JANUARY
EU coming closer
ALL the chapters in Bulgaria’s European Union accession would be opened by mid-2002, announced Spanish ambassador Jose Jorrin. He predicted that Bulgaria would make a good effort on its way to the EU. Spain, which at that time took over the rotating presidency of the EU from Belgium, included among its goals a Europe that is easier to understand, with a stronger role in the world, based on transparency and participation of citizens.
Teamwork of presidents
PRESIDENT-ELECT Georgi Purvanov considered asking his predecessors to serve as a consultative council to ensure continuity of the presidency. The idea occurred between Purvanov and Petar Stoyanov, the incumbent president. Purvanov stated that this dialogue would continue after his presidency began, because Stoyanov’s abilities should be used not so much solely for the institution as for the sake of Bulgaria.
Child pornography on Internet sparks debate
EXPLICIT child pornography linked to the Internet site of a Bulgarian provider sparked heated debate on the country’s computer laws, and a possible court battle between a foreign businessman and the provider. The controversy coincided with plans for Parliament to approve improvements to laws against child pornography and computer crimes. The row erupted after a letter was sent to the media and other bodies by Greek business executive Christos Mouroutis, vice chairman of Bulgarian Information Technologies AD and a shareholder in Internet company Bitex. The letter referred to a site that contained 40 pornographic photos of children. The site remained active for a week.
Bulgaria to clear Afghan debt
BULGARIAN Finance Minister Milen Velchev proposed writing-off 10 to 20 per cent of Afghanistan’s debt to Bulgaria, along with technical assistance and humanitarian aid. He also said that Bulgaria was ready to take part actively in the organisation of a joint international effort aimed at solving the problem of Afghanistan’s debt. If neglected, the foreign debt might prove a burden to the development of the country. Velchev said that Bulgaria could write off between $5 million and $10 million. Afghanistan owed Bulgaria $40 million in principal alone. It accumulated the debt in the 1970s and 1980s for the delivery of equipment and medical goods.
FEBRUARY
Classified information access limited
ONLY the president, the prime minister and the speaker of Parliament were allowed access to classified information as of February 2002. This was contained in the new Classified Information Bill approved on first reading by Parliament. The bill was designed to further align domestic legislation to NATO standards. The security services were given the power to issue and revoke access permits.
Four million euro spent on refugee centres
TWO transit centres for refugees were given the go ahead to be built in Bulgaria, one close to the Turkish border, in a four million euro project. Funding for the project was provided by the European Bank for Social Development and the Phare programme Horizont. One of the two sites was planned to be near the Kapitan Andreevo checkpoint with Turkey. The site was chosen because it was a critical point in the flow of refugees. The project was part of efforts by Bulgaria to harmonise its legislation and practices with European standards.
February is month of record resignations
PRIME Minister Simeon Saxe-Coburg was the centre of attention at the end of February as the country awaited his appointments to key posts, including the head of the Customs Agency, after a series of firings and resignations. After a month of speculation about a Cabinet reshuffle against the background of the Government’s diminishing popularity, Saxe-Coburg axed the deputy ministers of finance, economy, and culture. Saxe-Coburg’s chief of staff, Stoyan Ganev, resigned, as did customs head Emil Dimitrov.
MARCH
Cabinet’s first failure
A ROW over the contract with British customs consultants Crown Agents caused speculation that Prime Minister Simeon Saxe-Coburg’s Government would fall. The scandal was initiated on February 28 after daily newspaper Trud circulated a classified verbatim record of a closed-door Cabinet meeting held at the end of October 2001, at which ministers allegedly discussed ways to circumvent the Public Procurement Act.
The expert opinion of Pavlina Nikolova, a prosecutor at the Supreme Cassation Prosecution Office, stating that the contract with Crown Agents violated 11 statutes including the constitution, was also published.
Velchev suspicious of predecessor
FINANCE Minister Milen Velchev asked the Prosecutor General and the Supreme Cassation Prosecution Office on March 5 to probe possible offences by his predecessor Muravei Radev. Velchev focused on the agreement signed on July 7, 2000 by Radev, UniCredito Italiano and Allianz, according to which the Bulgarian State, through the Bank Consolidation Company, guaranteed the bank’s financial obligations. Velchev accused Radev of violating the Public Procurement Act.
He explained that each guarantee should be ratified by Parliament but this had not been done, which constituted a legal violation. Velchev claimed that by signing this agreement Radev assumed obligations, which could practically block the operation of the BCC and incur damage both to it and the Finance Ministry.
Russian businessmen banned
AN application by Russian businessman Denis Ershov for a revocation of the ban on his stay in Bulgaria was rejected. Minister of the Interior Georgi Petkanov made the announcement on March 22 in response to an inquiry by the United Democratic Forces (UtDF).
The new director of the National Security Service Major General Ivan Chobanov explained that the cases of Michael Chorny and Ershov were closed. The two businessmen were barred from entering and staying in Bulgaria for 10 years from August 2000, because the origin of the money they were investing in Bulgaria’s political elite was not transparent.
Inflation on the increase
THE National Statistical Institute (NSI) stated that accumulated inflation reached 4.4 per cent in February, seriously exceeding the 3.5 per cent agreed by Bulgaria and the International Monetary Fund for Budget 2002. The NSI figures showed that in February 2002 inflation was 1.6 per cent, the highest February rate in the past four years, said Radka Tsonkova, head of the NSI Consumer Price Index Department. Food prices grew by 1 per cent, prices of goods other than food went up 4 per cent, and service fees increased 0.5 per cent. Inflation was likely to reach the 2001 level of 4.8 per cent at the end of 2002, a senior Finance Ministry official said. Western analysts also predicted that 2002 inflation would be higher than the Government’s target, and would reach 5 per cent.
APRIL
Bulgaria becomes China’s gateway to Europe
Bulgaria is China’s gateway to Europe due to its strategic location and EU bid. Foreign Minister Solomon Passi’s visit to China proved this. Chinese Deputy PM China Qian Qichen expressed satisfaction with the positive trends that had recently been manifested in Southeastern Europe, and commented positively on Bulgaria’s contribution to efforts to achieve lasting stability. If these trends continued, Bulgaria could rely on strong economic ties with China.
Credit millionaires destroyed BSP Government
The Secret Police Files Commission was ready to publish the names of 1 258 bankers on the list of credit millionaires. The list also included 39 trustees in bankruptcy and 370 other unlawful millionaires. The total sum of loans and credits, including unsolicited ones, amounted to 608 million leva and eighty three million leva of this was unsecured. The unsecured credits that were extended by private and state-owned banks were one of the main reasons for the crash of the Bulgarian Socialist Party’s government and the economic and financial crisis in late 1996.
Russian business criticises Deputy PM
SOYUZCONTRACT Tabac’s President Garegin Gevondyan accused Bulgartabac Holding’s Executive Director Georgi Popov and Economy Minister Nikolai Vassilev of having “direct and unequivocal claims for personal benefit” in a letter sent to Prime minister Simeon Saxe Coburg. Vassilev said that the letter was an attempt by the Russian company to exercise pressure in its desire to be sole distributor of Bulgarian cigarettes on the Russian market. According to him, the letter was also related to the forthcoming privatisation of Bulgartabac Holding.
Customs advised by Brits
THE Finance Ministry presented the preliminary report by Crown Agents on reform of the Bulgarian customs. The report found omissions and shortcomings in the functioning of the National Customs Agency. Most significant among customs problems were the lack of effective structures and procedures for investigation of customs violations. The absence of effective systems for gathering, analysis and distribution of operative and intelligence information and inadequate exercise of customs control along the border and inside the country were also listed. The document emphasised institutional corruption, as well as the lack of funds of the inspectorate investigating internal customs violations and conducting audits.
MAY
New visa rules
In early May, the Cabinet approved the new terms and procedures for issuing visas, aimed at providing a higher level of protection and more detailed information to cater to the standards of the European Union.
The new visas include information about the term of validity, stay, purpose of the visit and price. Depending on the purpose of their visit, applicants may choose among tourist, short-term, long-term and transit visas.
Pardew becomes US ambassador
Special adviser on Eastern European issues to US President George Bush, James Pardew was sworn in as US ambassador to Bulgaria.
“Bulgaria is on the path of democracy, economic development and integration into Europe,” Pardew said on arrival.
Pardew succeeded Richard Miles after Miles stepped down to head the US mission in Georgia. Pardew has the reputation of being “the heavy artillery” of the White House. He served in crisis hot spots, most recently in Macedonia. He played a central role in the signing of the Dayton peace accord, which ended the war in Bosnia and Herzegovina in 1995, and he helped achieve the signing of the Ohrid agreement, which normalised the situation in Kosovo and Macedonia.
Pope John Paul II in Bulgaria
After hectic preparations by Bulgaria’s foreign community, the Roman Catholic Church and non-Catholic expatriates, high profile governmental and political figures, Pope John Paul II arrived in Bulgaria on a three-day visit from May 24 to 26.
“Pope John Paul II’s choice to visit Bulgaria in 2002 was a blessing for its foreign policy,” Foreign Minister Solomon Passi said.
The visit was scheduled to coincide with Bulgaria’s Day of Bulgarian Education and Culture and Slavonic Letters, May 24, to remind the world that Bulgaria had been slightly forgotten in the past few decades, Passi said. John Paul II had previously visited five other Orthodox countries, among them Romania, Georgia, Greece, Ukraine and Armenia.
His apostolic survey included visits to Sofia and Plovdiv, and the Rila Monastery. During his stay, the Pontiff met a number of high-ranking political and religious officials. In Plovdiv, he served a mass along with cardinals and Bulgarian and foreign bishops and priests and beatified three Bulgarian Catholic clergymen who were executed during the communist regime.
Kazanluk arms scandal
After a tip-off from German magazine Stern, Bulgarian services initiated an investigation into Kazanluk-based Arsenal arms producer to check the authenticity of an illegal export of dual use civilian production.
The scandal broke out after a wiretapping of a German dealer’s phone revealed solid evidence that an order, initially destined for Cyprus was to be later redirected to embargoed states. The series of deals, selling 20 000 AK-47 assault rifles and 10 million cartridges to Afghanistan, 1060 mortars to the African state of Guinea, 40 000 grenades to Ethiopia, 300 flamethrowers and 10 000 122mm rockets to Sri Lanka and 30 000 grenades to Pakistan passed the individual scrutiny of the Economy Ministry, Defence Ministry and police.
The investigation found that the Arsenal dealings were allegedly brokered by Sofia-based Trans Europe Young Technology and later passed onto Cyprus-based German dealer, who was to send the arms packages along the chain to embargoed states.
JUNE
Libya trial in new phase
After the Libyan People’s Court dropped its major charge against the six Bulgarian medics – that of a conspiracy against the Libyan state, the trial was redirected to the Arraignment Chamber at the Civil Court in Benghazi.
In relation to the transfer of related documentation to a new judicial body, the Arraignment Chamber provided for a month to study the situation and pronounce on the case on July 15. If there is sufficient evidence to warrant an indictment, the case would be tried before a criminal court in Benghazi. Later, the Chamber reportedly ordered the interrogation of the defendants to cast light on unclear points in the documentation.
Biography of Saxe-Coburg
The first biography of former king and current Prime Minister Simeon Saxe-Coburg brought royalty and eminent figures to the National Library in Madrid. Its author was Jose-Maria Gil-Robles, chair of the European-Bulgarian joint parliamentary committee.
The event preceded Saxe-Coburg’s inauguration as an Honorary Member of the Academy of Sciences of the University of Bologna, 61 years after his father, Boris, was awarded with the same title.
In the 255 pages of the book, entitled Simeon of Bulgaria, the Possible King, Gil-Robles gave an insight into Saxe-Coburg’s family and traced his road back to Bulgaria, “the country to which he had moral obligation, he loves and whose political development he had been following for a long time.”
Asset Forfeiture Act
After public discussion in end-May, the bill on measures against financing of terrorism was approved by the Cabinet on June 14.
The document obliges financial institutions to report to the respective financial monitoring body on signals of alleged terrorist resources. Banks and financial institutions are to freeze real estate and bank accounts of citizens suspected of links to terrorist activities.
The bill also stipulates the compilation of a related list of people and legal entities, which is to be updated every six months by the Cabinet on information from the Interior Ministry and the Prosecutor General.
JULY
Justice ministry under attack
The conflict between the Justice Ministry and the office of the Prosecutor General deepened with two successive attacks against Deputy Justice Ministers, Mario Dimitrov and Miglena Tacheva on charges of complicity in corruption.
Prime Minister Simeon Saxe-Coburg supported the determination of the Justice Ministry to press ahead with the reform of the judicial system in a bid to avert such instances of mutual recriminations.
In the meantime, the Supreme Judicial Council appointed a three-member committee within the council’s structure to investigate the two cases, as well as identify the sources which provided information on the malfeasances.
Bulgaria abstains on Bosnia and Herzegovina
The Bulgarian delegation to the United Nations Security Council abstained from voting on a draft resolution on the peacekeeping mission in Bosnia and Herzegovina. The ministry said Bulgaria would in this way support its stand that the international community and the Security Council could not afford to be disunited on such an international issue of such political consequences.
Besides, the UNSC itself was disunited on the issue, as the US also rejected the treaty. US representatives said that the residents of the countries, which were not parties to the Treaty of Rome, should be exempt from arrest and prosecution by the International Criminal Code.
Purvanov writes to EuroMPs on Kozlodui
In early July, Purvanov sent a letter to members of the European Parliament urging against the decommissioning of Units 3 and 4 of the Kozlodui Nuclear Power Plant. The news came from visiting MEP Gordon Adams who also said that the pressure for closing down the nuclear reactors in Central and Eastern Europe was a type of political and economic blackmail.
The mission of the International Atomic Energy Agency (IAEA) ending on June 28, concluded that the two small units of Kozlodui plant were superior to that of the 440-213 reactors and that their life could be extended by another 40 years.
Arms to Afghanistan
A donation by the Bulgarian Government was given to Afghanistan on July 20 in the Bulgarian Embassy in Kabul. Attending the ceremony were ISAF Commander General Hilmi Akin Zorlu and ISAF officials, as well as representatives of Afghanistan’s Defence Ministry and Presidency.
AUGUST
Ex agriculture minister on bail
The office of the Prosecutor General, which accused Ventsislav Vurbanov of malfeasance in office and mismanagement of trust while holding office as minister of agriculture forestry, set bail at
10 000 leva.
Deputy Prosecutor General Hristo Manchev ordered an investigation in the shortest time possible.
“There are enough data for serious crime committed by Vurbanov in his capacity as agriculture minister and chair of the State Agriculture Fund in the period between March 1, 1998 and July 27, 2001,” said Prosecutor General Nikola Filchev in a request to strip Vurbanov of his MP immunity and incriminate him under the Bulgarian law. The document was accompanied by 98 materials in support of the demand.
Vurbanov was stripped of immunity on March 21 for extending 35 million leva in funding and subsidies to local farmers.
Get the road hijackers
Prosecutor General Nikola Filchev, Interior Ministry chief secretary Boiko Borissov, Minister of Interior Affairs Georgi Petkanov, acting director of the National Investigation Service Rumen Georgiev and magistrates pledged a joint assault against road crimes, which threatened the economy of the country.
“We discussed the issue as these are some of the most serious crimes, and although their number tends to decrease, their clearance rate is the lowest,” Petkanov said. “What is more, these are crimes that damage Bulgaria’s image.”
Data from the National Statistics Institute showed that robbers wearing police uniforms and driving cars with flashing lights had attacked more than 300 drivers, 117 of which were foreigners.
Police already set up a higher number of control posts on Bulgaria’s roads and suggested police protection for more than one or two foreign cars. Additionally, Filchev pledged that indictments on foreign car assaults were to be issued within 15 days, instead of within one month as for all other crimes.
Top Libyan official in Bulgaria
It was too early to say whether the end of the trial was in sight, Bulgarian Foreign Minister Solomon Passi on the eve of the arrival of the Secretary of the General People’s Committee for Foreign Liaison and International Co-operation of Libya, Abd Al-Rahman Shalgam. The early visit of the Libyan statesman was a sign of warming political relations, which were the direct effect of the efforts of the current government, the ministry said.
At its latest sitting, the Arraignment Chamber on August 18 heard the statements of the prosecutor in the case and the defendants’ lawyers, Plamen Yalnuzov and Osman Bizanti.
Sweeping drug dealer raid
Following three shootings in Sofia, which left seven people including two passers-by, wounded, Bulgarian police launched a countrywide simultaneous arrest wave of more than 600 alleged drug traffickers.
More than 800 drug dealing centres, including night clubs and traffickers’ homes, were searched to find links to the killings.
The ruling National Movement Simeon II (NMSII) said that it would ensure larger budget subsidies for the Interior Ministry.
SEPTEMBER
Bulgaria and UN
On September 1, Bulgaria took over from the US the presidency of the UN Security Council for one month.
Among the main topics in the Bulgarian programme were the war on terrorism, security in Southeastern Europe, the extension of the UN peacekeeping mission on the border between Ethiopia and Eritrea and, last but not least, the Iraqi problem.
“Bulgaria is taking over the presidency of the primary UN body with due responsibility,” Foreign Minister Solomon Passi said. “I do believe that we can reach, if not a consensus, at least a big majority in the UN Security Council on a resolution on Iraq should the US ask for one.”
Missile demolition
In September demolition started of the three missile complexes SS-23, Scud and Frog. According to the agreement signed between Bulgaria and the US, the essential components of the missiles, such as warheads, engines and fuel had be destroyed by the end of October 2002.
The selection of sites for the purpose provoked concern and anger among people living in the vicinity. They were worried about possible uncontrolled explosions, earthquakes and pollution of the air, soil and water.
The warheads of the missiles were destroyed at the Zmeyovo test range near Stara Zagora without any incidents or pollution.
New bills
Parliament discussed and passed several bills and the amendments to the Penal Code.
The new provisions regarding terrorism, probation, corruption, illegal use of credit cards, computer infection, disclosure of private information, organised crime and human trafficking, were aimed at aligning Bulgarian laws to those of the EU.
There were also amendments regarding asset forfeiture and money laundering.
Parliament also approved a new anti-discrimination bill, according to which employers are forbidden to discriminate against gender, age or marital status. The law also prohibited the discrimination on basis of race, skin colour, religion or faith and sexual orientation in cases of commercial partnership or in respect to army conscripts.
Territorial division changes discussed
In September the Sofia municipal council discussed a new plan for administrative division of the territory of the city.
According to it, the existing 24 municipalities are to be replaced by six central and four peripheral regions.
According to the initiators of the idea, Sofia is divided into too many parts and this poses difficulties. The new territorial division of the city would facilitate the servicing of citizens and businesses. “Fewer regions would lead to cuts in administration, improvement of the organisation and management,” Sofia Mayor Stefan Sofianski said.
OCTOBER
Slowly but securely
Bulgaria made a few more steps towards EU membership.
The European Commission released its report, according to which Bulgaria has a functioning market economy capable of resisting the pressure of European market competition in the mid-term.
The Commission also gave 2007 as a tentative deadline for integrating into the EU.
The Government said it expected to receive a definite date, a road map and money from the EU pre-accession funds at the EU summit in Copenhagen in December.
Pre-NATO review
In mid-October a US delegation of representatives of the Department of Defence, the State Department, the Joint Chiefs of Staff, led by the Permanent Representative of US to NATO Nicholas Burns visited Bulgaria to evaluate its readiness to join the Alliance.
The delegation had meetings with various Government officials and the Chief of Staff General Nikola Kolev.
According to Burns, the most important issues before the expected invitation of Bulgaria to join NATO were judicial and military reforms, the fight against corruption and the protection of classified information.
Burns said he did not know for sure whether Bulgaria would be invited to NATO at the Prague Summit at the end of November.
Crime watch
In October the violent crime rate in Bulgaria reached new peaks with several bomb blasts, one of which killed Hristomira Atanassova, 39, whose car exploded in the centre of Sofia. An unexploded bomb was discovered on a ferry dock in Rousse, two bombs exploded in Plovdiv, and a shop and a cafe were bombed in Sofia.
The authorities denied allegations that certain groups were aiming at destabilising the country and said that the incidents were part of a war for re-distribution of territories in the underground world.
Bulgarian ordeals
Law student Nikolai Djonev was detained at Atlantic City Airport, allegedly because several box cutters and a pair of scissors were found in his hand luggage as he was trying to board a domestic flight. He was arrested and charged with possession of offensive weapons, a federal felony.
He was released on $100 000 bail in the custody of the Bulgarian Embassy in Washington DC and a week later was sentenced to five years probation for what the judge called “incredible stupidity”. Djonev returned to Bulgaria.
Also in October Bulgaria lost its first victim in the war on terrorism.
Bulgarian sailor Atanas Atanassov died in a fire following a terrorist attack on French oil tanker Limburg off the coast of Yemen. Another 16 Bulgarians who were also a part of the crew, returned safely to the country after a two-week ordeal in Yemen.
Royal wedding
In the last weekend of the month, Kalina, daughter and youngest child of Prime Minister Saxe-Coburg, married Spanish adventurer Kitin Munoz.
The wedding took place at the Tsarska Bistritsa residence near the mountain resort Borovets. Guests included members of the European royal families, diplomats, statesmen and family members.
NOVEMBER
Bulgaria’s second victim of terrorism
In November Bulgaria lost its second victim to terrorism. Bulgarian national Emilia Predova-Ouzounova died of gas intoxication in a Moscow hospital hours after Russian special forces took control of the theatre in which Chechen terrorists had held around 800 hostages for several days.
Two other Bulgarians, Vesselin Nedkov and Bessarabian Bulgarian Yurii Gabrov were among the released hostages.
A total of 120 hostages and more than 70 terrorists died during and after the operation of the Russian commandos.
Controversial Kozlodui deal
At the end of the month, the Government formally concluded talks with the EU on the energy chapter of accession negotiations.
The Cabinet made a commitment to close down units 3 and 4 of Kozlodui in 2006 after a peer review of their safety.
The 15 EU member-countries agreed to send experts for the review, which must take place before the finalisation of the accession talks.
However the closure of the two reactors was not in any way connected to the Bulgarian accession to the union.
Regardless of the outcome of the peer review, Bulgaria will shut down the two units.
Arms scandal hits Bulgaria
A week before the NATO Summit in Prague, at which Bulgaria expected to receive an invitation to join the Alliance, an illegal arms trade scandal shook the country.
Allegedly, top management of the Turgovishte branch of the Terem military factory had exported to Syria what they described as spare parts for tractors, but these parts had a dual application and could be used for military armoured vehicles.
According to the documentation, a Syrian company was named as end user. However, it was alleged that the parts were destined for Iraq, which was under a weapons embargo.
“Bulgaria is facing a truly serious situation being involved in such a scandal in the most inappropriate time,” Defence Minister Nikolai Svinarov said.
Foreign Minister Passi said Bulgaria might not get invited to NATO at the following week’s summit in Prague.
The authorities detained the whole managing board of Terem Turgovishte as well as CEO Plamen Petrov, who ultimately had approved the deal.
NATO invitation
At the end of November, in spite the illegal arms trade scandal, Bulgaria received its much-expected invitation to join NATO. Six other countries were also invited as part of the second wave of NATO enlargement after World War 2.
“Never again will you face an aggression alone and each who rises against you as an enemy, will rise against us,” US president George W. Bush told the newly-invited states.
The invitation was received with delight by the ruling majority as well as by the opposition and former heads of state of Bulgaria.
US requests support
A day after the invitation, the Bulgarian Government received a letter in which the US government inquired about the forms of co-operation Bulgaria would offer in the event of a military operation against Iraq.
Initially the Government denied the existence of the letter but afterwards confirmed that they had given a positive answer to the US and said that Bulgaria could offer logistical support as well as troops.
DECEMBER
Pardew vs Purvanov
In December President Purvanov and US ambassador to Bulgaria James Pardew crossed swords on corruption and the degree to which it had penetrated high levels of government.
Purvanov and Pardew exchanged opinions during an international conference, entitled The Economy of Crime: the Grey Sector, Illegal Trade and Corruption.
Pardew said that organised crime in Bulgaria was highly visible and highly organised and that this was clear to foreign investors in the country.
He said that powerful economic groups had close ties to prominent and influential politicians.
Purvanov strongly rejected Pardew’s statement, denying such connections.
NATO negotiator appointed
The Government announced that Deputy Foreign Minister Lybomir Ivanov would lead the team for the negotiations on Bulgarian accession to NATO.
The alliance’s delegation would be led Assistant Secretary General Guenther Altenburg.
Both heads of delegations were named in letters exchanged between NATO Secretary General Lord George Robertson and Foreign Minister Solomon Passi.
EU coming closer
ALL the chapters in Bulgaria’s European Union accession would be opened by mid-2002, announced Spanish ambassador Jose Jorrin. He predicted that Bulgaria would make a good effort on its way to the EU. Spain, which at that time took over the rotating presidency of the EU from Belgium, included among its goals a Europe that is easier to understand, with a stronger role in the world, based on transparency and participation of citizens.
Teamwork of presidents
PRESIDENT-ELECT Georgi Purvanov considered asking his predecessors to serve as a consultative council to ensure continuity of the presidency. The idea occurred between Purvanov and Petar Stoyanov, the incumbent president. Purvanov stated that this dialogue would continue after his presidency began, because Stoyanov’s abilities should be used not so much solely for the institution as for the sake of Bulgaria.
Child pornography on Internet sparks debate
EXPLICIT child pornography linked to the Internet site of a Bulgarian provider sparked heated debate on the country’s computer laws, and a possible court battle between a foreign businessman and the provider. The controversy coincided with plans for Parliament to approve improvements to laws against child pornography and computer crimes. The row erupted after a letter was sent to the media and other bodies by Greek business executive Christos Mouroutis, vice chairman of Bulgarian Information Technologies AD and a shareholder in Internet company Bitex. The letter referred to a site that contained 40 pornographic photos of children. The site remained active for a week.
Bulgaria to clear Afghan debt
BULGARIAN Finance Minister Milen Velchev proposed writing-off 10 to 20 per cent of Afghanistan’s debt to Bulgaria, along with technical assistance and humanitarian aid. He also said that Bulgaria was ready to take part actively in the organisation of a joint international effort aimed at solving the problem of Afghanistan’s debt. If neglected, the foreign debt might prove a burden to the development of the country. Velchev said that Bulgaria could write off between $5 million and $10 million. Afghanistan owed Bulgaria $40 million in principal alone. It accumulated the debt in the 1970s and 1980s for the delivery of equipment and medical goods.
FEBRUARY
Classified information access limited
ONLY the president, the prime minister and the speaker of Parliament were allowed access to classified information as of February 2002. This was contained in the new Classified Information Bill approved on first reading by Parliament. The bill was designed to further align domestic legislation to NATO standards. The security services were given the power to issue and revoke access permits.
Four million euro spent on refugee centres
TWO transit centres for refugees were given the go ahead to be built in Bulgaria, one close to the Turkish border, in a four million euro project. Funding for the project was provided by the European Bank for Social Development and the Phare programme Horizont. One of the two sites was planned to be near the Kapitan Andreevo checkpoint with Turkey. The site was chosen because it was a critical point in the flow of refugees. The project was part of efforts by Bulgaria to harmonise its legislation and practices with European standards.
February is month of record resignations
PRIME Minister Simeon Saxe-Coburg was the centre of attention at the end of February as the country awaited his appointments to key posts, including the head of the Customs Agency, after a series of firings and resignations. After a month of speculation about a Cabinet reshuffle against the background of the Government’s diminishing popularity, Saxe-Coburg axed the deputy ministers of finance, economy, and culture. Saxe-Coburg’s chief of staff, Stoyan Ganev, resigned, as did customs head Emil Dimitrov.
MARCH
Cabinet’s first failure
A ROW over the contract with British customs consultants Crown Agents caused speculation that Prime Minister Simeon Saxe-Coburg’s Government would fall. The scandal was initiated on February 28 after daily newspaper Trud circulated a classified verbatim record of a closed-door Cabinet meeting held at the end of October 2001, at which ministers allegedly discussed ways to circumvent the Public Procurement Act.
The expert opinion of Pavlina Nikolova, a prosecutor at the Supreme Cassation Prosecution Office, stating that the contract with Crown Agents violated 11 statutes including the constitution, was also published.
Velchev suspicious of predecessor
FINANCE Minister Milen Velchev asked the Prosecutor General and the Supreme Cassation Prosecution Office on March 5 to probe possible offences by his predecessor Muravei Radev. Velchev focused on the agreement signed on July 7, 2000 by Radev, UniCredito Italiano and Allianz, according to which the Bulgarian State, through the Bank Consolidation Company, guaranteed the bank’s financial obligations. Velchev accused Radev of violating the Public Procurement Act.
He explained that each guarantee should be ratified by Parliament but this had not been done, which constituted a legal violation. Velchev claimed that by signing this agreement Radev assumed obligations, which could practically block the operation of the BCC and incur damage both to it and the Finance Ministry.
Russian businessmen banned
AN application by Russian businessman Denis Ershov for a revocation of the ban on his stay in Bulgaria was rejected. Minister of the Interior Georgi Petkanov made the announcement on March 22 in response to an inquiry by the United Democratic Forces (UtDF).
The new director of the National Security Service Major General Ivan Chobanov explained that the cases of Michael Chorny and Ershov were closed. The two businessmen were barred from entering and staying in Bulgaria for 10 years from August 2000, because the origin of the money they were investing in Bulgaria’s political elite was not transparent.
Inflation on the increase
THE National Statistical Institute (NSI) stated that accumulated inflation reached 4.4 per cent in February, seriously exceeding the 3.5 per cent agreed by Bulgaria and the International Monetary Fund for Budget 2002. The NSI figures showed that in February 2002 inflation was 1.6 per cent, the highest February rate in the past four years, said Radka Tsonkova, head of the NSI Consumer Price Index Department. Food prices grew by 1 per cent, prices of goods other than food went up 4 per cent, and service fees increased 0.5 per cent. Inflation was likely to reach the 2001 level of 4.8 per cent at the end of 2002, a senior Finance Ministry official said. Western analysts also predicted that 2002 inflation would be higher than the Government’s target, and would reach 5 per cent.
APRIL
Bulgaria becomes China’s gateway to Europe
Bulgaria is China’s gateway to Europe due to its strategic location and EU bid. Foreign Minister Solomon Passi’s visit to China proved this. Chinese Deputy PM China Qian Qichen expressed satisfaction with the positive trends that had recently been manifested in Southeastern Europe, and commented positively on Bulgaria’s contribution to efforts to achieve lasting stability. If these trends continued, Bulgaria could rely on strong economic ties with China.
Credit millionaires destroyed BSP Government
The Secret Police Files Commission was ready to publish the names of 1 258 bankers on the list of credit millionaires. The list also included 39 trustees in bankruptcy and 370 other unlawful millionaires. The total sum of loans and credits, including unsolicited ones, amounted to 608 million leva and eighty three million leva of this was unsecured. The unsecured credits that were extended by private and state-owned banks were one of the main reasons for the crash of the Bulgarian Socialist Party’s government and the economic and financial crisis in late 1996.
Russian business criticises Deputy PM
SOYUZCONTRACT Tabac’s President Garegin Gevondyan accused Bulgartabac Holding’s Executive Director Georgi Popov and Economy Minister Nikolai Vassilev of having “direct and unequivocal claims for personal benefit” in a letter sent to Prime minister Simeon Saxe Coburg. Vassilev said that the letter was an attempt by the Russian company to exercise pressure in its desire to be sole distributor of Bulgarian cigarettes on the Russian market. According to him, the letter was also related to the forthcoming privatisation of Bulgartabac Holding.
Customs advised by Brits
THE Finance Ministry presented the preliminary report by Crown Agents on reform of the Bulgarian customs. The report found omissions and shortcomings in the functioning of the National Customs Agency. Most significant among customs problems were the lack of effective structures and procedures for investigation of customs violations. The absence of effective systems for gathering, analysis and distribution of operative and intelligence information and inadequate exercise of customs control along the border and inside the country were also listed. The document emphasised institutional corruption, as well as the lack of funds of the inspectorate investigating internal customs violations and conducting audits.
MAY
New visa rules
In early May, the Cabinet approved the new terms and procedures for issuing visas, aimed at providing a higher level of protection and more detailed information to cater to the standards of the European Union.
The new visas include information about the term of validity, stay, purpose of the visit and price. Depending on the purpose of their visit, applicants may choose among tourist, short-term, long-term and transit visas.
Pardew becomes US ambassador
Special adviser on Eastern European issues to US President George Bush, James Pardew was sworn in as US ambassador to Bulgaria.
“Bulgaria is on the path of democracy, economic development and integration into Europe,” Pardew said on arrival.
Pardew succeeded Richard Miles after Miles stepped down to head the US mission in Georgia. Pardew has the reputation of being “the heavy artillery” of the White House. He served in crisis hot spots, most recently in Macedonia. He played a central role in the signing of the Dayton peace accord, which ended the war in Bosnia and Herzegovina in 1995, and he helped achieve the signing of the Ohrid agreement, which normalised the situation in Kosovo and Macedonia.
Pope John Paul II in Bulgaria
After hectic preparations by Bulgaria’s foreign community, the Roman Catholic Church and non-Catholic expatriates, high profile governmental and political figures, Pope John Paul II arrived in Bulgaria on a three-day visit from May 24 to 26.
“Pope John Paul II’s choice to visit Bulgaria in 2002 was a blessing for its foreign policy,” Foreign Minister Solomon Passi said.
The visit was scheduled to coincide with Bulgaria’s Day of Bulgarian Education and Culture and Slavonic Letters, May 24, to remind the world that Bulgaria had been slightly forgotten in the past few decades, Passi said. John Paul II had previously visited five other Orthodox countries, among them Romania, Georgia, Greece, Ukraine and Armenia.
His apostolic survey included visits to Sofia and Plovdiv, and the Rila Monastery. During his stay, the Pontiff met a number of high-ranking political and religious officials. In Plovdiv, he served a mass along with cardinals and Bulgarian and foreign bishops and priests and beatified three Bulgarian Catholic clergymen who were executed during the communist regime.
Kazanluk arms scandal
After a tip-off from German magazine Stern, Bulgarian services initiated an investigation into Kazanluk-based Arsenal arms producer to check the authenticity of an illegal export of dual use civilian production.
The scandal broke out after a wiretapping of a German dealer’s phone revealed solid evidence that an order, initially destined for Cyprus was to be later redirected to embargoed states. The series of deals, selling 20 000 AK-47 assault rifles and 10 million cartridges to Afghanistan, 1060 mortars to the African state of Guinea, 40 000 grenades to Ethiopia, 300 flamethrowers and 10 000 122mm rockets to Sri Lanka and 30 000 grenades to Pakistan passed the individual scrutiny of the Economy Ministry, Defence Ministry and police.
The investigation found that the Arsenal dealings were allegedly brokered by Sofia-based Trans Europe Young Technology and later passed onto Cyprus-based German dealer, who was to send the arms packages along the chain to embargoed states.
JUNE
Libya trial in new phase
After the Libyan People’s Court dropped its major charge against the six Bulgarian medics – that of a conspiracy against the Libyan state, the trial was redirected to the Arraignment Chamber at the Civil Court in Benghazi.
In relation to the transfer of related documentation to a new judicial body, the Arraignment Chamber provided for a month to study the situation and pronounce on the case on July 15. If there is sufficient evidence to warrant an indictment, the case would be tried before a criminal court in Benghazi. Later, the Chamber reportedly ordered the interrogation of the defendants to cast light on unclear points in the documentation.
Biography of Saxe-Coburg
The first biography of former king and current Prime Minister Simeon Saxe-Coburg brought royalty and eminent figures to the National Library in Madrid. Its author was Jose-Maria Gil-Robles, chair of the European-Bulgarian joint parliamentary committee.
The event preceded Saxe-Coburg’s inauguration as an Honorary Member of the Academy of Sciences of the University of Bologna, 61 years after his father, Boris, was awarded with the same title.
In the 255 pages of the book, entitled Simeon of Bulgaria, the Possible King, Gil-Robles gave an insight into Saxe-Coburg’s family and traced his road back to Bulgaria, “the country to which he had moral obligation, he loves and whose political development he had been following for a long time.”
Asset Forfeiture Act
After public discussion in end-May, the bill on measures against financing of terrorism was approved by the Cabinet on June 14.
The document obliges financial institutions to report to the respective financial monitoring body on signals of alleged terrorist resources. Banks and financial institutions are to freeze real estate and bank accounts of citizens suspected of links to terrorist activities.
The bill also stipulates the compilation of a related list of people and legal entities, which is to be updated every six months by the Cabinet on information from the Interior Ministry and the Prosecutor General.
JULY
Justice ministry under attack
The conflict between the Justice Ministry and the office of the Prosecutor General deepened with two successive attacks against Deputy Justice Ministers, Mario Dimitrov and Miglena Tacheva on charges of complicity in corruption.
Prime Minister Simeon Saxe-Coburg supported the determination of the Justice Ministry to press ahead with the reform of the judicial system in a bid to avert such instances of mutual recriminations.
In the meantime, the Supreme Judicial Council appointed a three-member committee within the council’s structure to investigate the two cases, as well as identify the sources which provided information on the malfeasances.
Bulgaria abstains on Bosnia and Herzegovina
The Bulgarian delegation to the United Nations Security Council abstained from voting on a draft resolution on the peacekeeping mission in Bosnia and Herzegovina. The ministry said Bulgaria would in this way support its stand that the international community and the Security Council could not afford to be disunited on such an international issue of such political consequences.
Besides, the UNSC itself was disunited on the issue, as the US also rejected the treaty. US representatives said that the residents of the countries, which were not parties to the Treaty of Rome, should be exempt from arrest and prosecution by the International Criminal Code.
Purvanov writes to EuroMPs on Kozlodui
In early July, Purvanov sent a letter to members of the European Parliament urging against the decommissioning of Units 3 and 4 of the Kozlodui Nuclear Power Plant. The news came from visiting MEP Gordon Adams who also said that the pressure for closing down the nuclear reactors in Central and Eastern Europe was a type of political and economic blackmail.
The mission of the International Atomic Energy Agency (IAEA) ending on June 28, concluded that the two small units of Kozlodui plant were superior to that of the 440-213 reactors and that their life could be extended by another 40 years.
Arms to Afghanistan
A donation by the Bulgarian Government was given to Afghanistan on July 20 in the Bulgarian Embassy in Kabul. Attending the ceremony were ISAF Commander General Hilmi Akin Zorlu and ISAF officials, as well as representatives of Afghanistan’s Defence Ministry and Presidency.
AUGUST
Ex agriculture minister on bail
The office of the Prosecutor General, which accused Ventsislav Vurbanov of malfeasance in office and mismanagement of trust while holding office as minister of agriculture forestry, set bail at
10 000 leva.
Deputy Prosecutor General Hristo Manchev ordered an investigation in the shortest time possible.
“There are enough data for serious crime committed by Vurbanov in his capacity as agriculture minister and chair of the State Agriculture Fund in the period between March 1, 1998 and July 27, 2001,” said Prosecutor General Nikola Filchev in a request to strip Vurbanov of his MP immunity and incriminate him under the Bulgarian law. The document was accompanied by 98 materials in support of the demand.
Vurbanov was stripped of immunity on March 21 for extending 35 million leva in funding and subsidies to local farmers.
Get the road hijackers
Prosecutor General Nikola Filchev, Interior Ministry chief secretary Boiko Borissov, Minister of Interior Affairs Georgi Petkanov, acting director of the National Investigation Service Rumen Georgiev and magistrates pledged a joint assault against road crimes, which threatened the economy of the country.
“We discussed the issue as these are some of the most serious crimes, and although their number tends to decrease, their clearance rate is the lowest,” Petkanov said. “What is more, these are crimes that damage Bulgaria’s image.”
Data from the National Statistics Institute showed that robbers wearing police uniforms and driving cars with flashing lights had attacked more than 300 drivers, 117 of which were foreigners.
Police already set up a higher number of control posts on Bulgaria’s roads and suggested police protection for more than one or two foreign cars. Additionally, Filchev pledged that indictments on foreign car assaults were to be issued within 15 days, instead of within one month as for all other crimes.
Top Libyan official in Bulgaria
It was too early to say whether the end of the trial was in sight, Bulgarian Foreign Minister Solomon Passi on the eve of the arrival of the Secretary of the General People’s Committee for Foreign Liaison and International Co-operation of Libya, Abd Al-Rahman Shalgam. The early visit of the Libyan statesman was a sign of warming political relations, which were the direct effect of the efforts of the current government, the ministry said.
At its latest sitting, the Arraignment Chamber on August 18 heard the statements of the prosecutor in the case and the defendants’ lawyers, Plamen Yalnuzov and Osman Bizanti.
Sweeping drug dealer raid
Following three shootings in Sofia, which left seven people including two passers-by, wounded, Bulgarian police launched a countrywide simultaneous arrest wave of more than 600 alleged drug traffickers.
More than 800 drug dealing centres, including night clubs and traffickers’ homes, were searched to find links to the killings.
The ruling National Movement Simeon II (NMSII) said that it would ensure larger budget subsidies for the Interior Ministry.
SEPTEMBER
Bulgaria and UN
On September 1, Bulgaria took over from the US the presidency of the UN Security Council for one month.
Among the main topics in the Bulgarian programme were the war on terrorism, security in Southeastern Europe, the extension of the UN peacekeeping mission on the border between Ethiopia and Eritrea and, last but not least, the Iraqi problem.
“Bulgaria is taking over the presidency of the primary UN body with due responsibility,” Foreign Minister Solomon Passi said. “I do believe that we can reach, if not a consensus, at least a big majority in the UN Security Council on a resolution on Iraq should the US ask for one.”
Missile demolition
In September demolition started of the three missile complexes SS-23, Scud and Frog. According to the agreement signed between Bulgaria and the US, the essential components of the missiles, such as warheads, engines and fuel had be destroyed by the end of October 2002.
The selection of sites for the purpose provoked concern and anger among people living in the vicinity. They were worried about possible uncontrolled explosions, earthquakes and pollution of the air, soil and water.
The warheads of the missiles were destroyed at the Zmeyovo test range near Stara Zagora without any incidents or pollution.
New bills
Parliament discussed and passed several bills and the amendments to the Penal Code.
The new provisions regarding terrorism, probation, corruption, illegal use of credit cards, computer infection, disclosure of private information, organised crime and human trafficking, were aimed at aligning Bulgarian laws to those of the EU.
There were also amendments regarding asset forfeiture and money laundering.
Parliament also approved a new anti-discrimination bill, according to which employers are forbidden to discriminate against gender, age or marital status. The law also prohibited the discrimination on basis of race, skin colour, religion or faith and sexual orientation in cases of commercial partnership or in respect to army conscripts.
Territorial division changes discussed
In September the Sofia municipal council discussed a new plan for administrative division of the territory of the city.
According to it, the existing 24 municipalities are to be replaced by six central and four peripheral regions.
According to the initiators of the idea, Sofia is divided into too many parts and this poses difficulties. The new territorial division of the city would facilitate the servicing of citizens and businesses. “Fewer regions would lead to cuts in administration, improvement of the organisation and management,” Sofia Mayor Stefan Sofianski said.
OCTOBER
Slowly but securely
Bulgaria made a few more steps towards EU membership.
The European Commission released its report, according to which Bulgaria has a functioning market economy capable of resisting the pressure of European market competition in the mid-term.
The Commission also gave 2007 as a tentative deadline for integrating into the EU.
The Government said it expected to receive a definite date, a road map and money from the EU pre-accession funds at the EU summit in Copenhagen in December.
Pre-NATO review
In mid-October a US delegation of representatives of the Department of Defence, the State Department, the Joint Chiefs of Staff, led by the Permanent Representative of US to NATO Nicholas Burns visited Bulgaria to evaluate its readiness to join the Alliance.
The delegation had meetings with various Government officials and the Chief of Staff General Nikola Kolev.
According to Burns, the most important issues before the expected invitation of Bulgaria to join NATO were judicial and military reforms, the fight against corruption and the protection of classified information.
Burns said he did not know for sure whether Bulgaria would be invited to NATO at the Prague Summit at the end of November.
Crime watch
In October the violent crime rate in Bulgaria reached new peaks with several bomb blasts, one of which killed Hristomira Atanassova, 39, whose car exploded in the centre of Sofia. An unexploded bomb was discovered on a ferry dock in Rousse, two bombs exploded in Plovdiv, and a shop and a cafe were bombed in Sofia.
The authorities denied allegations that certain groups were aiming at destabilising the country and said that the incidents were part of a war for re-distribution of territories in the underground world.
Bulgarian ordeals
Law student Nikolai Djonev was detained at Atlantic City Airport, allegedly because several box cutters and a pair of scissors were found in his hand luggage as he was trying to board a domestic flight. He was arrested and charged with possession of offensive weapons, a federal felony.
He was released on $100 000 bail in the custody of the Bulgarian Embassy in Washington DC and a week later was sentenced to five years probation for what the judge called “incredible stupidity”. Djonev returned to Bulgaria.
Also in October Bulgaria lost its first victim in the war on terrorism.
Bulgarian sailor Atanas Atanassov died in a fire following a terrorist attack on French oil tanker Limburg off the coast of Yemen. Another 16 Bulgarians who were also a part of the crew, returned safely to the country after a two-week ordeal in Yemen.
Royal wedding
In the last weekend of the month, Kalina, daughter and youngest child of Prime Minister Saxe-Coburg, married Spanish adventurer Kitin Munoz.
The wedding took place at the Tsarska Bistritsa residence near the mountain resort Borovets. Guests included members of the European royal families, diplomats, statesmen and family members.
NOVEMBER
Bulgaria’s second victim of terrorism
In November Bulgaria lost its second victim to terrorism. Bulgarian national Emilia Predova-Ouzounova died of gas intoxication in a Moscow hospital hours after Russian special forces took control of the theatre in which Chechen terrorists had held around 800 hostages for several days.
Two other Bulgarians, Vesselin Nedkov and Bessarabian Bulgarian Yurii Gabrov were among the released hostages.
A total of 120 hostages and more than 70 terrorists died during and after the operation of the Russian commandos.
Controversial Kozlodui deal
At the end of the month, the Government formally concluded talks with the EU on the energy chapter of accession negotiations.
The Cabinet made a commitment to close down units 3 and 4 of Kozlodui in 2006 after a peer review of their safety.
The 15 EU member-countries agreed to send experts for the review, which must take place before the finalisation of the accession talks.
However the closure of the two reactors was not in any way connected to the Bulgarian accession to the union.
Regardless of the outcome of the peer review, Bulgaria will shut down the two units.
Arms scandal hits Bulgaria
A week before the NATO Summit in Prague, at which Bulgaria expected to receive an invitation to join the Alliance, an illegal arms trade scandal shook the country.
Allegedly, top management of the Turgovishte branch of the Terem military factory had exported to Syria what they described as spare parts for tractors, but these parts had a dual application and could be used for military armoured vehicles.
According to the documentation, a Syrian company was named as end user. However, it was alleged that the parts were destined for Iraq, which was under a weapons embargo.
“Bulgaria is facing a truly serious situation being involved in such a scandal in the most inappropriate time,” Defence Minister Nikolai Svinarov said.
Foreign Minister Passi said Bulgaria might not get invited to NATO at the following week’s summit in Prague.
The authorities detained the whole managing board of Terem Turgovishte as well as CEO Plamen Petrov, who ultimately had approved the deal.
NATO invitation
At the end of November, in spite the illegal arms trade scandal, Bulgaria received its much-expected invitation to join NATO. Six other countries were also invited as part of the second wave of NATO enlargement after World War 2.
“Never again will you face an aggression alone and each who rises against you as an enemy, will rise against us,” US president George W. Bush told the newly-invited states.
The invitation was received with delight by the ruling majority as well as by the opposition and former heads of state of Bulgaria.
US requests support
A day after the invitation, the Bulgarian Government received a letter in which the US government inquired about the forms of co-operation Bulgaria would offer in the event of a military operation against Iraq.
Initially the Government denied the existence of the letter but afterwards confirmed that they had given a positive answer to the US and said that Bulgaria could offer logistical support as well as troops.
DECEMBER
Pardew vs Purvanov
In December President Purvanov and US ambassador to Bulgaria James Pardew crossed swords on corruption and the degree to which it had penetrated high levels of government.
Purvanov and Pardew exchanged opinions during an international conference, entitled The Economy of Crime: the Grey Sector, Illegal Trade and Corruption.
Pardew said that organised crime in Bulgaria was highly visible and highly organised and that this was clear to foreign investors in the country.
He said that powerful economic groups had close ties to prominent and influential politicians.
Purvanov strongly rejected Pardew’s statement, denying such connections.
NATO negotiator appointed
The Government announced that Deputy Foreign Minister Lybomir Ivanov would lead the team for the negotiations on Bulgarian accession to NATO.
The alliance’s delegation would be led Assistant Secretary General Guenther Altenburg.
Both heads of delegations were named in letters exchanged between NATO Secretary General Lord George Robertson and Foreign Minister Solomon Passi.
