Results from the first phase of the judiciary’s vetting process. The first phase of the re-evaluation process for members of the judiciary system has been completed in August. This phase included the re-evaluation of judges and prosecutors running for the governing bodies of the new judicial system such as the High Judicial Council and High Prosecutorial Council and those running for the Justice Appointment Council. The Vetting process started in November 2017 and will include over 800 judges and prosecutors. The Vetting Law provides that the re-evaluation process shall be carried out in three components: asset assessment, background check, and proficiency assessment.

Assets of 47 judges and prosecutors were evaluated, resulting in 20 discharged from office, while 27 others were confirmed in duty. So far, the Constitutional Court is the institution that has been hit the hardest by the vetting process. Out of nine members, the only two confirmed in office are the ones whose mandate has ended. Two members have resigned before the vetting process began. The Supreme Court suffered the same outcome with 5 members being dismissed and only 4 remaining in office. According to data from the Special Appellate Commission (KPK), four of KPK’s rulings have been appealed. Former Constitutional Court member appealed the KPK ruling himself, whereas the three other rulings were appealed by the Public Commissioner.

EU ambassador: New Armenia government takes the fight against corruption seriously. Referring to recent arrests for corruption, the Head of the EU Delegation to Armenia Piotr Switalski noted the importance of the fact that the new Armenian government declared the fight against corruption one of its priorities. And the message that the Armenian authorities take the fight against corruption seriously was clearly voiced in Brussels at the first meeting of the Armenia-EU Partnership Council, as well as during other meetings of the Armenian Foreign Minister in Brussels, the ambassador said. In addition, as noted by the EU diplomat, it is important that the new government wants anti-corruption campaign to continue in accordance with the law, within the framework of current legislation and in conditions of full transparency.

Armenia’s positions in fighting corruption has significantly improved in the recent assessments of international organisations, Armenia’s justice ministry told Armenpress. The report on Armenia prepared as a result of the 4th Round Monitoring was assessed during the plenary meeting of the Anti-Corruption Network for Eastern Europe and Central Asia (ACN) of the Organisation for Economic Co-operation and Development (OECD) in Paris from 2 to 5 July. The report concluded that out of 21 recommendations 3 have been fully implemented, 8 – largely and 10 – partially.

Armenia’s Deputy PM Vows Steadfast Anti-Corruption Campaign. Armenian Deputy Prime Minister Ararat Mirzoyan said Pashinyan's administration has spared nothing in their efforts to end decades of high-level graft and entrenched bribery, extortion, nepotism and fraud. Following a series of raids ordered by Pashinyan in late June, a number of high-level public officials were arrested on allegations of corruption. Although the majority of probes involve former ruling party officials, the anti-corruption campaign is not an act of political revenge, Mirzoyan said.

Azerbaijan’s anti-corruption reforms discussed at 19th Plenary Meeting of the Anti-Corruption Network. The progress report of Azerbaijan on Fourth Round of Monitoring of the Istanbul Anti-Corruption Action Plan was presented by senior prosecutors of Azerbaijan’s Anti-Corruption Directorate and adopted by the international expert group. According to the experts, Azerbaijan achieved progress in its anti-corruption efforts in several sectors of public administration, specifically in service delivery, police and education.

State officials who don’t fight corruption will be dismissed. On 8 July 2018, the Azerbaijani President highlighted the importance of fighting corruption and bribery more seriously at the meeting of the Cabinet of Ministers dedicated to 2018 mid-year results of socio-economic development.

Azerbaijan’s delegation attends informal meeting of justice and interior ministers on combatting corruption. In his remarks on 13 July 2018, the Minister of Justice Fikrat Mammadov emphasized the political will to combat corruption, pointing out the improvement of legislation in this field, as well as successful reforms carried out in the country’s judicial system, election of judges and “ASAN Service” activities.

Belarus’ President fires Prime Minister over corruption. Andrei Kobyakov, Belarus’ prime minister was fired by President Alexander Lukashenko. In addition to Kobyakov, several other vice-premiers and the ministers for economy and industry have been removed from their posts. The firing relates to a corruption scandal over the summer that involved the country’s health services. Authorities arrested dozens of top health officials, medics, and pharmaceutical representatives over charges that they had siphoned off millions in state funding.

Belarus supports the development of cooperation with the European Union Justice authorities in the fight against corruption, following the meeting of the Justice Ministers of the EU member states and the countries participating in the Eastern Partnership initiative which was held on 13 July 2018 in Innsbruck. The meeting offered an opportunity to discuss the priorities for the cooperation between the EU and the Eastern Partnership countries, with ministers affirming their commitment to pursue their reform processes, in line with the key deliverables for 2020 pertaining to justice and home affairs. In this context, the ministers emphasised that the fight against corruption and implementation of public administration reforms are of crucial importance for promoting good governance at all levels and increasing public confidence in national and local institutions. According to the First Deputy Head of Minister of Justice of the Republic of Belarus, it is of vital importance to develop permanent channels for international cooperation between justice agencies in resolving issues in this area.

Representatives of Commonwealth of Independent States (CIS) agreed on a draft agreement on cooperation in combating corruption. The CIS intends to implement joint programmes and activities, conduct anti-corruption monitoring, exchange information and to improve the legal framework for cooperation. Armenia, Belarus, Kyrgyzstan, Moldova, Russia, Tajikistan and Uzbekistan will render each other legal assistance and assistance in cases of corruption offenses, carry out coordinated and operational search, operational and preventive measures, cooperate in the search for and detention of persons who have committed corrupt crimes. In addition, it is planned to establish cooperation in the field of search and return of proceeds of corruption. Another important aspect is providing legal protection and support to citizens and organisations involved in combating corruption.

Official launch of the Council of Europe Action Plan for Bosnia and Herzegovina 2018-2021. Jointly agreed actions in democracy, human rights and rule of law, reflecting Bosnia and Herzegovina Council of Europe’s membership commitments and EU integration priorities, are at the heart of the new four-year Council of Europe Action Plan for BiH (2018-2021), launched on 16 July 2018 by the Minister of Foreign Affairs, Mr Igor Crnadak and Head of Council of Europe Office in Sarajevo, Ambassador Drahoslav Štefánek. It is a strategic programming instrument which outlines the joint cooperation and actions to be taken by national partners and the Council of Europe, in order to facilitate the fulfilment of the obligations as a Council of Europe member State and the European integration process.

Bulgaria's Record in Protecting Investigative Journalists 'Shameful'. The new report of 19 July 2018 by media freedom watchdog Reporters Without Borders, RSF, says Bulgarian reporters can produce investigation reports more easily than ever – but not publish them – and condemns the failure to prosecute offenders for intimidating journalists. The report says investigative journalism still faces serious obstacles in Bulgaria. The report comes just weeks after Bulgaria's parliament backed controversial amendments to print publishing legislation that obliges media outlets to reveal the sources of their income. According to the RSF report, the new law will add to the pressure on those media that rely on grants and foreign donations to maintain their independence. The report notes that, despite relatively good conditions for conducting investigations in Bulgaria, an oligarchical media environment still leaves investigative reporters at risk in terms of their wellbeing and public standing.

Bulgaria's Record in Protecting Investigative Journalists 'Shameful'. The new report of 19 July 2018 by media freedom watchdog Reporters Without Borders, RSF, says Bulgarian reporters can produce investigation reports more easily than ever – but not publish them – and condemns the failure to prosecute offenders for intimidating journalists. The report says investigative journalism still faces serious obstacles in Bulgaria. The report comes just weeks after Bulgaria's parliament backed controversial amendments to print publishing legislation that obliges media outlets to reveal the sources of their income. According to the RSF report, the new law will add to the pressure on those media that rely on grants and foreign donations to maintain their independence. The report notes that, despite relatively good conditions for conducting investigations in Bulgaria, an oligarchical media environment still leaves investigative reporters at risk in terms of their wellbeing and public standing.

Nearly 42% of Citizens Not Ready to Report Corruption. According to a survey on the public attitude towards corruption, made public on 13 July 2018, 41.5% of the respondents would not submit a corruption alert if they have witnessed corruption or have information about it. Out of those who would, 45% would alert the media, 20% - the police, 13.5% - the Counter-Corruption and Unlawful Assets Forfeiture Commission, 10.2% - a control body, and 10.1% - the prosecutor’s office. The biggest share of respondents (71.2%) think that the fight against corruption should be focused on investigating corruption at the highest political level, followed by corruption in the local authorities (63.7%) and in the central administration (58.5%).

Corruption risks in Georgian Judiciary. Transparency International Georgia presented research assessing corruption risks in the Common Courts System of Georgia. This type of research is the first of its kind in Georgia. Based on the research of the current situation within judicial system, the main factors that contribute to suspected cases of corruption are (a) undue influence on judicial administration by a certain dominant group of judges; and (b) structural and other weaknesses of the Georgian court system caused by flawed legislation, which have not been remedied due to deep opposition from within and outside the judiciary.

Georgian Parliament confirmed new Chief Prosecutor. On 16 July, Shalva Tadumadze waa confirmed as new Chief Prosecutor for a six-year with 101 votes to 2. Prior to that Tadumadze served as the Head of the Government’s Administration.

Constitutional Court Bans Sanctions for Personal Use of Marijuana. The Constitutional Court of Georgia declared unconstitutional the provision of the administrative code, which imposes financial and other non-custodial sanctions for non-prescribed use of marijuana.

'Cigarettes case' test Jordanian government’s stance on corruption. The case of a criminal ring with rumoured political ties involved in the illegal production and smuggling of fake-brand cigarettes worth of millions of dollars is dominating public discussion in Jordan. The recently appointed Prime Minister Omar al-Razzaz confirmed the case's referral to the state security court, which typically handles serious criminal and terrorism cases.

Enhancing co-operation in the anti-money laundering and combating financing of terrorism area - Newsroom PECK II Kosovo*. On 27-29 August 2018, the Project against Economic Crime in Kosovo* (PECK II) organised a study visit for representatives of Kosovo* authorities in the area of anti-money laundering and combating terrorism (AML/CFT) in Prague and Brno, Czech Republic. An interagency delegation composed of representatives from the Financial Intelligence Unit, Police, Central Bank, Ministry of Justice, Customs, Judiciary and Prosecution benefitted from an exchange of experience with officials in the Czech Republic.

Jeenbekov: I want to see civil society as main partner in fighting corruption. Speaking at the meeting held with representatives of non-governmental sector, President Jeenbekov stressed the cooperation between state bodies and civil society in the development of the country. “Despite the fact where a person works, in the non-governmental sector or state structure, the goal should be one - development of the state, improvement of people's livelihood, labour for the benefit of the future of Kyrgyzstan. Close constructive communication between state bodies and civil society creates prerequisites for openly voicing problems and goals. Such cooperation is the basis for successful work,” the President’s press service cited his words.

Bishkek Mayor Albek Ibraimov detained reported the press service of the State Committee for National Security of Kyrgyzstan on 19 July 2018. He is accused of misappropriation and embezzlement of property of TNK Dastan OJSC by purchasing special products at an overpriced value and in corruption. It was established that the mayor organised the corruption scheme for illegal allocation and provision of land plots for the use of private persons in order to obtain material benefit for himself and others.

Prosecutors finalized digitalization of criminal records. The General Prosecutor’s Office has announced that 42,000 criminal cases and 176,604 procedural acts have been digitalized in the E-Case platform. This process took over one year. E-Case ensures better access to the criminal files and records all steps of the cases. In the future, the system shall be integrated with the electronic platform existing in law enforcement agencies and central public institutions. This way, exchange of information will be efficient and secure. The creation and launch of the system was part of the Justice Sector Reform Strategy and foresees further actions to develop interoperability.

NIA published activity report for the first semester of 2018. In the activity report published by the National Integrity Authority (NIA) the institution also highlighted as its future priority steps the necessity to finalise the internal regulatory framework (including the institutional strategy), start performing the verification process of the assets and personal interest declarations, complete the recruitment process and ensure better infrastructure. NIA also highlighted how the E-Integrity shall be further developed to support the inspections.

President promulgates Voluntary Tax Compliance Law. President Igor Dodon decided to promulgate the package of laws enabling voluntary tax compliance regarding unpaid taxes and undeclared assets, together with the introduction of a 12% flat tax rate on individual income. The President argued the adopted measures would spur the country’s economic growth.
He mentioned that more competitive conditions are needed to attract investment into the Moldovan economy, to develop the business community, create jobs, increase exports of goods and services. Civil society members as well as foreign partners met the package with criticism, in particular regarding the tax amnesty component.

Parliament passes new Law on International Restrictive Measures, thus avoiding Montenegro’s placement under Step 3 of Compliance Enhancing Procedures. The law was developed with assistance of CoE experts, within the CoE/EU Action against Economic Crime in Montenegro (AEC-MNE).

Mayor of Tivat resigns as she refuses to sign relief payment for utility services. Mayor Matijevic (DPS) resigned in July due to a controversy over coastal investors’ unpaid utilities (worth 5,6 MLN EUR), whereby the DPS central management pressured her to sign off a relief payment. Mayor Matijević considered this contract unlawful and decided to resign from her position. Mr Kusovac (DPS), replacing Mayor Matijevic, has publicly proclaimed his willingness to sign off relief payment for investors.

Montenegro goes forward with implementation of economic citizenship. The Montenegrin government has adopted the decision according to which foreigners will be able to apply for Montenegrin citizenship if they invest 250,000 EUR in projects in underdeveloped areas of Montenegro, or 450,000 EUR in the projects in developed areas of Montenegro. This plan is being monitored by international actors in Montenegro, as it raises concerns regarding possible abuses by criminals.

Corruption and bureaucracy affect Morocco’s competitiveness, says the World Bank. According to the World Bank’s new report on global competitiveness, corruption and bureaucracy are the main problematic factors for doing business in Morocco. The survey ranks the Kingdom 71st in the world and first in North Africa.

Secretary General calls on Romania to wait for Venice Commission opinion on reform of Criminal Code and Criminal Procedure Code. On 5 July 2018, the Secretary General of the Council of Europe made the following statement: “I call upon all parties concerned to wait for the Venice Commission’s Opinion, and to take it into account, before any further steps are taken to amend Romania’s Criminal Code and Criminal Procedure Code. This reform risks contradicting Romania’s international obligations, notably under the Council of Europe Criminal Law Convention on Corruption, as identified by the recent ad hoc report of the Group of States against Corruption (GRECO). As a member State of our Organisation, Romania is duty-bound to uphold the rule of law. The Council of Europe will continue to pay close attention to the on-going developments in Romania and we stand ready to provide further expertise if needed.”

Romania's president removes chief anti-corruption prosecutor. Romania’s President Klaus Iohannis sacked chief anti-corruption prosecutor Laura Codruta Kovesi on 9 July 2018 to honour a constitutional court ruling which Kovesi said may leave prosecutors exposed to political interference. Kovesi has led the DNA anti-corruption agency since 2013 and, under her management, conviction rates have risen sharply in one of European Union’s most corrupt states, winning plaudits from Brussels who has its judiciary under special monitoring. “Constitutional court rulings must be obeyed in a state that respects rule of law. The president issued the decree to remove the chief prosecutor from post,” presidency spokeswoman Madalina Dobrovolschi told reporters.

Proposed reforms could undermine independence of judges and prosecutors according to Venice Commission. In a preliminary opinion published on 13 July 2018 and requested in May this year by Romanian President Klaus Iohannis, the Council of Europe’s Venice Commission commented on three legislative drafts amending existing judiciary legislation: Draft law amending Law 303/2004 on the statute of judges and prosecutors, Draft Law amending Law no. 304/2004 on judicial organisation, Draft Law amending Law no. 317/2004 on the Superior Council of Magistracy.
According to the Romanian authorities, these drafts aim to increase judicial efficiency and accountability and to strengthen the independence of judges, by separating judges’ and prosecutors’ careers. The preliminary opinion takes note of the current “tense political climate, strongly impacted by the results of the country’s efforts to fight corruption”. The Venice Commission notes pressure on and intimidation of judges and prosecutors, including by high-ranking politicians and through media campaigns. The expert body acknowledges, too, alleged cases of misuse of power by Romanian magistrates, in particular prosecutors, leading to doubts about methods used to fight corruption as well as concerns about links between judicial institutions and the intelligence services.

A draft law on combatting corruption during international business transactions submitted to the State Duma. The draft law prepared by the Russian Ministry of Justice introduces administrative punishment for those legal entities found guilty of committing crimes associated with corruption on behalf or in the interest not only of a legal entity but in the interests of other legal entities connected with it, such as affiliated or subsidiary companies. The adoption of this bill would create conditions for further implementation of the OECD Anti-Bribery Convention.

The Russian government presented new guidelines and a questionnaire for conducting surveys on corruption. In accordance with the National Anti-Corruption Plan for 2018-2020, the Ministry of Economics has elaborated new guidelines and the questionnaire for conducting surveys on the level of corruption in the Russian regions. According to the Ministry’s proposals, first and foremost, the surveys will be focused on petty corruption that usually occurs during the interaction between citizens and the authorities. The surveys are to be conducted annually in the third or fourth quarter of the year among adults who have been living in the region for at least two years. Also, the Ministry suggested evaluating the level of corruption in 19 government institutions, including the Russian government, State Duma, regional and local authorities.

Former Head of the Anti-Corruption Unit within the Russian Ministry of Internal Affairs denied charges of bribery and obstruction of justice. During the court session, Dmitry Zakharchenko, former colonel and Head of the Anti-corruptio Unit of the Ministry of Interior, stated that he does not understand the charges pressed against him and that the latter are based on the investigators’ speculations and far-fetched conclusions rather than on facts and the actual case file.

Mafia murders shock Serbia, reveal web of corruption. A prominent lawyer who defended Slobodan Milosevic was murdered on the street in Serbia. As the 19th such killing this year, the crime has cast suspicion on the region's web of corruption at high levels.

Serbian Minister of Finance ordered by Court to return illegally acquired land. The Appellate Court in Belgrade upheld a verdict ordering former mayor and current Minister of Finance, Sinisa Mali, to return illegally acquired land back to the government.

Belgrade Court Refused Extradition of Romanian Businessman. High Court in Belgrade discarded an appeal from Romania for extradition of the controversial businessman Sebastian Gita, who was under investigation over corruption case connected to Tony Blair, and the explanation for it was that he received an asylum in Serbia. Gita was indicted in Romania for eight crimes, among others for blackmailing, bribery, money laundering and giving out sensitive information.

Former mayor of a Skopje Municipality under criminal charges. A prosecutor from the Public Prosecutor's Office for Prosecuting Organized Crime and Corruption, acting on the criminal charges filed by the Financial Police Office, issued an order for conducting an investigative procedure against five persons, and submitted a proposal for the determination of precautionary measures. On 8 August, the financial police brought criminal charges against the former mayor of the Municipality of Karposh, Stevco Jakimovski, as one of the key actors on the grounds of abuse of an official position and authority.

Investigation of the the pedestrian bridge “Oko” case. The Financial Police Department has filed criminal charges with the Basic Public Prosecutor’s Office of Skopje, against former Mayor of the Municipality of Center, Vladimir Todorovic, and two other individuals for abuse of official position. They are suspected of misusing the budget of Municipality of Center in the amount of 433,389 euros for the construction of the “Oko” pedestrian bridge. Todorovic and the other two suspects agreed to pay the damages and fully returned the money to the municipality's budget. Even after doing so this does not exclude the suspects from criminal liability. As the Director of the Financial Police said “The criminal proceeding continues and I believe that it will be criminal responsibility", talking about all of the actors involved in the project "Skopje 2014".

Seven Macedonian citizens arrested under suspicion of being terrorist fighters. Arrested by the Ministry of Internal Affairs and competent institutions, in cooperation with partners from the Global Coalition for Combating Terrorism and the Syrian Democratic Forces, the seven Macedonian citizens are suspected to be foreign terrorist fighters that have actively participated in the wars in Syria and Iraq. As the Ministry of Internal Affairs stated “This action is another indication, that the institutions of the country have the capacity and credibility to deal with the current security challenges and is committed partner in the Global Coalition for the Fight against Terrorism”.

Tunisia passes law against “Illicit Enrichment”. In an effort to tackle widespread corruption, Tunisia approved 17 July 2018 a law against illegal enrichment that will force officials and institutions to declare their property. The law is targeting high-level government officials, senior public officials, independent bodies, judges, banks, security forces, journalists, and unions.

Tunisian Energy Minister dismissed over graft accusations. On 31 August 218, Tunisia’s Prime Minister Youssef Chahed dismissed the Energy Minister and four other senior officials linked to that ministry over corruption accusations.

EU makes another attempt to press Ukraine to fight corruption. EU leaders used the 20th EU-Ukraine summit in Brussels on 9 July to press the President of Ukraine, Petro Poroshenko, once again to take credible steps to fight rampant corruption. Ukraine’s western-backed leaders promised reforms to clamp down on corruption when they came to power in 2014 after street protests toppled a pro-Russia president. Foreign donors have tied billions of dollars of aid to the success of those reforms. But four years later, corruption remains rife and the latest tranche of International Monetary Fund lending is on hold because of delays in implementing the reforms.

Ukrainian lawmakers approve Anticorruption-Court Amendment in bid for IMF aid. Ukrainian lawmakers have approved an amendment to a law establishing an anticorruption court in an effort to secure more funding under a $17.5 billion aid-for-reforms program with the International Monetary Fund (IMF). Establishing an anticorruption court is one of three conditions that the IMF has laid down for Ukraine to get further loans.

IMF supports Ukraine’s revised Anti-corruption Court. The International Monetary Fund has approved Ukraine’s revised plan for an anti-corruption court which, once it’s signed into law, will unlock the next US$2 billion loan tranche. "The legislative framework for the High Anti-Corruption Court, once the recently adopted amendments are signed into law, will be consistent with the authorities’ commitments under Ukraine’s IMF-supported program," an IMF spokeswoman stated. The court is meant to protect judge decisions from political pressure and bribery, while making Ukraine a friendlier business environment for foreign investors.