Reform of the judiciary and the fight against corruption and organised crime has been closely monitored under the Co-operation and Verification Mechanism. The follow up provides a summary analysis and a detailed explanation of progress in relation to the benchmarks under the Co-operation and Verification Mechanism. The detailed explanation is structured on actions which were used as indicators of progress towards meeting benchmarks.

Bulgaria has made progress in varying degrees in meeting the benchmarks set out in the Co-operation and Verification Mechanism.

It is important to see these benchmarks as representing more than a checklist of individual actions that can be ticked off one by one.

They are all interlinked. Progress on one has an impact on others. Each benchmark is a building block in the construction of an independent, impartial judicial and administrative system. Creating and sustaining such a system is a long term process. It involves fundamental changes of a systemic dimension. The benchmarks cannot therefore be taken in isolation. They need to be seen together as part of a broad reform of the areas at stake- for which a long term political commitment is needed. Greater evidence of implementation on the ground is needed in order to demonstrate that change is irreversible.

The Bulgarian Government is committed to judicial reform and cleansing the system of corruption and organised crime. In all areas, the Bulgarian authorities demonstrate good will and determination. They have prepared the necessary draft laws, action plans and programmes. However, the real test can only be met through determined implementation of these actions on the ground every day.

There is still a clear weakness in translating these intentions into results. Bulgaria has stepped up efforts at the highest levels in the fight against corruption and organised crime. While recognizing these efforts, much remains to be done. Progress in the short time since the Co-operation and Verification Mechanism was set up is still insufficient.

Deeply rooted problems, notably organised crime and corruption require the irreversible establishment and effective functioning of sustainable structures at investigative and enforcement level capable of sending strong dissuasive signals. In addition, the structural changes which are needed impact on the society at large and require a step change which goes much beyond the mere fulfilment of the benchmarks. This requires a strong long term commitment by Bulgaria and can only be successful if the strict separation of the executive, legislative and judicial power is respected.

Benchmark 1: Adopt Constitutional amend­ments removing any ambiguity regarding the independence and accountability of the judicial system.

Bulgaria adopted constitutional amendments which ensure the independence of the judiciary and provide for the creation of an independent judicial inspectorate to monitor the integrity of the judiciary and follow-up on complaints.

It is too early to assess the effectiveness of these amendments given that the inspectorate has not yet been set up.

Bulgaria has largely met this benchmark by adopting the constitutional amendment. It will not be possible to assess the effectiveness of the amendment in removing ambiguity regarding the independence and accountability of the judicial system until the full adoption and implementation of the necessary implementing legislation providing for the establishment of the independent judicial inspectorate.

Benchmark 2: Ensure a more transparent and efficient judicial process by adopting and implementing a new judicial system act and the new civil procedure code.

Report on the impact of these new laws and of the penal and administrative procedure codes, notably on the pre-trial phase.

The first chapters of the new judicial system act were adopted in mid June and hence it is too early to be able to report on its implementation. The amendments are as follows. Article 84 has been amended so that the National Assembly receives and adopts the annual reports of the Supreme Court of Cassation, the Supreme Administrative Court and the Prosecutor General, on the enforcement of laws and the activities of each respective judicial institution. These reports are then submitted to the National Assembly by the Supreme Judicial Council (SJC). Under Article 130, the SJC is now explicitly entrusted with power over the appointment, promotion, removal, discipline and qualifications of the judiciary. Article 130a no longer provides for the Ministry of Justice to inspect arrangements regarding the institution, progress and closing of cases. Instead, new article 132a provides for an independent Inspectorate, within the SJC, to monitor the activity of judicial bodies both proactively and on complaint from citizens, legal entities and state authorities, including members of the judiciary. The effective immunity of the judiciary from legal action has been removed (not related to execution of official duties). Now the judiciary are "immune" only in relation to acts committed in the performance of their official duties, and not for publicly actionable criminal offences committed with intent. Adoption of the civil procedure code is still pending. A monitoring system for the new penal procedure code and the new administrative procedure code has been set up to facilitate uniform application of law. However, there has been no systematic reporting on the findings of this monitoring mechanism.

Overall, Bulgaria has achieved some progress in improving the transparency of the judicial process but more time is needed to be able to assess whether the new laws will have their intended impacts.

Benchmark 3: Continue the reform of the judiciary in order to enhance professionalism, accountability and efficiency. Evaluate the impact of this reform and publish the results annually.

The judicial inspectorate as key supervisory institution of the integrity of the judiciary still has to be established under the impending Judicial System Act (JSA).

Therefore, only limited progress can be reported with respect to achieving better accountability of the judiciary. First steps have been taken by applying the code on ethical behaviour and enforcing disciplinary sanctions for indicted prosecutors.

Progress has been made by Bulgaria in terms of the recruitment procedure and performance evaluation of magistrates. These efforts need to be maintained and amplified. The National Justice Institute launched a number of training sessions on the new procedural codes involving an important number of judges, court clerks and prosecutors. Computer-based random allocation of cases is to become common practice.

Overall, some progress has been achieved in enhancing accountability, professionalism and efficiency of the judiciary in Bulgaria.

Benchmark 4: Conduct and report on professional, non-partisan investigations into allegations of high-level corruption. Report on internal inspections of public institutions and on the publication of assets of high-level officials.

Several committees attached to the National Assembly, the Council of Ministers and the Supreme Judiciary Council carry the responsibility of the fight against high-level corruption in the Bulgarian public institutions. An implementation programme to fight corruption has been adopted. However, the programme's implementation lacks clear lines of responsibilities and an efficient coordination mechanism. This makes it difficult to sustain action at all levels of the administration and the executive. It remains unclear whether measures to protect potential whistleblowers have been effectively implemented and therefore more legislation is needed. Some progress with investigation on pre-trial level has been achieved - also by the recent formation of independent inspectorates. A system to verify asset declarations of high public officials was set up in January 2007. But, there is little evidence of rigorous and systematic judicial follow-up on allegations of high-level corruption. Overall, progress achieved in the judicial treatment of high-level corruption cases in Bulgaria is still insufficient.

Benchmark 5: Take further measures to prevent and fight corruption, in particular at the borders and within local government.

Bulgaria has successfully stepped up its efforts to curb corruption at some border stations with an increased number of preventive controls and sanctions. The establishment of electronic payment systems and a system of random shifts at some border stations have contributed to a decline of corruption opportunities and to increased revenue. This good practice should be extended to all border stations.

Specific training and corruption awareness measures aimed at the local administration coupled with increased administrative transparency and simplification have started to produce results. However, no data on the prosecution of corruption cases at the level of local government was provided. So far, 106 out of all the 359 registered political parties and their affiliates submitted their financial reports to the National Audit Office. The 253 parties that failed to submit financial reports lose the right to receive state subsidiary and cannot participate in national and local elections.

The National Audit Office published on April 20 on its internet site a list of persons who have not submitted initial property declarations after assuming office, as well as a list of persons who have not submitted property declarations upon dismissal, within the legally prescribed terms. A total of 816 assuming office declarations were submitted in the legally prescribed terms. Eight assuming office declarations were not submitted in time (of members of managing and supervisory bodies of political parties) as well as two final (when releasing from position) declarations - of investigators.

Administrative-penal proceedings have been initiated against the persons who have not submitted their declarations within the legally prescribed terms. The Chairman of the National Audit Office has sent the list of the persons who have not submitted their declarations within the specified terms to the Executive Director of the National Revenue Agency in order to take measures under Tax-Insurance Procedure Code.

The deadline for submitting the annual property declarations of persons occupying high state positions expired on April 30. As of May 15, the National Audit Office has processed 5 515 declarations and notifications. The final number of the processed annual declarations and notifications will be presented when the deadline for changes in the submitted declarations expires.

Pro-active investigations into inexplicable wealth are not yet common practice.

Overall, substantial progress has been achieved in preventing and fighting corruption at the border and within local government.

Benchmark 6: Implement a strategy to fight organised crime, focussing on serious crime, money laundering as well as on the systematic confiscation of assets of criminals. Report on new and ongoing investigations, indictments and convictions in these areas.

Bulgaria is implementing an updated action plan on organised crime which focuses on judicial enforcement as well as pre-trial sanctions and prevention measures.

Judicial co-operation with other member states in this area is extensive. Bulgaria is also involved in a considerable number of assistance projects covering different aspects of organised and serious crime. However, an evaluation of the impact of the strategy is inconclusive given the absence of a measurement methodology and reliable statistics. Data that would allow the evaluation of the judicial treatment of cases is patchy or inadequate. In addition, legal prosecution of alleged contract killings is still insufficient.

Concerns remain also in relation to institutional capacity to pursue the forfeiture and confiscation of criminal assets.

Overall, progress in the fight against serious and organised crime is still insufficient.