's comment to criticism by Bulgarian lawyers against a legal opinion by her Ministry which said that Jeleva broke no law with her declarations of financial interests. The Justice Minister further said that it makes sense to consider revisions to the law on the election of Bulgarian representatives to the EU and introduce the same rules for MEPs as those that apply for MPs. "But until then the restriction in the parliamentary rules of procedure which does not allow MPs to participate in companies, does not apply to MEPs," popova says.

***

"Sega" reports that Bulgaria is no longer the poorest EU nation. Latvia has the largest proportion of its population (26 per cent) threatened by poverty. Next is Romania with 23 per cent and only then comes Bulgaria with 21 per cent, according to Eurostat. The Czech Republic and Slovakia have the fewest poor (9 per cent and 11 per cent, respectively).

FOREIGN POLICY

"Sega" says that Bulgaria "tried to lift the Greek blockade with quiet diplomacy" but didnТt succeed. This emerged Monday when some of the checkpoints on the Bulgarian-Greek border remained sealed by protesting Greek farmers. Bulgarian Foreign Ministry spokesman Dragovest Goranov says (on Bulgarian National Radio), "Our country has not received an official reply from the Greek authorities further to our expression of concern over the blocked border. We will first take the matter to the European Commission but at this stage we are trying to find other opportunities for a political agreement with the Greek government."

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 19, 2010

· Bulgarian commissioner-designate Rumiana Jeleva has withdrawn her candidature and has resigned as foreign minister after pressure for her removal mounted both on the European and home front. Prime Minister Borisov received a letter from Zheleva, in which she wants to withdraw her candidacy as EU Commission and as Minister of Foreign Affairs of the Republic of Bulgaria. Bulgarian Prime Minister has refused to accept the resignation of Rumiana Jeleva as foreign minister. Sofia plans to send Kristalina Georgieva, currently a vice-president of the World Bank, as its replacement candidate. Commission President Jose Manuel Barroso also "took note" of Jeleva's decision and welcomed the "swift reaction of the Bulgarian government to this situation."

· Bulgarian Prime Minister, Boyko Borisov, has requested EUR 10 M from the European Union for the ongoing blockade of the Bulgaria-Greek border by Greek farmers. He have sent a letter to the President of the European Commission Jose Barroso, seizing the Commission over violation of Articles 30-36 of the Treaty Establishing the European Community and Regulation 2679/98. Regarding to this Prime Minister insist on the European Commission to undertake urgent measures. Borisov said categorically that he wanted the border to be unblocked and that Bulgaria should not be punished for problems inside another EU country.

Bulgarian press review, January 18, 2010

2010-01-18T10:19:00.001-08:00

Press Review
Sofia, January 18(BTA)

FOREIGN POLICY

The opinion of the legal department of the European Parliament, to be made public officially today, will refute allegations that Bulgarian Commissioner-designate Rumiana Jeleva was involved in a conflict of interest while being an MEP in Strasbourg, Andrei Kovachev MEP of GERB told "Monitor."

* * *

The item which "Troud" devotes to the Bulgarian commisisoner-designate is headlined "Last Battle for Jeleva." Bulgaria has been maligned in Brussels by political stooges, political scientist Ognyan Minchev writes in "Troud." "If Jeleva lied, even unknowingly, that she is not involved in a conflict of interest between her status as MEP and her past as a business woman, her candidature should have been withdrawn immediately. This should have been done timely, with dignity and by respecting the rules that apply to all. Not through malicious reports made by Bulgarian MEPs who owe their career to notorious gangsters and who managed to make it to the European Parliament because they bought votes. And not through Positano's intrigues and lobbying." [The headquarters of the Bulgarian Socialist Party (BSP) is in Positano Street, Sofia.]. In Minchev's view, if the political enemies of Irina Bokova and Meglena Kouneva had thrown "even one-tenth of the mud which the Social Liberal coalition used to besmear Jeleva's public image," their success in UNESCO and the European Commission would have been "problematic and scandalously disgracing." "Bulgaria has no other chance for success but by mobilizing its most competent and dignified citizens to represent it."

* * *

The BSP attacks on Jeleva are political revanchism, sociologist Antonii Gulubov notes in "Monitor." In his opinion, the change of the government has removed the umbrella covering organized crime. Svetoslav Terziev writes in "Sega" that Europe does not like Prime Minister Boyko Borissov any more. "Being focused on the Rumiana Jeleva show, we failed to notice that Brussels deprived us of 2,000 million euro," the subtitle of the item reads.

* * *

The European Commission has approved the allocation of 116 million leva in state aid to Bulgarian tobacco growers in 2010, the press reports quoting Agriculture Minister Miroslav Naydenov. A letter was received from Director-General Jean-Luc Demarty, who heads the European Commission's Directorate-General for Agriculture and Rural Development, which says that Bulgaria's arguments that the aid for tobacco producers is part of an already existing and approved scheme, included in Bulgaria's Europe Agreement, were accepted.

* * *

"Agca Released, We Should Sue Him for Libel," Georgi Milkov suggests in "24 Chassa." The slanderous allegations made by Ali Agca, a proven terrorist and killer, caused harm to innocent Bulgarians and their families, to the entire Bulgarian state, he says. "Some may say there is no legal ground for his trial. Or that quite a long time has passed since then. But I think a claim cannot become void by prescription when the question is about justice and retribution."

HOME SCENE

"Instead of a moratorium, we could introduce sticter requirements for projects involving renewable energy sources," Environment Minister Nona Karadjova says in an interview given to "Dnevnik."

* * *

"We have collected 228 million leva more than we did in 2009 and over 600 million leva more than expected," National Revenue Agency Executive Director Krassimir Stefanov says in an interview for "Troud." "I expect the public to help us remove corrupted employees from the system; members of the public may call telephone number 070018700 for alerts," he says. The interview is headlined "Football Players' Pay Comes to Light."

* * *

"Why should I step down, given that the BSP and its partners achieved Bulgaria's accession to the EU," Socialist leader and ex-prime minister Sergei Stanishev asks in an interview given to "24 Chassa." He describes the four-year term of his cabinet as the most successful time for Bulgarian economy during the transition when the highest rise in living standards was achieved. Stanishev says that the BSP should be made a leading political force by the local and presidential elections to be held in 2011. Commenting on the incumbent government, he says that Prime Minister Boyko Borissov seems willing to introduce an authoritarian rule and that a feeling of non-freedom is emerging again, starting with the media and ending with the serious pressure put on the business.

* * *

"Douma" and "Zemya" quote Stanishev as saying that the executive government owes huge amounts of money to various municipalities for infrastructure projects and that the money is withheld on purpose so that Finance Minister Simeon Djankov could report Bulgaria has the smallest budget deficit.

* * *

Transport Minister Aleksandar Tsvetkov says in "24 Chassa" that new revisions to the Road Traffic Act will introduce ceiling prices taxi drivers could ask envisaging harsh fines for non-compliance. The minister, who sponsored the revisions, says that there are taxi drivers requesting unexplainably expensive fares; there are 300-350 such drivers in Sofia alone. The fare ceilings will be fixed by municipalities.

* * *

The National Union of Driving Instructors proposes that the legal driving age be set at 16 years for driving a motor car, "Troud" reports. This is the practice in the US and some EU countries, Union President Milena Todorova says. Young people would get a provisional driving licence entitling them to drive under the supervision of a full licence holder. It is also suggested to drop education requirements for driving licence applicants; now they are required to have at least primary education.

* * *

In 2009, there was a drop of 22 per cent year-on-year in the average amount of loans up to 36,260 euro (46,800 euro in 2008), shows the annual report of CreditCentre quoted by "Klassa." The reasons include sluggish economic activity in the first half of 2009, declining real estate prices and shrinkage of the portion of financing the banks were prepared to provide. Experts expect that in 2010 loans will increase by 20-25 per cent and that there will be a gradual downward trend in interest rates. A trial census of Bulgaria's population will be taken in the first two weeks of September 2010; the actual census will commence on March 1, 2011, National Statistical Institute Chairperson Mariana Kotseva says in "Telegraf." In 2011, a census of the population will be taken in 27 EU countries at one and the same time.

JUSTICE AND HOME AFFAIRS

The Sofia City Court did not find evidence proving that Krassimir Marinov (aka The Big Marguin) was running a criminal drug operation, "Novinar" reports. Marinov was released by the court for a second time in the past few days. He was detained on charges of starting and running an organized crime group involved in drug distribution. Three days ago he was released for lack of evidence to substantiate another charge - ordering the assassination of journalist Boby Tsankov. "The Big Marguin: Prosecution Put on Big Trial," "Dnevnik" says in the subtitle of its item on the topic.

* * *

Little Tiger and Sniffer are the new helpers of smugglers bringing cigarettes from Macedonia to Bulgaria,"Standart News" writes. They are two customs officers clearing trucks that carried illegal cigarettes at the Gueshevo checkpoint (on the border with Macedonia), sources in the state security machine told the newspaper. Allegedly, there are seven big smugglers of cigarettes into Bulgaria.

* * *

"We have instituted over 100 pre-trial proceedings for misuse of European funds," Sofia CityDeputy Prosecutor Bozhidar Djambazov says in "Klassa." "We are keeping in mtough with OLAF and discuss various cases every week with them," he says.

* * *

Crime agents have found that some elite disco clubs in Sofia make moonshine alcohol, "Telegraf" says.

CULTURE AND EDUCATION

The public sees the modernization of schools as a key priority for improving secondary education, show the results of a national representative survey conducted by BBSS Gallup International which are published in "Klassa." According to 36 per cent of respondents, upgrading and extending school sports facilities is an important priority. One in five respondents said schools should be equipped with a sufficient number of computers and provided with access to the Internet.

* * *

"Political economics returns as a subject to the University of National and World Economics," Rector Borislav Borislavov says in "Standart News. Besides Marx, students will study John Keynes, too.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 18, 2010

· Protesting Greek farmers are set to block the Bulgarian border for ten days from today as they rally against unpaid subsidies and low prices for their production. There is no information how long the protests will continue. Bulgarian authorities will hold a meeting along Kulata-Promahonas border checkpoint with the strike committee of the Greek farmers to set a passing regime and to receive information about the duration of the blockage.

· Krassimir Marinov - "The Big Margin", was set free on January 17 2010 after the Sofia City Court released him on bail, rejecting the prosecution's third attempt to keep the alleged crime boss behind bars. This was the second time in four days that the court released Marinov on bail, after on January 14 the Sofia Court of Appeals found no evidence to support prosecutors' claims that Marinov and his brother Nikolai "The Little Margin" Marinov had plotted the murder of former radio host Bobbi Tsankov.

Bulgarian press review, January 15, 2010

2010-01-15T07:47:00.001-08:00

Press Review
Sofia, January 15 (BTA)

BULGARIA-EU

The developments involving Bulgaria's candidate for European Commissioner Rumiana Jeleva continue to be one of the most commented news items in the newspapers. "Troud" quotes Prime Minister Boyko Borissov that if Jeleva did something wrong in her application documents and hearing, he will withdraw her candidacy. Borissov is also quoted as saying that many other candidate commissioners did not make a good presentation in Brussels on account of "the tension they were put under". Borissov argued that already before the hearing in the European Parliament Jeleva has been made the target of attacks which tried to confuse and unsettle her. The Prime Minister said also that he will wait until Monday to hear the opinions of the legal experts about whether there is conflict of interest in Jeleva's candidacy and will decide what to do only then. He once again stressed that he had talked with important people in Brussels and that for the time being, the European People's Party firmly supports Jeleva.

* * *
"24 Chassa" highlights the reactions against Jeleva of the Group of the Progressive Alliance of Socialists and Democrats in the European Parliament and their insistence before European Commission President Jose Manuel Barroso to replace her. The newspaper says that a common front has been formed of Socialists and Liberals against Jeleva.

* * *
In a comment capped, "Bulgaria Should Snap at Brussels," "24 Chassa" says that it is true that Borissov could have found a more appropriate candidate as it would have been a bit too much for Jeleva to become a member of the European Parliament, Bulgarian Foreign Minister and European Commissioner in just a year. It is also true that Jeleva did not make a good performance at the hearing and started a pathetic dispute with Antonia Purvanova, another Bulgarian MEP. However, despite all shortcomings, Borissov should not give in as the question for Jeleva's approval as European Commissioner is a matter of national sovereignty; she has been selected by the lawfully elected Government of Bulgaria, says the author of the comment.

* * *
"Monitor" quotes Deputy Foreign Minister Marin Raikov as saying that information about a planned attack against Jeleva's candidacy had been known back in November 2009. Raikov said that the plot against her is a revenge of the political forces in Bulgaria who lost the democratic race at the July general elections and are now looking for retribution in the European Parliament.

* * *
Bulgarian MEP Dimiter Stoyanov tells "Telegraph" that the Bulgarian Socialist Party (BSP) and the National Movement for Surge and Stability (NMSS) are revenging for outgoing Bulgarian European Commissioner Meglena Kuneva, whom the two formations had tried to put forward for a second term in the European Commission. The proposal was flatly rejected by Borissov, which, according to Stoyanov, prompted the revenge of BSP and NMSS. The overall effect was anti-Bulgarian, says he, adding that the biggest thing that can "kill" one's image is not whether the person is a professional or not but the fact that his or her own fellow countrymen take part in a campaign against him/her.
"Dnevnik" runs an interview with David Rennie, EU correspondent of "The Economist", who says that Jeleva's hearing was a court of that Bulgaria which Brussels does not like. Rennie says that if Borissov refuses to withdraw her candidacy, it will be difficult for Barroso to say he does not want her. According to Rennie, the aim of the Liberals and the Greens in the European Parliament was to "unclog" the battle between the European People's Party and the socialist, and not to wage an attack against Jeleva.

* * *
"Troud" argues that at least five scenarios are now possible about Jeleva's candidacy. The first is for her to "survive". This could only happen with a political deal between the European People's Party, the biggest in the European Parliament, and the other groups. The second option is for Jeleva to have a different portfolio, which, according to knowledgeable sources is only possible in theory. The third scenario is for her to decide to resign on her own free will. The fourth option is for Borissov to come up with another candidate. The fifth, and most painful, scenario according to "Troud" is for the committees who heard Jeleva to give a negative mark which will be sent to the President of the European Parliament and the floor leaders who will then start "bargaining". Another possible scenario, according to the daily, is for Borissov to withdraw immediately Jeleva's candidacy or to wait until Monday to see if she "passes". If she does not, the Prime Minister will have to think about both a new foreign minister and a new candidate.

THE HOME SCENE

"It is not fair to explain everything with the MRF [Movement for Rights and Freedoms]," former Prime Minister Filip Dimitrov says in an interview to "Troud" daily. He regards claims that the MRF is the worst and most corrupted party as unsubstantiated. Dimitrov says further that assigning such an important role to a party would turn it into a target for attacks, to the detriment of those Muslims and Turks who are not members of the MRF. According to Dimitrov it is inappropriate and short-sighted to flash any kind of veto against Turkey. Filipov claims that an end should be put to anti-Turkish rhetoric, used by most parties to attract votes at the last elections.

* * *
"Sega" says in a headline that citizens' protests "sobered up" the incumbents in their plans for planned revisions of the Electronic Communications Act, which provide for direct access of the Interior Ministry to Bulgarian citizens' Internet and mobile phone communications. The protest rally was held under the slogan "Bulgaria Is Not Big Brother, 2010 Is Not 1984".

* * *
After a public discussion, it emerged that GERB will make new concessions before the second reading debate of the proposed amendments. According to the latest drafts, Internet and mobile phone operators have to retain for one year traffic data and submit such data to the Interior Ministry within two hours after being requested.

* * *
"Troud" frontpages the news that 150 of over 350 hospital across Bulgaria will be closed, quoting Bulgarian Medical Association Head Tsvetan Raichinov who dismisses previous reports that the number of closed hospitals will be 100 only. The reason behind this move are the new requirements imposed by the National Health Insurance Fund on hospitals, under which all medical institutions must provide round-the-clock emergency coverage.
In a comment "Sega" writes that all citizens who do not use their rights will be punished. Under a proposal by National Assembly Deputy Chair and head of the parliamentary Health Care Committee Luchezar Ivanov, all citizens who pay health insurance contributions are obliged to travel to the EU using their European Health Insurance Card which entitles them to free emergency help. The proposal transforms into an obligation a right laid down in the Health Insurance Act, thus creating a "legal absurdity". To pay or not to pay for medical treatment is a matter of choice, the author writes. What is more important is that stupidity, insanity and lobbyism are equally harmful and should remain outside the walls of Parliament, the author says.

* * *
In a headline "Troud" informs that the Sofia Appellate Court has released Krassimir Marinov, aka The Big Marguin, for lack of evidence proving that he has commissioned the murder of radio anchorman Boris "Bobby" Tsankov. Later on Thursday, however, Marinov was detained again, this time for heading a drug ring together with Stefan "Sako" Bonev.

ECONOMY

The contractor for Lot 2 of the Trakia Motorway will go through rigorous checks, Regional Development and Public Works Minister Rosen Plevneliev warns in an interview for "Sega" daily. Plevneliev explains that the requirements listed in the tender documentation are extremely hard to fulfil. The penalties which will be imposed in case of failure to meet them are substantial. According to Plevneliev, that is the reason why only 8 companies have submitted tender bids. All of them know the Bulgarian market well and are in the privileged position to assess risks and to take them, he says.

* * *
Interviewed by "24 Chassa," Chairman of the State Energy and Water Regulatory Commission Angel Semerdjiev says that he expects electricity prices to increase by up to 5 per cent in July but notes that there will be no sharp markups of gas, heating and water in the winter. Semerdjiev says the Commission is thinking of how to aid poor people for the high electricity prices, whether by cheaper rates or welfare benefits.

* * *
The annual inflation of 0.6 per cent for 2009, the lowest in the past ten years, is headline news in all Friday newspapers. The inflation for December 2009 was 0.5 per cent, month on month, and 0.6 per cent, year on year, the National Statistical Institute reported on Thursday.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 15, 2010

· Bulgarian Prime Minister Boyko Borisov and his Greek counterpart Georgios Papandreou have officially unveiled the fourth border checkpoint between the two countries – Zlatograd-Thermes-Xanthi, FOCUS – Smolyan Radio reports.The event was attended also by Bulgarian Deputy Prime Minister and Interior Minister Tsvetan Tsvetanov, Foreign Minister Rumyana Zheleva, Smolyan district governor, mayors, MPs and hundreds of citizens form both countries. The Greek prime minister walked nearly 100 meters on foot and his Bulgarian counterpart welcomed him on the border line. The two cut two ribbons – one with the Greek national flag and one with the Bulgarian flag.

· Bulgaria’s EU Commissioner-Designate Rumiana Jeleva has made no legal violation in reporting her financial situation, according to a document issued by the Bulgarian Justice Ministry. The EP has EC President Jose Manuel Barroso to make public his position by the end of the day on Friday as to whether Jeleva was involved in conflict of interests

Bulgarian press review, January 14, 2010

2010-01-14T06:05:00.000-08:00

Press Review
Sofia, January 14 (BTA)

FOREIGN POLICY

A political deal will decide Rumiana Jeleva's fate, "Dnevnik" writes. Her fiasco at the confirmation hearing at the European Parliament on Tuesday is about to trigger a crisis in the approval of the entire European Commission, which is voted en bloc, the daily says. That is why there was talk in Brussels all day Wednesday of shuttles between the two largest groups - the European People's Party (EPP) and the Party of European Socialists - in an effort to find a solution.

***

"Telegraph" says Jeleva's fate is in Barroso's hands.

***

"Zemya" runs a story headlined "3 Million Victims of Haiti Quake; 8 Million Disgraced by Jeleva Scandal". The daily compares the Commissioner-designate's performance at her confirmation hearing at the European Parliament on Tuesday to that of a bottom-of-the-class student.

***

"Ataka" offers a different take on the situation: "Jeleva Attacked with Discrediting Material about Corporate Interests; Yotova [from the Socialist Party] and Purvanova [from the National Movement for Surge and Stability] Tried to Discredit Bulgarian Commissioner-Designate".

***

"Sega" writes that Jeleva was an MEP in breach of the law for two years, and claims that the Bulgarian government has been under strong pressure from Brussels to come up with a different candidate for the post.

***

Prime Minister Boyko Borissov has a back-up candidate for EU Commissioner in case Foreign Minister Rumiana Jeleva fails to win approval, "Troud" and "24 Chassa" write. Still, Borissov believes things will not come to this and the final decision will be in Jeleva's favour. "I talked last [Tuesday] night until very late with people from the EPP who believe she did well. They said that given the trap she was forced into, she did her best," Borissov told "Troud". Asked if he made a mistake by nominating her, the prime minister says in "Troud": "I don't think so." "Let's commend the Bulgarian Socialist Party (BSP) on its subversive activity, it has always been good at it, as in bombing churches, opening forced labour camps," he also says, implying that he considers the Socialists the main culprits for the scandal during Jeleva's hearing in the European Parliament. However, "Troud" says there are serious discrepancies in the statements of her financial interests.

***

"24 Chassa" speculates that the possible candidates for a Commissioner's portfolio are Defence Minister Nickolay Mladenov, Yuliana Nikolova, Secretary of the Council on EU Funds Management, and Andrei Kovachev, leader of the Bulgarian delegation to the EPP group in the European Parliament.

***

An opinion piece in "Douma" says Jeleva's failure at the hearing was not caused by a plot but was a sad consequence of Boyko Borissov's smugness. The writer adds that as it often happens in Bulgaria, people in power do not want to see the truth.

***

"24 Chassa" says there was a plot, unlike at the election of Irina Bokova as UNESCO Secretary General. No right-wing group plotted against Bokova, while now the Communists and the Liberals conspired against Jeleva. The gist of the issue is that Jeleva concealed significant circumstances: that she was discharged of responsibility for the company in question in March 2009, while she claims that this happened in 2007, says political analyst Evgenii Dainov.

***

Antonia Purvanova MEP (National Movement for Surge and Stability) says in "Troud" Jeleva's nomination is a major failure for Borissov. Purvanova says in "24 Chassa" that it was not she that opened the eyes of the foreign media - Jeleva's problem is in her own documents.

***

In "24 Chassa", Jeleva's husband Krassimir Jelev says: "How am I to take the headline 'A Gangster Bride for the EC?' [a reference to a story in the German newspaper Die Welt]. What piques me most is the question mark. I am asking this as a lawyer. Is the question mark intended as a safeguard against possible legal action against the journalists? I am in consultation with several German law firms about taking legal action and I want to know if I stand a chance to win."

***

Bulgaria has until the end of January to submit a report on the steps it has taken to ensure regularity and effectiveness of the investment projects financed under Operational Programme Environment, or else the European Commission will stop the overall financing, Dirk Ahner, Director General of the Commission's DG Regional Policy, said in a letter to Finance Minister Simeon Djankov of January 8, "Klassa" reports. The letter which analyses the absorption of EU funds was sent to 11 more senior officials at ministries and departments. The problems will be discussed at the meeting of the Monitoring Committee of the National Reference Strategic Framework in Sofia on Thursday and Friday. Ahner said DG Regional Policy had already expressed concern about the quality of many of the 29 investment projects for the environment and 157 projects for technical support for the environment.

***

"I want every German to feel he or she is among friends," Mariana Cholakova, the new German honorary consul, says in "24 Chassa".

HOME SCENE

"If the steps we have taken start working, I hope unemployment will not top 11.4 per cent," Labour and Social Policy Minister Totyu Mladenov says in "Troud".

"Troud" writes that the Europeanization of Bulgarian prisons will cost at least 90 million euro. A new prison in Sofia will cost at least 100 million euro, and a new prison in Varna will cost nearly as much, says Peter Vassilev, head of the Directorate General of Implementation of Penal Sanctions. Bulgaria must improve prison conditions by 2012. At present 9,000 prisoners live in 12 prisons and 23 closed- and open-type prison facilities.

***

Commenting on the first day of the National Assembly's second session, "Ataka" writes that Borissov called on the majority to work hard to pull the country out of the crisis. The power-holders' priorities include the fight against crime and improving the business climate.

***

Quoting a municipal councillor, "Klassa" reports that there will be a new law on Sofia by mid-year. Councillor Andrei Ivanov says that if residents want the capital to be twice as clean as now, the litter collection fee must double.

JUSTICE AND HOME AFFAIRS

"Troud" reports that prosecutors and the State Agency for National Security (SANS) are conducting an investigation into SAPARD funding triggered by suspicions of contacts between Paying Agency employees and consulting firms. Agriculture State Fund Chair Kalina Ilieva says the investigation is targeting people under suspicion or people involved in proven irregularities. The Fund's new leadership alerted SANS last October.

Links to some Bulgarian info websites in English:

http://www.bta.bg/site/en/indexe.shtml
http://www.novinite.com/index.php
http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 14, 2010

· Up to now the only thing my colleagues in Brussels and I agreed on is to wait for the jurists to announce their decision on the case – whether there is a conflict of interest. Rumyana Zheleva believes there is not, Bulgarian Prime Minister Boyko Borisov says in an interview with Bulgarian National Television, commenting on the row around Rumyana Zheleva’s hearing in the European Parliament. I hope she has checked everything, he said. I rely on Ms. Zheleva’s doing what the law states, pointed out Borisov. Asked what will happen is she did not do what the law states, he said: “She will not receive my support.”

· Bulgaria Chief Prosecutor Boris Velchev has stated that those arrested from the major kidnapping gang in two successful special operations codenamed “The Impudent” will be charged. The high-profile kidnappers’ gang is believed to be responsible for 19 cases of kidnappings of rich Bulgarians. It was busted in December 2009. A total of 30 people were arrested initially, 10 were left behind bars.

· Over 300 people gathered outside the Bulgaria Parliament to protest against the center-right GERB government’s proposed changes to the Electronic Communications Act. Representatives of the National Movement for Stability and Progress joined the protest. They are carrying large flags of their party and the EU flag. MPs from the Union of Democratic Forces, including party chairman Martin Dimitrov, also joined the protest.

· Bulgaria’s had 0,5% inflation in December 2009, according to latest data provided by the National Statistical Institute.The average annual inflation for January-December 2009 is estimated at 2,8% compared to the same period of 2008.

Bulgarian press review, January 13, 2010

2010-01-13T05:09:00.001-08:00

Press Review
Sofia, January 13 (BTA)

THE HOME SCENE

"Troud" has a front-page story on the reshuffle in the Movement for Rights and Freedoms (MRF) leadership ("Dogan Paves the Way for New Leader"). "For the first time since MRF's establishment, its leader Ahmed Dogan takes on a very heavy burden: total purge of the territory around him and elimination of key figures in MRF's 20-year life since its establishment. He is doing it at a time when the party is isolated from allies and friends, has drawn upon itself much public ire, and is accused of all political sins. In his report to the 7th MRF conference late last year Dogan warned his men that serious changes were coming up in the leadership but noone believed that he would be forced to part with Kassim Dal and Yunal Lyutvi, and shed MRF's top economist Yordan Tsonev and Emel Etem. The new faces in the leadership is where Dogan will be looking to find the next party leader," the story goes.

***

"Sega" comments that Dogan "is testing the party loyalty". It says that he is getting rid of the old guard, most of whom have been compromised by their presence in the government and in the party leadership, to give a chance to somebody new and unknown. The paper speculates on whether, may be, Dogan is preparing to wind down the party - which he had long been threatening to do, and says this is very much unlikely.

***

In "24 Chassa", MRF's Prof. Lyudmil Georgiev says that the most likely successor of Dogan as MRF leader is Kassim Dal ("Kassim Dal: the MRF Leader in the Future"). On Monday Dogan did not mention Dal among his deputies and the leadership members were left with the impression that he is allowed a well-deserved break before he takes on bigger responsibilities than those of MRF deputy leader, Prof. Georgiev says.

***

According to "Standard News", two of Dal's henchmen were elected to the MRF top leadership which goes to show that Dal himself is strengthening his positions. "What exactly is about to happen at MRF, only Dogan can say," the story says adding that Dogan is the only Bulgarian politician who knows the secret of always emerging stronger and with bigger electoral support after each government he participates in.

***

In a "24 Chassa" interview, Kamen Kostadinov of the MRF Central Bureau says "nobody feels demoted". He is adamant that the removal of some people from the leadership is not over poor performance but because MRF "is in a new situation". "A new political cycle starts for the party and it requires building a new team," he says. He goes on to dismiss allegations about clashes among various fractions in MRF: "MRF is united and consolidated and has its party vision".

"Sega" reports the latest poll by the MBMD pollsters ("Only Three Parties Make It into Parliament during Elections") saying that only GERB, the Bulgarian Socialist Party (BSP) and MRF get the 4 per cent (or more) needed for a party to win seats in Parliament.

***

"Troud" quotes Democrats for Strong Bulgaria leader Ivan Kostov as saying that the government should catch the masterminds of the Impudent, a group of kidnappers which was busted recently in a large-scale operation of the law-enforcers. He also calls for catching the people in the high corridors of the Interior Ministry and the State Agency for National Security, who have provided umbrella for the Impudent and the likes of them. Kostov also said that GERB has so far been unable to handle the crisis.

***

"Troud" writes about BSP's intention to challenge before the Constitutional Court two laws. One is the National Budget Act where Article 17 allows government ministers to cut back spending that has been approved by Parliament. The socialists' other objection is to the manner of adopting amendments to the Archive Fund Act.

***

"24 Chassa" leads with a story saying that Parliament leader Tsetska Tsacheva has banned access to the Tsarska Bistritsa residence for tourists as of the end of December 2009. The ban is part of a moratorium that has been imposed on property owned by Simeon Saxe-Coburg-Gotha. Any operation and construction works is also prohibited until a special law is adopted about property that has been left by King Ferdinand and Boris III.

***

A front-page story in "Troud" says that 11 drug dealers and thieves were arrested in Sofia in the night between Tuesday and Wednesday. The operation started on Monday evening when 200 policemen searched 157 offices and bars known to be used by underworld figures. 22 crimes were solved during the operation, including seven robberies and five thefts.

***

"Sega" says that the government is introducing serious penalties in a bid to make its citizens use their rights. The story refers to amendments to the medical insurance legislation whereby Bulgarians with medical insurance will be unable to travel abroad unles they have taken out a European medical insurance card. This card certifies that its holder has regularly paid medical insurance and is entitled to free emergency medical aid. The ban on foreign travel by people without such a card has been in effect since December 18, 2009, but is not being observed.

ECONOMY

The budget is waiting for 7 billion from VAT, "24 Chassa" writes. The story is prompted by a remark by Prime Minister Boyko Borissov after a meeting with Israeli Prime Minister Benjamin Netanyahu when he said that he is very much likely to put to practice his advice about financial policies, including a reduction of VAT with immediate effect. The author observes that VAT brings in close to half of all tax revenue in the public purse and reducing it by 0.5 per cent means losing at least 135 million leva. The head of the parliamentary budget committee, Menda Stoyanova, comments that bringing down VAT this year is a risky step. Bozhidar Danev of the Bulgarian Industrial Association says that such a step this year would be dangerous because it could destabilize the macro-economic framework. According to Georgi Angelov of the Open Society Institute, further tax reforms by reducing VAT should follow bringing social insurance contributions to low enough levels. Currently social insurance contributions make up 30 per cent of the monthly wage.

***

In "Douma", MP and former Economy Minister Peter Dimitrov says that bringing down VAT now is too adventurist. "Such measures are undertaken where there is surplus: you bring down a tax and cut back the surplus but none of the systems of the state suffers".

***

"We are out of the crisis but nothing good follows from that," financier Emil Hursev says in a "Pari" interview. He expects "a much worse and much more danerous period" in the next three or four years: a period of depression which is worse than recession. "We will be witness of coercive debt collection, bankruptcies, final sales, closure of jobs. Exiting the crisis does not mean going back to the times of tempestuous economic development and a boom in lending. Bulgaria lacks resources to pour money in the economy and return it to the track of growth. Unlike Germany, we can't take out 1,000 billion euro," says Hursev.

***

In a "Troud" interview MEP and former Foreign minister Ivailo Kalfin warns that ADIS, the state-owned company which runs the diplomatic properties in Bulgaria, is being driven to demise. He says that in the past three years the company was saved from financial troubles and was handed over to the new government with zero debts and 11 million leva in its account. What has happened since then is that everybody hired by the previous CEO has been sacked, one of the profit-making activities of the company - dealership - has been done with, and what probably comes next is spending the 11 million in the company accounts, declaring the company as financially troubled and starting the sale of assets, Kalfin says. "I will try to make sure this is not done in the dark," he adds.

BULGARIA - EU

The papers report the Tuesday hearing of EU Commissioner Rumiana Jeleva at the European Parliament's Development Committee. "Sega" ("MEPs Crucify Rumiana Jeleva") says that the Q&A session turned into a public lynch as several green, liberal and left MEPs asked Jeleva questions about her financial interests leaving in the background the question about her competence and priorities.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 13, 2010

· Bulgaria's Foreign Minister Rumiana Jeleva, nominee for commissioner, said she will not withdraw her bid, even though her hearing at the European Parliament on Tuesday evening descended into disarray amidst claims that she was less than frank in declarations about her business affairs. Earlier in the day Prime Minister Boyko Borisov defended Jeleva, saying that she has fallen victim to a plot, concocted by the opposition Socialist and NDSV parties.

· Nikolay Marinov a.k.a The Small Margin has not appeared in the court during the hearing of the case against him. Krasimir and Nikolay Marinovi have been accused of initiating the killing of radio presenter Bobi Tsankov, over which Krasimir Marinov, a.k.a The Big Margin has been arrested. His brother was declared for national search. He was expected to be arrested today (Wednesday) at the hearing of the case, which has lasted for over three years.

· Two masked and armed attackers have robbed a unit of a bank in downtown Sofia. According to an employee in the bank office two men burst into the office, located in a block of flats. They threatened her with a gun, took about BGN 20 000 and run away in an unknown direction.An investigation into the case has been launched. There has been a surge in brazen robberies in the Bulgarian capital lately, which the prime minister has seen as a plot against his government.

Bulgarian press review, January 12, 2010

2010-01-12T05:46:00.000-08:00

Press Review
Sofia, January 12

FOREIGN POLICY

"Klassa" reports that Israeli Prime Minister Benjamin Netanyahu has recommended to his Bulgarian counterpart Boyko Borissov phasing in a lower VAT, by 0.5 per cent each half-year beginning now, rather than reducing it by 2 per cent in a one-off act in 2011, which is what the Bulgarian government is contemplating in a leading article, "Sega" writes that Israel has convinced Borissov to reduce VAT rates. "Pari" caps "Borissov Likes Shocking Idea about VAT." During Netanyahu's term as Finance Minister, the same step took Israel out of a recession, the newspaper explains.

***

"Zemya" reports that Bulgaria will give Israel access to its military bases. The prime ministers of Bulgaria and Israel agreed that Israeli aircraft will use Bulgarian military bases for training. The two countries signed a memorandum on military cooperation.

***

"Jeleva One Step Short of Being EU Commissioner," report "24 Chassa" and "Troud." Commissioner-designate Rumiana Jeleva has assured European Commission President Jose Barroso that her declaration for conflict of interest is in compliance with the Code of Ethics, the media report, citing the Bulgarian Foreign Ministry. Barroso's statement came in response to a letter by the Green Group in the European Parliament, regarding media reports about Jeleva. Barroso also said that allegations of abuse have to be proven. In an interview for "Telegraph", MEP Andrey Kovachev (GERB) is confident that Jeleva will pass the test.

***

In a "Troud" interview, Raina Mandjoukova, head of the Agency for Bulgarians Abroad, says that more Bulgarian schools have to be opened abroad. In her words, the most active student organizations are in Germany, France, the UK and Ukraine.

HOME AFFAIRS, JUDICIARY

"Telegraph" reports that a check by the prosecuting authorities has found that half the members of the gang, dubbed the Impudent, were undercover agents with various services of the Interior Ministry. Now magistrates are examining documents to see who the recruiting officers were.

***

In an interview for "Novinar", Sofia City Prosecutor Nikolai Kokinov says that 12 proceedings against ten members of the Impudent were joined. Kokinov also says that information, provided by radio host Bobby Tsankov, who was shot January 5, was true and he wanted to be useful.

***

"The fact that snow on the street was still melting from Bobby Tsankov's blood, when the Big Marguin was arrested and charged with commissioning Tsankov's murder, most likely means that the authorities already knew how and why someone bore a grudge against Tsankov," writes Anna Zarkova in "Troud". The question according to her is why the prosecuting authorities and the police did not use this information and did not appoint a surveillance of Tsankov who thought of himself as a spokesperson for the underworld. Zarkova argues that if the services had shadowed Tsankov, they might have seen who got scared of his book, which encouraged him to write it, or even who had plotted his murder. They might have even caught his killers.

THE HOME SCENE

Quoting the Health Ministry, "24 Chassa" reports that from April 1, those leaving the country have to carry an European Health Insurance Card (EHIC). Anyone who fails to produce it before the border authorities will not be able to leave. Although the card is required under current legislation, a period of several months free of fine will be given. The Health Ministry explained that the new requirement entitles individuals to free medical aid abroad. The Ministry also said that between 80 and 100 health establishments will close by the end of the year.

***

"24 Chassa" reports that parties in 2010 will cost taxpayers 49,902,612 leva (roughly 25 million euro). This is the amount allocated as subsidy to the six parties in Parliament and the two out-of-Parliament opposition formations, LIDER and the National Movement for Surge and Stability, which won more than 1 per cent of the vote in the general elections. The subsidy has risen five times in four years, as it is pegged to the minimum monthly wage. Under latest changes to the Political Parties Act, the subsidy has been increased to shield parties from outside influence.

***

Under the leading headline "Thorough Purge in MRF", "Troud" reports that Movement for Rights and Freedoms (MRF) leader Ahmed Dogan has uprooted the party's top crust and has appointed new deputies. "In opposition we need a new face, new vision. We need to break away from our old ways of governance," said Dogan. The MRF leader went on about taking up "a panel approach", meaning that the MRF has to get rid of its image as a party where decisions are made single-handedly and instead adopt a team decision-making approach, "Troud" explains. Lyutvi Mestan is the only one of Dogan's deputies who has kept his post. Emel Etem, Kassim Dal, Yunal Lyutfi and Yordan Tsonev were demoted to members of the Central Operative Bureau. Dogan's new deputies are Mestan, Filiz Hyusmenova, Hristo Bisserov, Roushen Roza and Aliosman Imamov, the Tuesday media report. According to "Troud", Bisserov is appointed as the MRF strategist. Rossen Vladimiriov, the first Bulgarian to become MRF deputy leader, is not on the movement leadership. Vladimirov did not attend the MRF national conference at the end of December. MRF members say that he is residing abroad.

***

In a "24 Chassa" article, Mira Radeva of the MBMD says that in six months the real challenges for GERB will begin. According to her, in 2011 local structures will answer the question whether GERB lives up to the image, created by Boyko Borissov for its political project. The local elections will be an indicator of what people think of GERB local structures. Any irregularities on a regional scale will be brought to light by then, which will inevitably influence the outcome of the elections. The real problem for the government will be the second half of the year: to take the country out of the recession and to prove that it has the political will to handle shady organizations, oligarchy and crime. Crackdowns on crime and Interior Minister Tsvetanov’s attempts to purge the police from within have improved police approval ratings from 35 to 46 per cent, and Tsvetanov's ratings by 9 percentage points to 61 per cent, Radeva says.

***

Veliko Turnovo's national military university, Bulgaria's largest military school, is currently attended by just 17 cadets from Vietnam. Bulgarian trainee officers have been forced to take a holiday for the first time in the history of the school. University Rector Gen. Tsvetan Harizanov took the unprecedented step to suspend classes because of mounting debts. All Bulgarian cadets will be preparing at home until exam session begins on March 1 to spare them from the cold and hunger.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 12, 2010

· Discussion on the amendments to the Electronic Messages Act has acquired new dimensions after dissensions have occurred between the operators and the interior ministry about the tome the information can be provided. According to representatives of the three mobile operators the requirement information from the data base to be presented in the frames of two or three hours is not realistic. According to a research among the mobile internet suppliers at least 34 hours will be needed. The non-governmental organizations and the interior ministry has reached and agreement on dropping off the direct interface. Then mobile operators said this is probably the only way to provide fact access to the information.

· The commission of nine people, which will choose the executor of the Lot 2 of the north main motorway “Trakya “, will work under extremely security measures, says Minister of Regional Development and Public Works Rosen Plevneliev. Eight companies have tabled their offers on the construction of lot 2 of Trakiya motorway. They are: Turkish Doush Company, Australian Shtrabak Company, Bulgarian motorways consortium (Glavtroy and Black Sea motorways), Greek Terna le, Alpine Holding Roads, Union Trace motorway, Greek Actor, Construction under Construction Contracts Act Constructor Trakya.
The offers are filled by leading companies in the region-Croatian, Greek, Turkish, Bulgarian as part of them are united in consortium, Plevneliev said.

Bulgarian press review, January 11, 2010

2010-01-11T08:52:00.001-08:00

Press Review
Sofia, January 11

THE HOME SCENE

"Boyko Borissov: 100 Per Cent Chairman": under this front-page headline "Troud" quotes Prime Minister and GERB leader Boyko Borissov as telling the delegates of his party's National Meeting on Sunday that "GERB's only opponent is GERB itself. The Complacency and corruption in government will not be tolerated. There will be no compromise for anyone who tries to steal." Borissov was elected unanimously party Chairman by 1,227 delegates.
"24 Chassa" quotes outgoing GERB chairman and Deputy Prime Minister and Interior Minister Tsvetan Tsvetanov as saying at the National Meeting that "nothing can separate" him from Borissov. "I don't know how it cropped up that there is a conflict between Borissov and Tsvetanov. Can't any of those people realize that Tsvetanov would not have been Tsvetanov without Borissov? Can't any of those people realize that the GERB project would not have existed without a unity between Borissov and Tsvetanov?" He pledged that their tandem will not be broken up.
Under the heading "GERB between Power and Temptations," sociologist Yulii Pavlov comments in "Standart News" that European People's Party (EPP) Wilfred Martens gave a very important assessment at the forum. "He made it crystal clear that GERB is their partner in Bulgaria. This is the latest EPP acknowledgement of the role of GERB and especially of Boyko Borissov for the development of this country. It shows something more: that the traditional Right has lived out its time and is pushed into the fringe of political life. Any disputes about the authenticity of Bulgaria's Right are closed, as far as Europe is concerned."

* * *

"Yane Yanev to Bring down Cabinet," "Troud" notes in a headline. Order, Lawfulness, Justice (OLJ) Party leader Yane Yanev said in Blagoevgrad on Sunday that he is launching active steps for the ouster of the Boyko Borissov Cabinet. "We are ruled by a party which is a hybrid of the BCP [Bulgarian Communist Party] and the Interior Ministry," Yanev said, calling on all Bulgarians to shed fear and resignation and to support the OLJ rally in Sofia on March 10. Later on, Prime Minister Boyko Borissov told bTV: "The sudden riot of tobacco growers, the unlawful construction of something purporting to be a monument is things that test us as power holders. I think that in February-March, when the winter is severe and the crisis is at its height, they will try to destabilize and, certainly, Yane Yanev will help them."
"PM Best at Steps Back:" under this heading, "Troud" carries an interview with sociologist Zhivko Georgiev. He notes that "during the last three months of GERB's incumbency, the Prime Minister has shown growing sensitivity to criticism in the positive sense of the word. On several occasions he proved capable of listening to reasonable arguments coming from the outside: from the opposition, from social groups, from partners, from the President. The truest steps that GERB and above all the PM have taken in recent months have been the steps back. The PM's actions may seem inconsistent, but what matters more is that they correct the inadequate decisions of the more Tale ban-minded part of the GERB activists," Georgiev argues.

* * *

GERB Floor Co-leader Iskra Fidossova says in an interview for "Klassa" that her party encounters great difficulties in areas with ethnically mixed population. "People there are afraid to come and see us," Fidossova says. "They sneak in, lest some of the local leaders of the MRF [Movement for Rights and Freedoms] see them. May be they are harassed in some way. But now that we have become a ruling party, the tangible change is evident. I think those people will gather strength to overcome fear and be a little more open to us."

* * *

"Sega" notes in a comment that "Prime Minister Boyko Borissov fulfils quite a few popular wishes. All you need to do to have your wish fulfilled is meeting with Borissov. Still, little progress is being made. Parliament's efficiency is dismal, having completed its first session with 50 unfinished bills and at least as many that are urgent but have not been even started. The numerous decisions with hours-long shelf life wreak havoc and smack of incompetence. The lack of a coalition in practice liquidated the opposition, because Bulgarian experience shows that checks and balances are only possible with coalition government as partners are constantly on the watch for one another. Paradoxically, quite a few of the things for which the previous governments were detested have disappeared now, yet confidence in GERB is dwindling. One reason is that the 'public debate' invariably sticks to insignificant and populist issues, whose vacuity we discover only when they materialize."

* * *

"Djankov will be perceived as the necessary evil," sociologist Anatolii Gulubov predicts in an interview for "Sega." He does not expect the stability of the GERB government to come under serious threats during the new political year as long as it presses ahead with the reforms. "GERB's policies and conduct could most probably change in terms of accelerating the pace of reforms and the competence of the members of Parliament. This has everything to do with the relations between GERB and The Blue Coalition, insomuch as the reformist experience is concentrated precisely there. So far Bulgaria has had just a single reformist cabinet in conditions of a serious crisis, and this has been the Kostov Cabinet."

* * *

"No Handover Interface? It's a Load off Interior Ministry's Back," Deputy Interior Minister Vesselin Vouchkov says in a "Troud" interview. He notes that "the idea is that operators should identify to the Communications Regulation Commission a contact point which will be constantly accessible to prosecutors, investigating police officers and other such. It is very important to fix a maximum time limit within which the Interior Ministry should receive the traffic data, say, two hours after the court ruling. We at the Interior Ministry do not need interface. On the contrary, giving up the interface will be a load off our back because otherwise abuse will always be suspected."

* * *

In "Standart News," Health Minister Bozhidar Nanev says there are several options of addressing the issue of the under funding of medical services. One way is to seek a possible increase of the health insurance contribution. The other way is to create a health insurance model including other pillars as well. The third way is to require patients to co-pay a certain percentage of the service. But this need not be money out of their own pocket. It may be an incentive for supplementary insurance, above all voluntary, the Minister explains.

ECONOMY

Deputy Prime Minister and Finance Minister Simeon Djankov say’s in an interview for "24 Chassa" that an agency will be managing state property worth 50,000 million leva. He attaches great importance to it because the State owns enormous assets. "We have an idea to pool minority interests in one place and transfer the proceeds from dividends directly to the Silver Fund for pensions. I expect that we will concentrate state-owned majority interests worth 30,000-40,000, even 50,000 million leva in the agency. Just imagine the Bulgarian Energy Holding! We have not yet decided whether that agency should take over the ministries' property as well. Another option is to decentralize in municipalities. In any case, the setting up of such agency is exceedingly important from a fiscal point of view because the State must be a good administrator of its property and must prudently reallocate the yield of this property to the benefit of citizens."
"The State dips deeply into our pockets. But what does it give us?" Peter Ganev of the Institute for Market Economics comments in "24 Chassa." He notes that in 2010 Bulgarians will produce an average 174 million leva per calendar day, according to the expected GDP. Therefore, generating the 26,400 million leva planned budget revenues will take nearly 152 days in 2010. Bulgarians will be working for as long as five solid months to fill the public purse. What they get in exchange is a different matter. Bad health care, problematic education, low pensions and, worst of all - an impossibility to guarantee security and justice."
The lump-sum end-of-life fee paid upon import of a car older than 10 years has been increased from 220 leva to 242 leva, the Environment Ministry warns, quoted by "Troud". The end-of-life fee for brand new cars is hiked as well, from 121 leva to 133 leva. Vehicles manufactured up to five years ago will require a fee of 182 leva, up from 165 leva before, and those aged between 5 and 10 years, 230 leva, compared to 209 leva so far.

BULGARIA - EU

"Bulgaria Closes 67 Dairy, Meat Farms for the Sake of EU,"
"Sega", reports. Despite the numerous postponements granted by the EU, they have failed to meet the hygiene requirements, the Agriculture Ministry said on Sunday. Brussels gave Bulgaria until the end of 2009 to have all its cheese producers modernize their buildings, meet hygiene requirements and introduce a product traceability system. Just months ago, Brussels extended until the end of 2011 the modernization deadline for 80,000 Bulgarian companies which supply milk processors and meat packers with milk and meat.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 11, 2010

· Czech power utility company CEZ Bulgaria has announced that starting from February 1, 2010 it will now regulate and monitor electric consumption on a monthly basis. It said in a media statement that the company "has proven that it respects the Bulgarian institutions, the decisions of the energy sector, and that it operates in the best interest of its customers".

· Employees of BDZ ( the national railway transport company)-Passenger Transportation’s maneuver brigades have mounted a protest at Central Railways Station Sofia, press center of the Bulgarian State Railways (BDZ) told FOCUS News Agency. The reason for the demonstrations is unpaid monthly salaries for last November.

Bulgarian press review, January 8, 2010

2010-01-08T06:20:00.000-08:00

Press Review
Sofia, January 8

JUSTICE AND HOME AFFAIRS

"Monitor" reports that the mafia has threatened to kill a magistrate."Zemya" quotes Prosecutor General Boris Velchev as saying that Sofia City Prosecutor Nikolai Kokinov has received death threats. Out of concern for his safety, Kokinov has been given security, writes "24 Chassa". When approached, Kokinov declined ANY comments. However, court officials say that they saw him accompanied by a bodyguard as early as Wednesday. Kokinov's Deputy Roman Vassilev, who is also said to have received security, declined to comment too.

***
"Standart News" writes that the Interior Ministry and the prosecuting magistracy are launching Operation "Bulgarian Octopus", which will round up gangsters with several pending cases.

***
In a "Telegraph" interview, Commissioner Valeri Yordanov, Chief of the Sofia police, says that footage from CCTV cameras near the place where radio host Boris Tsankov was killed is unclear and his killers could not be seen. Footage is yet to be analyzed by experts. The Commissioner says that the police have enough operational methods to get to Tsankov's physical killers.

***
"Troud" writes that just days before he was murdered, Boris "Bobby" Tsankov told magistrates that he was afraid of [alleged crime bosses] Stefan "Sako" Bonev, Meto Ilienski, Mityo "The Eyes", Georgi Vassilev's successors and Krassimir and Nikolai Marinovi, known as the Marguin Brothers. Tsankov said that he feared they might retaliate after he lifted the curtain on the underworld. The daily carries an interview with Lyudmil Rangelov, a defence counsel for the Marguins, who says that charges against the two are ridiculous. Given that the perpetrators are still at large, claims that Krassimir Marinov ordered the murder and Nikolai Marinov was his accomplice are beyond comprehension. According to Rangelov, the Marguins and Tsankov never crossed paths.
Tsankov ired the Marguins after he boasted he was going to make shocking revelations about some gang-style murders of recent years, "24 Chassa" reports. According to a high-ranking official of the Interior Ministry there is a grain of truth in Tsankov's disclosures, which made Krassimir and Nikolai Marinov feel threatened. According to the newspaper, there are solid leads that the brothers ordered Tsankov's murder. The modus operandi shows that the brothers had a hand in the killing. After boasting that they knew too much, mafia chronicler Georgi Stoev and Yordanka Zapryanova were also assassinated. Zapryanova, mother of shot financier Konstantin Dishliev, used to say that she knew vital information about the drug mafia and money laundering. She accused her Dishliev's brother-in-law, Brendo, of her son's death. Brendo is said to be linked to the Marguins.
Zapryanova was shot in 2007. "24 Chassa" reports that Tsankov had 12 sentences for fraud. There were 66 complaints against him by members of the public who he had swindled out of their money. There was evidence that Tsankov had made over 100,000 leva (roughly 50,000 euro) through fraud. Clouds started to thicken over his head after the arrest of the alleged drug boss Stefan "Sako" Bonev.
Tsankov was a police informer and had plans of taking up a career in politics, "168 Chassa" weekly writes.

***
According to "Ataka", the Marguins donated money to the Bulgarian Socialist Party.

***
The police are looking for another horror house, where the kidnapping ring, dubbed the Impudents, held their hostages. One of the arrested men confessed to a fifth location, but would not say where it was unless he got lighter sentence.The hideouts were used for two and a half years. Being part of a criminal group carries up to 15 years in prison. The law provides for a plea bargain with the prosecuting authorities, provided the suspects agree to spend at least ten years in prison, magistrates explained. The final decision is up to the court. Ring leaders might get an additional five years in prison.

THE HOME SCENE

Another 380,000 people run the risk of falling through the cracks of the health care system, said Katya Kashumova of the National Revenue Agency, quoted by "Douma", "Dnevnik" and "Klassa." The reason is changes to the Health Insurance Act effective January 1 under which the Health Insurance Fund will not cover costs for treatment if people have failed to medical insurance contributions for more than three months over a 36-month period. "Standart News" writes that those on the black list have until January 25 to settle their debts.

***
"Pari" headlines "Big Brother in Excise Industry." "24 Chassa" also reports on a new ordinance by the Finance Ministry which introduces smart systems for fiscal controlin wineries. The systems will send real-time data to control bodies. Some 260 wineries will be overseen by the customs authorities.

***
In an interview for "168 Chassa", Deputy Prime Minister and Finance Minister Simeon Djankov says that his ambition is not just for Bulgaria to emerge from the crisis, but to take the country to a mid-European level, which is doable in six years.

***
In an interview for "24 Chassa". Sofia Mayor Yordanka Fandakova says that snow cleaning equipment will be stationed overnight in the capital's downtown when a snowfall is forecast. Fandakova also says that Sofia's draft budget allocates money for rehabilitation of parks and that the Sofia City Hall has agreed with the government to receive ownership of the Boris' Garden.
A "Pari" analysis raises the question whether Sofia's record-high budget will make any impact on the lives of Sofianites.

***
"Troud" runs an interview with Ombudsman Ginyo Ganev. Some 11,471 complaints were forwarded to the Ombudsman. Most numerous are those related to disputes over property ownership and petitions for revisions of urban development plans, followed by complaints over poor public services, social activities, labour rights, health care and education.

***
"Troud" carries an analysis on the Movement for Rights and Freedoms, founded by Ahmed Dogan and his associate on January 4 1990, which makes the point that the Movement never loses.

FOREIGN POLICY

In a leading feature "Troud" writes that as a row flared up between Prime Minister Boyko Borissov and his predecessor Sergei Stanishev, it emerged that Bulgaria has paid a ransom for a Bulgarian national, who was kidnapped in Somalia. Through its own sources "Troud" has confirmed that the incumbent government paid ransom money that was pledged by then Prime Minister Stanishev. Borissov and Stanishev refused to confirm the reports, saying that the information was classified. According to the daily, however, the national in question was a Bulgarian woman who was kidnapped by Somalis during Stanishev's tenure. She was working for a foreign company. After some written xchanges, Bulgaria promised to pay part of the ransom money. However, Borissov was surprised to find out that it was his cabinet that had to remit the money.

***
Foreign Ministry official Assen Makedonov, who until last year was head of the Domestic Diplomatic Properties Agency, has been charged with large-scale misuse of funds, reports "24 Chassa". The daily cites records of his overseas business travels which show a nine-day trip to Honolulu for 18,000 leva (roughly 9,000 euro), an eight-day trip to Orlando, Florida for 20,000 leva, a one-week conference in Las Vegas for 17,000 leva, business meetings in Bangkok, Dubai, Palm Beach and the French Riviera for a total of 265,561 leva. Makedonov self-approved his trips abroad and his reports. According to a source at the prosecution magistracy, the Makedonov case might as well get a European flavour, as prosecutors want to summon MEP Ivailo Kalfin, former Foreign Minister and Makedonov's superior, for questioning, writes "24 Chassa".

***
Seventh company will be authorized for committal to the NATO Mission in Kandahar, reports "Bulgarian Army" weekly.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day –Sofia, January 8,2010

· Bulgaria PM Boyko Borisov has made it clear that former PM and BSP leader Sergey Stanishev ordered a ransom to be paid for the release of 16 Bulgarian sailors who were kidnapped by Somali pirates last April. Borisov hit back at Bulgarian Socialist Party MPs who yesterday slammed him for paying part of an alleged USD 2 M ransom for the release of 16 Bulgarian sailors aboard the Malaspina Castle ship in the Gulf of Aden. He strongly suggested that his GERB government had been forced to pay the ransom that Stanishev had ordered.

· Bulgaria Interior Minister, Tsvetan Tsvetanov, has stated that the center-right GERB government is looking at the possibility of dispensing with the original interface proposal to monitor internet traffic and mobile phone calls. Tsvetanov was speaking after a meeting with the initiative committee who are against the interface proposal which will allow the Ministry of Interior access through a direct interface to the data for the calls and the mobile devices positioning of every single citizen without any legal reason.

· 18 people with criminal records have been detained in special police operations in the southern Bulgarian city of Plovdiv, District Polcie Directorate – Plovdiv announced. During the operations, which took place between the beginning of the year and January 8, the police arrested seven people, whom they were searching nationwide, five men with drugs and six prostituting women.

Bulgarian press review, January 7, 2010

2010-01-07T05:51:00.000-08:00

Press Review
Sofia, January 7

THE HOME SCENE

In a leading headline "Sega" says that Prime Minister Boyko Borissov threatened with dismissal Minister without Portfolio Bojidar Dimitrov who is responsible for Bulgarians abroad. The report on the topic in the daily says that Dimitrov's binding Turkey's bid to join the European Union with the problem with the compensations for the refugees from Eastern Thrace in Bulgaria proved a big diplomatic gaffe. In an interview to BTV on Wednesday evening Borissov said that he has warned Dimitrov with dismissal. Borissov argued in the interview that Dimitrov's statement about the compensations wanted by Bulgarian refugees might have come form a museum curator or a historian but not from a cabinet member. Some of the newspapers' reports on the topic say that Dimitrov's statement earned him a "yellow card".

Deputy Foreign Minister Marin Raikov is quoted as saying that Bulgaria's position is that there is no direct link between unresolved Bulgaria-Turkey issues and the enlargement of the European Union.

* * *

The murder Tuesday of notorious TV and radio anchorman Boris "Boby" Tsankov (30) continues to be a headline news item. On Wednesday the prosecution authority pressed charges against Krassimir Marinov for instigating Tsankov's murder, the newspapers write. Marinov himself was arrested in the wake of Tsankov's murder. He and his younger brother, Nikolai Marinov, aka the Marguins brothers, are believed to be involved in organizing several contract killings in the past years.
"Sega" notes that the charges against Krassimir Marinov for Tsankov's killing were pressed shortly before the expiry of the 24 hours of his remand. Now that the indictment has been made Marinov will remain in custody.
"Sega" asks in a comment when the Interior Ministry will be able to react properly to what the author describes as the "impudent" provocations of criminals. The author goes on to say that in terms of domestic politics, Tsankov's killing is symptomatic and "a very impudent blink of the eye of the criminal world to the powers that be". The latest murder took place just shortly after operations of the Interior Ministry, the services and the prosecuting magistracy against kidnappers and highway robbers which were commended as having hit the highest levels of organized crime, says the author.

"Standart News" notes that Tsankov was a thug, and not an investigative reporter as described by the Western press. The author of the comment says that Tsankov was a typical cheater of the transition to a market democracy who conned people during broadcasts. The Western media got it wrong in their reports of Tsankov's killing but there is nothing surprising in this given that the bulk of what takes place in Bulgaria is like an encounter with an UFO to the civilized world, says the author.

* * *

In an interview to "24 Chassa" Krassimir Velchev, organizational secretary of GERB and floor co-leader of the party in Parliament, voices fears that the criminals may now target GERB leader and Prime Minister Boyko Borissov. Velchev says that the mission of GERB and Borissov is to "get things right in Bulgaria". However, continues Velchev, Borissov has made many enemies in the past ten years, both in the criminal world and the political elite.
Velchev says also that his is equally concerned about Interior Minister Tsvetan Tsvetanov. GERB's organizational secretary describes Tsvetanov as the only person in the government who undertook many decisive steps, as should do all ministries.

* * *

"Troud" quotes National Assembly Chairperson Tsetska Tsacheva as saying that as a citizen she agrees to have her e-mails looked up by the Interior Ministry provided that this helps ensure her and her family's security. She commented amendments to the Electronic Communications Act and said that there will be new revisions between the first and second reading debate of the bill but that the philosophy and spirit of the law will remain the same as it was voted at the first reading discussion.

* * *

All of the Thursday newspapers report on the approval Wednesday by the cabinet of a bill on weapons, ammunition, explosive devices and pyrotechnic articles control. Under the bill, control is introduced for the first time over non-firearm weapons (gas, signal and air guns) and non-firearm ammunition. Anyone possessing such items will have to declare them in the Interior Ministry. Failure to comply with this requirement carries a fine of 2000 leva and/or pecuniary penalty of 10,000 leva.

* * *

Interviewed by "Monitor" social analyst Antonii Gulubov says that a party's political system undergoes deep transformation which does not end with the outcome of general elections. He says that a substantial portion of the political parties in Bulgaria have lost voters' trust. The whole responsibility and attention is now focused on GERB. According to Gulubov no other but GERB is the most serious warrant for the stability in Bulgaria, for accelerating reforms. GERB lifted the umbrella above organized crime, Gulubov says.

* * *

In an interview to "Troud" Blagoevgrad, Southern Bulgaria, Mayor and Member of the National Council of the Bulgarian Socialist Party (BSP) Kostadin Paskalev says that at the moment BSP is not "the motor" of a new left project. He argues that the majority of people at the moment espouse leftist ideas. Paskalev says that since there are carriers of the idea, it is apparent that there should have a structure to reflect these ideas. He says further that it is only natural and normal for people mostly involved in intellectual labor to take up the implementation of such a project, i.e. the creation of an entity espousing such ideas. BSP should be the driving force of such a creation, he says. However, whether BSP is capable of realizing this is another matter altogether, says Paskalev.

ECONOMY

Political analyst Ivan Krustev argues in "24 Chassa" that the middle class and the business in Bulgaria are in for a hard year. Krustev notes that in social terms, this is the first crisis to have hit not only the middle class of old, the one which made its fortunes in socialist times, but also the new one which emerged after the democratic reforms. Exactly people in their 40s and 50s who had somehow succeeded in finding their place in the new economic reality all of a sudden found them selves at the losing end, says Krustev. What is more, businesses which were among the best integrated in the new environment, had access to loans and worked using Western business practices too found themselves at a loss. According to Krustev, the wave of lay-offs and unemployment has not spared Bulgaria but is about to hit it. The social consequences of the economic downturn are to be strongest felt in 2010, says Krustev.

* * *

Economic analyst Georgi Angelov recommends in "Novinar" reduction of social security contributions. He says that the first signs of the end of the recession here, mostly in exports, have emerged. However, when and how quickly the economy will recover depends most of all on the cabinet policies, Angelov argues. If the government maintains financial stability and focuses on reforms which enhance the potential of the economy, the recovery will be there sooner and will be stronger.

Among the achievements he wants to see realized in 2010 the Angelov singles out improving the business climate, modernization of the institutions, reduction of social security contributions and privatization.

* * *

Interviewed by "Troud" Executive Director of the Sofia Commodity Exchange Vassil Simov says that the main sign to prove that the world is emerging out of the crisis will be sharp fluctuations in prices. Rapid appreciation of certain goods and steep deprecation of others will mean that free financial resources have come on the market and that the players have the power to buy and sell huge quantities of goods, says Simov. Regretfully, Bulgaria is far from such an occurrence. The economic situation in the country is difficult, the business has to cope with huge obstacles in order to work normally. "Money is scarce - in construction, industry and trade," says Simov.

* * *

"Cabinet Surrenders about Bonuses to Magistrates" caps a report in "Sega" which says that after two weeks of an outright war and dramatic negotiations between the judiciary and the cabinet on Wednesday it emerged that after all magistrates will get the 2009 Christmas bonuses the Supreme Judicial Council had voted at the end of the year. The outcome was unexpected as on the morning Finance Minister Simeon Djankov had notified in writing the Supreme Judicial Council that there was not a legal basis allowing him to sanction the payment of the already voted Christmas bonuses. An opposite decision was however reached later in the day following a series of long meetings involving Prime Minister Boyko Borissov, Prosecutor General Boris Velchev and the ministers of justice, of the interior and of finance. The Council of Ministers is expected next week to vote a decision guaranteeing the judiciary's financial independence, Justice Minister Margarita Popova said after the meeting.

* * *

"European Prices in Healthcare" caps a leading report in "Zemya" which quotes Health Minister Bozhidar Nanev as saying that the prices of medical services in Bulgaria will reach European levels. What this means is that the state will continue to cover the respective amounts laid down in the clinical paths bit the difference for the more expensive services included in such clinical paths will be paid by patients. Nanev is quoted as saying that the established global and European standards in medicine should start to be applied in Bulgaria as well which will ensure an even higher quality of healthcare services in this country.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 7, 2010

· Bulgarian Prime Minister Boiko Borissov has warned Bozhidar Dimitrov, the minister for Bulgarians abroad, that a repeat of the behavior that saw Dimitrov spark tensions by publicly threatening that Sofia would veto Turkey's EU accession efforts would cost him his Cabinet job.

· 380 000 Bulgarians may lose their rights to free healthcare after changes in the insurance laws. According to the new laws people who have not paid their health insurance contributions for a total of three months over the last three years will lose their rights to free health care. Health insurance payments have jumped almost 50% per month from the start of 2010.

Bulgarian press review, January 5, 2010

2010-01-05T05:51:00.001-08:00

Press Review
Sofia, January 5

HOME SCENE

The majority is mulling cutting the number of constituencies, "Sega" reports. The topic will be discussed during the drafting of the new Electoral Code, it emerged on Monday. A group is expected to start work on it next week. The need to change the constituencies has drawn comments from electoral law expert Prof. Mihail Konstantinov several times since the present parliament was elected. It has been suggested that the existing 31 constituencies be reduced to 20.

***

"Troud" says that the nine MPs of the Order, Lawfulness, Justice (OLJ) party, led by Yane Yanev, will not attend the plenary sittings at the start of the new session from January 13 until they go into opposition. The daily quotes OLJ member Tsvetan Tsvetanov. The reason he gives is that the MPs will be touring the country to meet people. This will also help the party keep its promise to support GERB during its first six months in office ending on January 27. However, relations between the two parties were strained a lot earlier.

"Monitor" runs an analysis on how Yanev did not wait until January 27. The writer says the party's abdication from Parliament is a poorly concealed attempt to divert public attention from OLJ's disintegration. Apparently, there will not be a coup as one of the spokespersons said, but OLJ members are increasingly talking about replacing Yanev, or else some will quit and look for another party. This would hardly be a tragedy for Yanev, who is used to flitting from one party to another, the story says.

***

"Sega" reports that after the operation codenamed "The Impudent" the police have launched another one, "The Robbers". After the first operation led to the arrest of more than 30 people involved in an abduction gang, the Interior Ministry is taking on the rest of the criminals, it emerged from a statement by the Ministry's Chief Secretary Kalin Georgiev. The operation codenamed "The Robbers" is targeting mostly drug pushers, car thieves and robbers.

***

"Troud" reports that GERB will hold the shortest party congress on Sunday. It is scheduled to end at 3:30 pm. Boyko Borissov and Tsvetan Tsvetanov are expected to be re-elected chairman and deputy chairman. However, the term of the executive commission is ending and an election must be held at the forum. Borissov argues that no one substitutes players when the team is successful. Still, some of the current members are likely to drop out.

***

In a "24 Chassa" interview Ivan Kostov, leader of the Democrats for Strong Bulgaria (DSB), says people talk that he is running the country to anger Borissov. Kostov says it is only to be expected that the power-holders should listen to DSB. "For instance, when the budget was updated, the debate was basically between DSB and the Bulgarian Socialist Party. We stand up for the principles that DSB shares with GERB. On the one hand, we want to help, and on the other, GERB badly needs help. This party has not been in office. It thinks that the world starts with it," Kostov says.

THE ECONOMY

In "Standart News" Economy Minister Traicho Traikov calls on Bulgarians to look for new opportunities. He says that although things are unstable now, new partners will emerge who have not looked at Bulgaria before. New opportunities will appear in different countries. In addition, the opportunities offered by EU programmes should be followed carefully. He also says that Bulgartabac will be sold by mid-year, shares of the Bulgarian Energy Holding will be listed on the stock exchange, and Kintex's privatization still is problematic, its chief assets being people and contacts.
Interviewed by "Sega", sociologist Zhivko Georgiev says that during its first six months the cabinet tried to cope with the crisis with the wrong methods. He says it became an obsession to end the year with a balanced budget or at least with a minimal deficit - a pattern which, to some extent, was first used by the State, to be followed by widespread default of obligations to lending institutions, partners and customers which paralysed the economy. Georgiev says he is afraid that when the world starts emerging from the crisis, the Bulgarian economic players will lose what little ground they had.
Financier Andrei Prumov says in "Klassa" that 2010 will bring growth contrary to the government's forecast. His prediction is based on the optimistic end of 2009 in the world financial markets and on a rise in Bulgarian stock exchange indexes. This means that investors predominantly expect to see restored economic growth in 2010 despite the problems left behind by the financial crisis. Prumov predicts economic growth in Bulgaria in 2010, based on statistics which show green shoots both in the markets and in many industries.Agriculture Minister Miroslav Naydenov says in "Troud" that the number one task in 2010 is to bring back to normal the operation of the Agriculture Fund, especially concerning the Rural Development Programme, so as to meet the expectations of municipalities and farmers, because it has the largest funds, but is also plagued by the worst problems. What is coming up next is the start of the registration of agricultural producers for assistance in February.
"Sega" headlines a story "Djankov Concedes He's Holding Money Back to Keep Up Bulgaria's Image in EU". The public purse had enough money to pay out to doctors, judges, farmers and disabled people at the end of 2009 but Finance Minister Simeon Djankov did not approve the payments. He wanted to keep the year-end deficit below the 500-million-lev mark, which is the best achievement in the EU. "We need this to show the Europeans, the European Commission, that we can join the euro area, as well as to attract investors," Djankov said. However, economists say in "Sega" that the Commission needs to see more than the reported deficit - it wants to see the amounts carried over to 2010 as well.
"Sega" writes that doctors will demand money from all patients from Tuesday. Doctors threatened unprecedented protests at delayed payments. Patients will have to pay for all medical services they receive in hospitals and from their general practitioners unless the National Health Insurance Fund pays the November allocation to hospitals and GPs on Monday, said Tsvetan Raichinov, President of the Medical Association.

BULGARIA, EU

"Sega" comments that the bugbear of safeguard clauses for Bulgaria is gone after the three-year trial period. Still, Brussels has options to keep Borissov's government on its toes. This year the EU has 123,000 million euro, most of which is intended to accelerate the development of the member states and bring closer their living standards. Bulgaria has a choice: to remain poor with a prosperous top crust, or to make an effort to catch up with the countries it wants to look like. The trouble is that the never-changing Establishment must decide what sacrifices to make to gain access to EU money, which, though no longer officially frozen, still is out of reach.
Nadezhda Neinski MEP says in "Troud" that the choice of a Bulgarian EU commissioner should have been discussed. It is obvious that GERB had its way by nominating Rumiana Jeleva, which is the party's right. Still, it would have been better if a debate had been held about the qualities and the portfolio of the Bulgarian commissioner, Neinski says, adding that this is her idea of a democratic election. Neinski, member of the Union of Democratic Forces, says she will support Jeleva because they both are from the European People's Party.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 5.2010

· Notorious TV and radio anchorman Boby Tsankov was killed in a shootout in central Sofia in broad daylight around noon on Tuesday. Tsankov has recently finished a book on Bulgaria's underworld where he is believed to have had connections. He has recently started to become known as the country’s new mafia stories writer, not unlike Georgi Stoev who was shot in 2008. The Interior Ministry said that two other men are in hospital to be treated for wounds from the shootout.

· Heavy snow across North and Western Bulgaria has caused traffic delays and has bought much of the capital Sofia to a halt as traffic jams have built up in the city center. The Sofia Municipality has reported that most of the public transport lines in the city are being delayed by up to 1 hour and even with the ongoing winter cleaning efforts drivers reported problems across the city with uncleaned roads and ice. Huge traffic jams in the center of Sofia have brought many people to a halt. Bulgarian traffic police reported over 150 accidents in Sofia because of the icy conditions on Tuesday morning.

· Bulgaria’s Interior Minister, Tsvetan Tsvetanov, stated early Tuesday that Bulgaria’s criminal contingent must be bought into the public eye “which unfortunately has not yet been done.” Tsvetanov said that the arrest of the high-profile kidnappers’ gang busted recently in the special operation codenamed “The Impudent” had shown that the Interior Ministry could act within the law to deal correctly with bandits.

Bulgarian press review, January 4, 2010

2010-01-04T05:17:00.000-08:00

Press Review
Sofia, January 4

ECONOMY

"Standard News" leads with an interview with Prime Minister Boyko Borissov entitled "Private Business Will Get Us Out of the Mire", He says that he stands behind each and every step of Finance Minister Simeon Djankov and that Djankov did the impossible in the situation he was placed in. "We saved Bulgaria from bankruptcy," says the Prime Minister.
He also says that the Interior Ministry is launching a large-scale operation against what he calls "neighborhood bandits".

***

In "Dnevnik", business representatives are quoted as saying that the New Year will be difficult for some of the most important sectors of the Bulgarian economy and an improvement should not be expected before the second half of 2010. Economic analysts are unanimous that the worst problems will be the shortage of cash, lack of foreign investment and unemployment which will continue to grow to some 11 per cent. Two key sectors, construction and tourism, should be prepared for a tough year, says "Dnevnik". "The forecast is gloomy: there is no construction and the order books are thin," says Ivan Boykov, Executive Director of the Chamber of Construction. He says further that the big hopes are in government procurement but the infrastructure projects cannot offset completely the loss of investment by the private sector. The Confederation of Employers and Industrialists in Bulgaria expects some recovery in agriculture and in the green energy industry. Their forecasts are also optimistic for the pharmaceutical and the food industry, and pessimistic for machine building.
The paper also observes that the banking sector is much more optimistic than the rest. United Bulgarian Bank CEO Stilian Vutev expects a growth in lending of 7-8 per cent. He believes that towards the middle of the year the level of interest on credits will start to be affected favorably by the measures that the government is expected to take. Postbank CEO Assen Yagodin comments that there is no economic logic in having the price of deposits go further up, which is certain to keep from rising further or even push down the interest on credits.
Agricultural producers and the food industry disagree with the grim forecasts, "Dnevnik" writes further. The farming sector and the processing industry connected with it were the only ones to see a modest growth in 2009, and people in this business have a reason to expect a stronger growth in 2010. Last year had relatively good weather conditions and grain producers saw good financial results.

***

Close to 86 million leva in state receivables were collected as at the end of November 2009 which is half the previous year's amount, the ex-Executive Director of the defunct State Receivables Agency, Dimana Miteva, tells "Klassa". As of January 1, 2010, the Agency is part of the structure of the National Revenue Agency. Miteva says that the downward trend in the collection of receivables has persisted for two years now. In 2008 the Agency reported revenue of just over 185 million leva, down from 281 million in 2007. The reason for the decline in revenue is that businesses set aside less resource for acquisition of immoveable and moveable assets which the Agency auctions, Miteva say.

***

In the best-case scenario, it will take one more painful year for the crisis to aggravate further, before a recovery is anywhere in sight, financial analyst Krassimir Angarski tells "Troud". He says that the State is stifled by an oversize administration.

***

Bulgaria's recovery from the economic downturn will be L-shaped, Lyubomir Hristov of the Managing Board of the Institute of Certified Financial Consultants, says in a "Dnevnik" interview. The paper recalls that Hristov was recently named by Prime Minister Boyko Borissov as one of his three economic advisors, along with Kristalina Georgieva of the World Bank and Ilian Mihov of the INSEAD graduate business school.
Hristov expects poverty among the elderly to become a national problem in Bulgaria - financial and social - in 2020-25.

***

The crisis held up the upward movement of local taxes and charges, "Sega" writes in a front-page story. Disproving the expectations of the National Association of Municipalities, the vast majority of municipalities are keeping unchanged their taxes or only slightly adjusting them this year. Even at places where the mayors said before the New Year that they would have to increase taxes to be able to pay the debts, taxes have stayed unchanged. At most places the local authorities are looking for additional sources of funding.

THE HOME SCENE

Under the headline "Borissov Picks the Papandreou Model for Himself", "Troud" writes that Prime Minister Borissov is very much likely to borrow the Greek model where the government leader is also the nation's top diplomat. The story quotes the Prime Minister as saying in a "Troud" interview that he would name on January 13-14 "the handsome and smart man" who would take over from Rumiana Jeleva as Foreign Minister. ["Handsome and smart man" was first used by Foreign Minister Jeleva when reporters asked her who would inherit her office when she becomes Bulgaria's representative in the European Commission]."But with this definition she gave, I see nobody other than myself! How could I tell you who are more handsome and smarter than me," said the Prime Minister.
"Troud" observes that it is no secret that Boyko Borissov likes much his Greek counterpart George Papandreou.

***

"Douma" leads with a story entitled "Crisis Affects Birth Rates". The paper quotes knowledgeable sources as saying that the baby boom will peak around Easter after which the majority of Bulgarian families will be unlikely to plan having more children. This will be an immediate effect of the economic crisis and the insecurity of jobs and incomes, the paper says.

***

"Douma" also reports that as of this year family doctors will be paid 7.70 leva for each checkup of a child, up from 5.30 leva in 2009. Like before, no fee will be charged for a child's visit to the doctor. Also from January 1, two vaccines have been added to the national children's vaccination calendar and parents will not be charged for these: a pneumococcal vaccine and the 5-component combination vaccine (against polio, diphtheria, tetanus, whooping cough and Haemophilus influenza type B).

***

There is an idea for a building in central Sofia that currently seats the party HQ of the National Movement for Surge and Stability (NMSS), to be taken for government use, unidentified sources of the ruling majority told "Klassa". The reason is that Sofia doesn't have enough buildings for the state administration and NMSS is no longer represented in Parliament and has no reason to enjoy the luxury of such a big building, the paper writes.

***

A good alternation of Left and Right government produces the best result for a country, Spanish Ambassador to Bulgaria Jorge Fuentes Monzonis-Vilallonga says in a "Douma" interview. A democratic country which is a member of the EU should have no areas of insecurity, the diplomat says.

***

"President Georgi Purvanov awards an order a week," "Sega" says in a front-page story. Over his one-and-a-half presidential mandate, he has presented a total of 592 state orders and at least 40 have received the Presidential Badge of Honour - an award he introduced in 2002 and presents at his discretion. Only in his first two years as President, he presented as many Balkan Range Orders (142) - the highest state award - as his predecessors Peter Stoyanov and Zhelyu Zhelev did together. By the end of Purvanov's second term as president in 2011, another 200 recipients or more will get state honors, "Sega" says.

***

"Monitor" and "Telegraf" quote unidentified police sources as saying that one more member of the group of kidnappers known by the name law-enforcers gave them - The Impudent - which police recently broke up, has agreed to cooperate with the law-enforcers. This is no other than the suspected ring leader, Ivaylo "Yozhi" Evtimov. He reportedly told prosecutors that he was not the gang's master, was only put in command for some of the kidnappings and three other persons were the true masterminds but they were not among the men arrested by police.

***

"Novinar" leads with the new hijacking of a vessel with Bulgarian seamen in the Gulf of Aden. It quotes Prodan Radanov of the Bulgarian company that hires seamen for international crews (Zodiac), as saying that all 25 crew of Asian Glory are safe and sound. Zodiac has spoken to the Bulgarian crew members but have no information about the kidnappers. The Foreign Ministry has confirmed that no contact has been established with the pirates and no talks on a ransom have started, the paper says.

***

The government has stepped up its efforts to collect 20 billion US dollars that Turkey owes for the property of what has come to be known as "Thracian Bulgarians", Minister without Portfolio Bozhidar Dimitrov tells "Ataka". Dimitrov is quoted in a front-page story.
"Thracian Bulgarians" are Bulgarians who migrated from Eastern Thrace and Asia Minor to Bulgaria in the wake of the Balkan Wars of 1912-1913. They left behind property for billions of dollars for which no compensation has been paid despite an agreement signed in 1929 and repeated declarations by the two countries to deal with the issue.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – Sofia, January 4, 2009

· ”I expect that some sectors of the economy will do better this year than they did before the crisis,” Bulgaria’s Finance Minister and Deputy PM Simeon Djankov said in an interview with the national television. Being a small but financially-stable country, Bulgaria stands all chances to become an investment center in SE Europe, he went on.

· Bulgaria PM Boyko Borissov has stated that the coming days will be “black” for neighborhood bandits as he announced the start of the ‘Operation Apashite’ by the Interior ministry.
Borisov said that the number one goal for the Interior Minister Tsvetan Tsvetanov was to target the robbers who the whole country complains about. He added that the government would “chase the bandits to their holes”.

Bulgarian press review, December 18, 2009

2009-12-18T05:13:00.001-08:00

Press Review
Sofia, December 18 (BTA)

THE HOME SCENE

The Friday papers give front-page prominence to the Thursday arrest of 25 suspects in a large-scale police operation against a kidnapping ring. "Troud" ("Interior Ministry Catches Uncatchable Abductors") quotes Interior Minister Tsvetan Tsvetanov as saying that the operation was codenamed "The Impudent" "because this is the word that best describes people who have been harassing the Bulgarian society for two years now". "Not 'The Uncatchable' what everybody used to call them. They were caught," the Minister said. The story quotes Prime Minister Boyko Borissov as saying, "We have nailed them with blood, DNA, houses they have used and witnesses, all of which indicates and explains exactly how they worked". He described the ring as "a very strong alloy" of all kinds of people, including car thieves and credit card forgers.

In a "24 Chassa" interview, Interior Ministry Chief Secretary Kalin Georgiev says that the kidnappers had a second room prepared "to accommodate" a kidnapped person, this indicates that the ring was preparing multiple abductions. "What we have established so far is that these people have managed their resources in a very sensible manner. They have invested in properties registered to figure-heads. They have invested in trading businesses and have lended money. They have travelled abroad but nothing that would strike as unusual. We got the main group. The organization was beheaded. This is what we have hoped to achieve. But I cannot say there will never be more kidnappings. Some of their aides could still be at large and try to abduct somebody tomorrow," Georgiev says. He also says that all former and present Interior Ministry employees will be checked for possible connection with the kidnappers.

Says Deputy Prosecutor Generak Boyko Naydenov in "24 Chassa", "We managed entirely on our own. It proves that there is State and that the State is stronger than any individual criminal group." He says the broken ring is believed to be responsible for three or more kidnappings.

"Sega" writes in a commentary that the important thing is what comes after the arrests. "With 25 men busted en bloc, the natural question is how many of them will stay behind bars and whether they will be sentenced for the kidnappings one day. Many times before, policemen and prosecutors have told us there is solid evidence that would hold in court, but then everything fails. We hope they have learned their lesson and have real solid evidence this time."

***

In "Novinar", the chairman of the National Union of Safety and Security, Roumen Ralchev, warns that Bulgarians are yet to see a crime boom because the worst of the crisis is not yet over. He says that security is an abstract notion which has many aspects, one of them being the contribution of the civil society. And in Bulgaria civil associations are kept at bay by the Interior Ministry. What is more, the law-enforcing system has been faltering for years now and the Interior Ministry has a flawed recruitment system, says Ralchev.

***

"Troud" runs a commentary on the idea for holding a referendum on the Turkish-language newscasts on Bulgarian National Television. "A possible parliamentary resolution for a referendum would seal with a red seal the tacit coalition between GERB and Ataka, bringing certain inconviniences for Borissov, including some affecting his international contacts. Unlike GERB, Ataka is in a win-win situation and only stands to gain from the referendum and especially the campaign ahead of it. Boyko Borissov has readily reconsidered a wrong step more than once and has not been known for bothering to save faces. This time he could take only one of the referendum opponents' arguments: we have a crisis and a tough winter is in store for us. It seems very likely for the referendum to be put off for 'some other time'," the story goes.

"24 Chassa" reports a telephone conversation between Boyko Borissov and his Turkish counterpart Recep Tayyip Erdogan where the two discussed the referendum idea and the Bulgarian Prime Minister said that the government would make sure to take the best decision. The paper observes that the phone call came several hours after the Turkish Foreign Ministry circulated a declaration to say that Turkey is following closely the matter. MP Lyutvi Mestan (Movement for Rights and Freedoms) is quoted saying in Parliament's debating chamber that the referendum idea is "dangerous and harmful for Bulgaria".

"Standard News" comments that Parliament "has gone crazy" and made the Turkish-language newscasts a top item on its agenda. "For 20 years now the population was put through all kinds of experiments without being asked once whether it agreed or not, and now all of a sudden they decide to ask its opinion about a 10-minute newscast on BNT as a proof that direct democracy rules in Bulgaria. It is not hard to imagine the preparatory campaign that awaits us: maps with minarets and crescents, videos showing bearded Islamists. Bulgarians and [ethnic] Turks will be set to vote against one another - as if the people of the two ethnic groups don't have the same problems!"

***

In a "Troud" interview, Vesselin Metodiev MP (Blue Coalition) observes that MRF is trying to pull itself away from the Bulgarian Socialist Party (BSP). He says that the MRF leadership is known for its capacity to change allegiance to survive. "MRF has proven to erode any government in the name of its own ambitions and survival. [MRF leader] Ahmed Dogan called "stupid" the aspirations to make Bulgaria an energy hub in the Balkans, and "a patriotic adventure" the Belene N-plant project, and that shows an attempt for separation with BSP and the very same people it shared the power until recently," says Metodiev. He says Bulgarians have a problem with MRF and often mix up their attitude to MRF [as the party that is seen to represent ethnic Turks in Bulgaria] with their attitude to the Turkish-language newscasts. "I believe that very few will vote against the rights of Bulgarian Turks but this is not the issue," he says.

***

A front-page story in "Sega" says that the Supreme Judicial Council (SJC) "rewarded itself" with the equivalent of 2 monthly wages, or 5,300 leva, in a year-end bonus. The author notes that the outgoing year for the Supreme Judicial Council was dominated by an influence trading scandal, outrageous recruitment decisions and progressively diminishing public confidence in the judiciary. The decision comes as a surprise since two weeks ago the SJC said everybody in the judiciary was going to get a bonus, but not the SJC members, the story goes.

***

"Troud" reports an unsightly exchange between Ataka leader Volen Siderov and Order, Lawfulness, Justice (OLJ) leader Yane Yanev in Parliament Thursday: Siderov urged Yanev to admit his homosexuality and Yanev declated being heterosexual and suggested that Siderov sent to him his wife to verify that. The exchange took place before the eyes of EU diplomats who were there for a meeting with the OLJ deputies. Parliament Chair Tsetska Tsacheva called an emergency meeting of Parliament's leadership over the incident and they decided to refer the case to the parliamentary ethics committee.

ECONOMY

The government could use money from the reserve to pay up to companies for work they have done under public procurement contracts, "Dnevnik" writes. The story quotes Finance Minister Simeon Djankov as saying that money from the fiscal reserve could be used early next year to pay a portion of the government's outstanding liabilities to businesses. Djankov reportedly discussed this option Wednesday with Regional Development Minister Rosen Plevneliev and construction associations.

The exact amount of the government's debt to businesses remains unclear and various sources put it somewhere between 1 and 1.5 billion leva.

BULGARIA - EU

"Pari" reports that Brussels is giving Bulgaria 37 million euro in subsidies for projects in the area of renewable energy sources, water management and the dairy sector. The funding was approved on Bulgaria's request, with no objection. The 37 million is part of a 200 billion euro package that the EU set aside late last year as an anti-crisis measure.

Links to some Bulgarian info websites in English:

· http://www.bta.bg/site/en/indexe.shtml
· http://www.novinite.com/index.php
· http://www.focus-fen.net/

Most discussed topics of the day – November 30, 2009

· It is snowing in almost all parts of the country. There is already big thick snow-cover in many places. The traffic is hard and slow almost everywhere. Sofia was again faced with the traditional problems when snowing - heavy and slow traffic, including public transport, as well as uncleaned streets, which hampers the traffic further.
The Bulgaria Minister for Regional Development and Public Works, Rosen Plevneliev, has stated that the situation over winter road cleaning is critical in 9 regions of Bulgaria.

· Bulgaria's Parliament resolved on a suspension of the disposition of land tracts and corporeal immovables restituted or given as compensation to the heirs to the former kings Ferdinand I and Boris III. The vote was 106 in favour (GERB, Ataka, The Blue Coalition and the independents), two against (Movement for Rights and Freedoms (MRF), and 13 abstentions (the rest of the MRF and Coalition for Bulgaria (CfB).