Hildegard Puwak - Corruption Scandal

Corruption Scandal

On July 29, 2003 a corruption scandal broke out when Adevărul newspaper accused Puwak of facilitating access for her husband's and her son's companies to some 150,000 non-reimbursable euros through the "Leonardo da Vinci" EU program, while she was in charge of those funds. Puwak denied the accusations, stating the applications had been submitted while she was an opposition MP. The opposition parties of that time, PD and PNL, demanded her resignation or dismissal. On September 2, Puwak demanded that the anti-corruption prosecutors (PNA) investigate the charges, and on the same day Prime Minister Adrian Năstase declared that the cabinet had full confidence in Puwak. On September 4, a team from the European Commission's Anti-Fraud Office (OLAF) arrived to investigate. OLAF spokesman Alessandro Buttice announced on September 11 that his office was opening a case meant to assist the Romanian authorities in investigating allegations against Puwak. On October 13, PSD's Permanent Delegation (party leadership) decided to continue political support for her and Health Minister Mircea Beuran, awaiting the conclusion of the EU audit. Nevertheless, on October 20, she resigned together with Beuran and Şerban Mihailescu, the Secretary General of the Năstase government. The same day Năstase presented his proposal for replacements to president Ion Iliescu, leading to media speculation that the three were fired instead. Năstase commented that "They resigned to eliminate suspicions and the risk that the government will be forced to explain minor issues instead of taking care of important matters," referring to Romania's bid to join the EU.

On October 30, the Greater Romania Party, supported by PD and PNL, tried to initiate a parliamentary inquiry commission on the scandal, but this effort was defeated by the majority of the Romanian Senate. On December 19, 2003 the anti-corruption investigation was closed by prosecutor Adrian Miclescu without filing any charges. The case was then reopened on August 26, 2005, after the new Justice Minister Monica Macovei fired him. Eventually the case went to trial, and Puwak's husband, Iosif Mihai Puwak, was sentenced in December 2007 to a 30-month suspended sentence for embezzling 39,000 euros from the EU da Vinci funds. He was also ordered to reimburse the money. He appealed, but the appeal was rejected by the Bucharest Court of Appeals on June 4, 2009. On November 9, 2009 her son Mihai Puwak was sentenced to a three-year suspended sentence for embezzling 32,160 euros from the same EU da Vinci funds, and ordered to reimburse the money. This sentence may still be appealed.