Podcast in English
Text size
Bulgarian National Radio © 2024 All Rights Reserved

Sparks flying between business and government

БНР Новини
Photo: BGNES

Since the beginning of the new political season in September, the state has taken a real offensive against representatives of Bulgarian business suspected and accused of money laundering, tax evasion, embezzlement of EU funds, forged public procurements, smuggling, illegal production of alcohol and cigarettes, etc.

The first target became one of the largest hoteliers in Bulgaria, Vetko Arabadzhiev, his family and his partners. The very fact that more than 5 million euros of unknown origin in cash have been found during searches in some of his hotels in the country is suspicious enough. While the authorities were investigating alleged crimes, the hotelier and his wife remained quiet in their villa on the Cote d'Azur in France. It is not known where they are at the moment, but they are not in Bulgaria. According to investigators, the Arabadzhievs are involved in illegal business activities and the money found in their offices was not earned in an honest way.

After the hotel industry, authorities targeted alcohol production business. The owner of the second largest distillery in this country in the town of Karnobat, Minyo Staykov was detained and his factory for the production of concentrated alcoholic beverages and wines was thoroughly searched in order to find evidence of illegal production and evasion of taxes. One of the most prominent Bulgarian businesswomen, Petya Slavova, was luckier with a "routine" customs inspection of her wine cellar "Black Sea Gold".

The scandal between one of the largest construction companies in Bulgaria - GP Group and Prime Minister Boyko Borissov is also part of the list of law enforcement actions, as after media articles about embezzlement of EU funds were published, the PM ordered the company removed from the implementation of all projects funded by Brussels.

All of these actions by the authorities against alleged illegal practices of the big business in this country indicate that there are problems in relations between business and authorities. It is not yet clear what they are, who and why is causing them, or if crimes were actually committed. It is clear, however, that the tightening of measures against the gray economy, corruption, and frauds has good effects on the government’s image at the moment. In Bulgaria no one loves the rich, as the opinion that their wealth was not accumulated in an honest way prevails. From this point of view, the government rating must definitely rise. It is a different topic that such scandals, accusations, arrests, searches, etc. occurred in the past, but to this day there have been no real big businessmen convicted. It is no coincidence that Brussels considers one of the weakest spots in Bulgaria to be justice, which cannot be relied upon to solve complicated cases and to judge in accordance with the law. Bulgaria needs a fair, open, law-abiding business, but business also needs stability and respect on the part of the authorities.

English: Alexander Markov


Последвайте ни и в Google News Showcase, за да научите най-важното от деня!
Listen to the daily news from Bulgaria presented in "Bulgaria Today" podcast, available in Spotify.

More from category

BIA President Dobri Mitrev

Businesses are cautious in their expectations for 2025

41% of the member companies of the Bulgarian Industrial Association expect an economic decline in 2025. 21% believe there will be no change compared to 2024. 65% of the respondents anticipate a deterioration in their own business due to the..

published on 12/17/24 11:32 AM

The price of electricity is expected to increase by 9% on January 1, 2025

The price of electricity for households could increase by nearly 9% starting next year, according to estimates by the Energy and Water Regulatory Commission. This means that with an average consumption of nearly 400 kilowatt-hours, the monthly bills..

published on 12/15/24 10:01 AM

CITUB calls for the introduction of a national subsistence wage

The leadership of the Confederation of Independent Trade Unions in Bulgaria (CITUB) insists that a national subsistence wage be introduced in Bulgaria, with the minimum wage in the country reaching at least 80% of the subsistence wage by 2027. According..

published on 12/13/24 10:35 AM