about us | newsletter | contact | archive | members area
Bogdan Nitulescu, Tremend
Cryptocurrencies volatility is a big problem»
  News:      POLITICS   |   ECONOMICS   |   ENERGY   |   INVESTMENTS   |   APPOINTMENTS   |   GREEN   |   INFRASTRUCTURE   |   REAL ESTATE   |   AGRIBUSINESS   |   DRIVING   |   CITY LIFE   |   EVENTS   |

Government writes off over EUR 1 bln of Romanian railway system’s debt

The Romanian Government has decided to write off the debts run up by the Romanian railway system, CFR, through a legal maneuver that overrides the existing legislation regulating the public debt. The special Government Ordinance was signed by the Ministry of Transportation and Infrastructure

February 2012 - From the Print Edition

Recently, the Court of Accounts found that the national railway company, CFR, had illegally spent EUR 13.4 million in 2010 through an international credit, and found the act “was committed in violation of criminal law,” according to the institution. The loan is said to have been granted by the Japanese Bank for International Cooperation for the modernization of the Bucharest-Constanta railway line.
Of the total amount spent illegally, EUR 10.65 million was used for the purchase of 16 rail maintenance vehicles not covered by the loan agreement, and EUR 2.81 million represented improper payments to builders, effected by false estimates submitted for manufacturers’ offers, general articles, expenses for consultants and CFR experts.
The Court of Accounts reported, “During verification indications that a criminal offense had been committed were found: a change, without the legal provisions, of the destination of reimbursable funding by illegal use of a loan of EUR 10.65 million. The case will be referred to law enforcement and criminal investigation agencies, following the Court’s own procedures on these facts.”
The Court concluded that the misuse of EUR 13.47 million was caused by mismanagement of the company and lack of personnel in the project implementation unit. The CFR leadership had objected to the findings identified in the inspection, but the team of inspectors agreed with the comments. The institution is seeking to establish the amount of consulting costs unduly paid, to recover the amount, and to establish the appropriate level of staffing on the project implementation unit.



COMMENTS
There are 0 comments:

 
ADD A COMMENT
 
Name
Email
Comment
Validation Code
   
 
 

0 Comments  |  1039 Views
Daily Info
Smart city is not a fad, it's a necessity

In June 2018, the ranking of the most "smart" cities in the world was published. In other words, the most advanced cities in terms of human capital, social cohesion, the econo...

Ondrej Safar, CEZ Group: "Romania can become a hub for international smart solutions providers"

"We are already in the digital age, so the upward trend of implementing smart solutions is inevitable in all areas," he tells The Diplomat-Bucharest. "Especially in terms of u...

Telekom Romania, a strong supporter of Smart City development in Romania

Just like many other countries in the world Romania is now facing an unprecedented growth of the urban population, which can be both beneficial and detrimental for the society...

In the industrial era, the fight was for finite material resources. Not anymore

Now organizations fight and develop themselves for and around their talent. In a nutshell, getting ahead in today's business world is all about attracting and inspiring an e...

Richard Sareczky, Mol Limo: "We look at expansion locations across CEE including Romania"

Consumer mobility behaviour is changing, leading to up to one out of ten cars sold in 2030 potentially being a shared vehicle and the subsequent rise of a market for fit-for-p...

 
 
   
advertising

advertising

advertising

More on News
President Iohannis urges Romanians to be more united, stay involved in modernizing Romania

Romania's President Klaus Iohannis urged Romanians in France to be more united and stay involved as much as they are now in helping modernise Romania.

1 Comment

Two billion youth risk of being left behind in the Fourth Industrial Revolution workforce, says Deloitte

Almost two billion youth worldwide risk of being left behind in the Fourth Industrial Revolution (Industry 4.0) workforce, which is changing at an increasingly rapid pace a...

2 Comments

ArcelorMittal receives binding offer for European assets from Liberty

British-owned Liberty announced a conditional agreement to buy four European steel plants, employing more than 12,500 people.

2 Comments

The Romanian labour market needs a well-thought approach, says FIC

The Foreign Investors Council (FIC) has signaled in the past 2-3 years that its members are anticipating increasing strains on the Romanian labour market because starting w...

2 Comments

Revolut gets European banking license

Fintech startup Revolut is now officially a bank. While the startup initially expected to get its European banking license during the first half of 2018, the company has fi...

2 Comments

EBRD cuts economic growth forecast for Romania

Romania's economy will grow by 4.2 per cent this year and by 3.6 per cent in 2019, according to the most recent forecast released by the European Bank for Reconstruction an...

Dacia receives 115.8 million RON in state aid from the Finance Ministry

The Romanian Finance Ministry has signed five more grant agreements under the state aid scheme, and among the beneficiaries are Automobile Dacia, with RON 115.8 million.

2 Comments