The president of the Insurance Supervisory Commission (ASF) has been detained by National Anticorruption Directorate (DNA) prosecutors and is scheduled to go before the Bucharest Court of Law (BCL) to be remanded in custody for 30 days. DNA prosecutors have extended the criminal investigation on Rusanu on suspicion of favoring the defendant and influencing testimonies in the ASF – Carpatica Asig case.
Last week, DNA prosecutors initiated criminal proceedings on Rusanu in the ‘Carpatica’ case on charges of constituting an organized criminal group and complicity to abuse of office, under suspicion of drafting and approving the Emergency Government Ordinance on ASF and agreeing to “the fraudulent protection” of SC Carpatica’s interests. “The ordinance on extending the scope of the criminal investigation shows there is reasonable data and evidence, according to which Rusanu Radu Dan, in order to perpetuate favoring SC Carpatica Asig SA and appoint certain individuals in the ASF Board, took action aimed at persuading the Romanian Government to adopt an emergency ordinance that offered his personal and group interests a regulatory and mandatory character,” a DNA press release cited by Mediafax notes. Evidence collected so far point to Rusanu having drafted the emergency ordinance draft on the amendment and supplement of EGO 93/2013 on the establishment, structure, and internal regulations of ASF, and the emergency ordinance draft to amend Law 136/1995 on the insurance and reinsurance sector in Romania; as president of ASF, he also presumably approved the bill draft subsequently adopted in the government session from October 16, 2013 and published in the Official Gazette of October 18, 2013.
Furthermore, at the government session from October 16, 2013, Rusanu allegedly managed to regulate a provision which enabled the president of ASF, exclusively, to make the decision to initiate or not initiate unannounced inspections at insurance companies, thus “limiting the responsibilities of the vice-presidents of supervisory sectors, who were supposedly qualified to decide the necessity of instituting such inspections,” prosecutors showed further.
DNA requests approval for initiating criminal proceedings on Chitoiu
for abuse of office
Yesterday, DNA also requested the General Prosecutor at the Prosecutor’s Office of the High Court of Cassation and Justice (PICCJ) to submit a petition with the Chamber of Deputies for approving the initiation of criminal proceedings on Daniel Chitoiu in connection with the ‘Carpatica’ case, on charges of abuse of office and constituting an organized criminal group during his term as Minister of Finance.
According to Anticorruption prosecutors, the request was based on reasonable evidence that proves Chitoiu initiated the adoption of an emergency ordinance in October 2013, “the sole aim of which was to support the criminal group constituted to favor the interests of SC Carpatica Asig SA, without underlying real cause for emergency and by eluding the procedure previously regulated through Government Decision no.561/2009.” “The proceeding was aimed at removing Tudor Daniel George, vice-president of the insurance supervisory sector, from the ASF Board, and replacing him with an individual who would fraudulently ensure the financial interests of SC Carpatica Asig SA were protected,” DNA representatives say.
The prosecutors’ report also points out the above mentioned deeds have damaged both the Government and ASF’s interests, two institutions that play a key role in ensuring the law and institutional transparency principle are upheld, and the goal of which should be to serve public interests exclusively. The infraction also affected Daniel George Tudor, vice-president of the insurance supervisory sector, who was forced to resign.
Ilie Carabulea and Marian Mirzac still under arrest
The day before these measures were announced, BCL accepted DNA’s request to extend the remand in custody of businessman Ilie Carabulea and Marian Mirzac, his accomplice. Both men were remanded in custody on corruption charges. The court’s decision is not final and is subject to appeal through the Bucharest Court of Appeals. Businessman Ilie Carabulea, owner of Carpatica group, and Marian Mirzac, former General Manager of Carpatica Asig in Sibiu, both implicated in the ‘Carpatica’ case, have been accused of delaying and influencing the results of several audits commissioned by ASF on the insurance company between May and December 2013. In the same case, Laura Chitoiu, wife of former Finance Minister Daniel Chitoiu, is under criminal investigation for abuse against public interests during her term as Director of the Approvals Department of the Insurance Supervisory Commission. After the announcement was made, Laura Chitoiu resigned voluntarily from the position of Director of the Approvals Department of ASF. Radu Mustea, member of the Board of Directors of Carpatica Asig and president of the Car Insurers’ Bureau of Romania, and Ovidiu Ioan Cezar Giurgea, clerk at ASF, are also under criminal investigation in connection with the same case.