Romanian Telecommunication Group’s CEO Charged with Money Laundering

Romania’s anti-corruption agency indicted the CEO of one of the country’s biggest telecom operators with money laundering, the company announced on Monday.

Bucharest Romania 2Bucharest, Romania (Photo: Daniel Wabyick, CC BY 2.0)Digi Communications informed the public in April that it was under investigation for bribery and money laundering and by mid-May it announced that CEO Serghei Bulgac as well as two executives of one of the company’s subsidiaries were suspects of bribery and money laundering, according to Romania-Insider.

Digi Communications started trading on the Bucharest Stock Exchange during the same period in May.

The national anti-graft watchdog charged the subsidiary RCS&RDS on July 25 for bribery and money laundering and seized two of its buildings to recover about €3 million (US$ 3.5 million).

“We continue to fully cooperate with the investigation and believe that RCS&RDS, INTEGRASOFT and their current and former officers have acted appropriately and in compliance with the law,” Digi wrote in a press release on the Bucharest Stock Exchange.

Former RCS&RDS CEO Alexandru Oprea is also under investigation in connection to a contract that RCS&RDS signed in 2009 with Dumitru Dragomir, the former head of Romania’s Professional Football League (LPF).

Prosecutors claim the contract was a bribe RCS&RDS paid to Dragomir in exchange for getting broadcasting rights for Liga I football matches.