Tag - Fraud

Fancy replacing Mogherini? The College of Europe is looking for a new rector
The College of Europe is hiring a new rector because the former holder of that role, Federica Mogherini, resigned after being mired in scandal earlier this month. In a vacancy notice posted Monday, the college said it’s accepting applications until March 2, with the new rector to start from June 2026 or soon after. The rector “holds the overall academic and administrative responsibility for the College as a whole,” the notice said.   Candidates must be European nationals, show “important academic qualities” and have management experience, as well as speaking English and French. “In executing their responsibilities, the Rector will live up to the high ethical standards and values of the College of Europe,” the notice said. The elite training ground for future EU civil servants may be hoping for a quieter selection process than last time around, when Mogherini, the EU’s former top diplomat, won the job even though she applied after the deadline and despite accusations of cronyism and not being qualified for the role. Mogherini resigned in early December after being questioned in a fraud probe over a public tender in 2021-22 for a diplomatic academy program. Mogherini’s former employer, the European External Action Service (EEAS), awarded the tender to the College of Europe, and Mogherini became the director of the diplomatic academy in addition to her job as rector of the college. The scandal also took down the former top civil servant at the EEAS, Stefano Sannino. The college has named Ewa Ośniecka-Tamecka as acting rector until a replacement for Mogherini is found. The rector’s job is for a term of five years and can be renewed once. The person will report to former European Council President Herman Van Rompuy, who is the head of the college’s administrative council.
Politics
Fraud
Education
Slovakia dismantles whistleblower office despite EU Commission pushback
Prime Minister Robert Fico’s leftist-populist ruling coalition voted on Tuesday to abolish an office that protects people who report corruption in a further crackdown on the rule of law in Slovakia. The draft bill — passed via a fast-track procedure on International Anti-Corruption Day — shuts down the country’s Whistleblower Protection Office, which was created in 2021 under the EU’s Whistleblower Protection Directive. The shuttered office will be replaced by a new institution whose leadership will be appointed by the government. Critics and opposition parties say the change will strip various protections from whistleblowers. The European Public Prosecutor’s Office warned last month that restricting protection for whistleblowers “seriously limits detection, reporting, and investigation, particularly of corruption.” The Slovak decision, which drew 78 votes in the 150-seat parliament, is expected to spark tensions with the European Commission. The EU executive noted last month that “several elements of this law raise serious concerns in relation to EU law.” “We regret that MPs did not heed the warnings of dozens of experts and international organizations, including the European Commission and the European Public Prosecutor’s Office, which drew attention to the negative impacts of the new law,” the Slovak whistleblower office said in a post on Facebook. “The level of protection, as well as public trust in the whistleblower protection system that we have painstakingly built at the office over the past years, will be significantly weakened by this law,” it added. NGOs and the political opposition said they view the move as political payback from Interior Minister Matúš Šutaj Eštok, whose ministry had been fined by the whistleblower office for suspending elite police officers under whistleblower protection without first notifying the office. The suspended officers had been investigating corruption among senior Slovak officials. Slovakia’s Interior Ministry told POLITICO in a statement that “the opposition’s claims of ‘revenge’ are false and have no factual basis.” “The change [with the office] is not personal, but institutional. It is a systemic solution to long-standing issues that have arisen in the practical application of the current law, as confirmed by several court rulings,” the ministry said, adding that the changes are consistent with the EU’s whistleblower protection directive. To become law, the legislation still needs approval from President Peter Pellegrini, who has signaled he might veto it. In that case it could be enacted by the parliament in a repeat vote. Since returning to power in 2023 for a fourth term, Fico’s Smer party has taken steps to dismantle anti-corruption institutions, including abolishing the Office of the Special Prosecutor, which had handled high-profile corruption cases, and disbanding NAKA, the elite police unit tasked with fighting organized crime. The European Commission did not immediately respond to POLITICO’s request for comment.
Politics
Rule of Law
Fraud
Law enforcement
Slovak politics
Scandal-hit Fujitsu dropped from Brexit border system
LONDON — Scandal-hit Japanese tech firm Fujitsu has lost its grip on a lucrative contract to keep running Great Britain’s post-Brexit border with Northern Ireland, following mounting public pressure, two people with knowledge of the bidding process have told POLITICO. The firm at the center of the Post Office scandal — which saw faulty data from Fujitsu’s Horizon software lead to wrongful theft and fraud convictions of hundreds of innocent Post Office workers — had spearheaded a consortium bid for the £370 million contract to continue running the Trader Support Service (TSS), as reported earlier this year. The contract was awarded to another consortium late last month, according to the two people cited above. The 10-day cooling-off period after the contract was awarded ends on Tuesday. The Fujitsu-led consortium, which includes Liz Truss ally Shanker Singham’s firm Competere, has raked in more than £500 million since 2020 developing and operating the platform, which helps firms navigate the complicated post-Brexit customs arrangements between Great Britain and Northern Ireland under the Windsor Framework. While a new supplier will be taking control of TSS, Fujitsu retains the intellectual property rights to a core part of the existing platform, four people with knowledge of the process — including those cited above — confirmed. This means the new system will have to be built from scratch.  All of those cited in this story were granted anonymity to speak freely. There have been calls for Fujitsu to be stripped of its public contracts while sub postmasters affected by the scandal await full compensation. In August, more than 32 MPs and 44 peers wrote to U.K. Prime Minister Keir Starmer, urging him to block the firm from bidding for control of the TSS platform. In October, the government accepted all but one of the recommendations from Wyn Williams’ inquiry into the scandal, published in July, which concluded that at least 13 people may have taken their own lives after being accused of wrongdoing.  There has also been public scrutiny over the running of TSS. Cabinet Office Minister Nick Thomas-Symonds told lawmakers earlier this year he was investigating industry concerns about the service. “We are concerned to hear reports that the Trader Support Service is not providing a good quality of service,” cross-party peers on the Northern Ireland Scrutiny Committee wrote in an October report. Meanwhile, a report by the Federation of Small Businesses found current support relating to the Windsor Framework — including the TSS — was “falling short of expectations,” with 78 percent of Northern Irish businesses surveyed rating it as either “very poor” or “poor.” A spokesperson for HMRC, which awarded the contract, said: “We follow government procurement rules when awarding contracts, ensuring value for money for taxpayers. All bids underwent a robust evaluation and assurance process, and we will confirm the award in due course.” Fujitsu and Competere did not respond to requests for comment.
Data
Procurement
Borders
Rights
Customs
Notes on a scandal — will a fraud probe upend the EU?
Listen on * Spotify * Apple Music * Amazon Music Brussels was jolted this week by dawn raids and an alleged fraud probe involving current and former senior EU diplomats. Host Sarah Wheaton speaks with Zoya Sheftalovich — a longtime Brussels Playbook editor who has just returned from Australia to begin her new role as POLITICO’s chief EU correspondent — and with Max Griera, our European Parliament reporter, to unpack what we know so far, what’s at stake for Ursula von der Leyen, and where the investigation may head next. Then, with Zoya staying in the studio, we’re joined by Senior Climate Correspondent Karl Mathiesen, Trade and Competition Editor Doug Busvine and Defense Editor Jan Cienski to take stock of the Commission’s first year — marked by this very bumpy week. We look at competitiveness, climate, defense and the fast-shifting global landscape — and our panel delivers its score for von der Leyen’s team.
Mercosur
Defense
Foreign Affairs
Politics
European Defense
Czech billionaire Babiš will become PM after disposing of agri-business conflict
Czech right-wing billionaire Andrej Babiš will be the new prime minister in Prague after announcing Thursday evening that he would dispose of a potential conflict of interest. Babiš’ ANO party won the Czech parliamentary election in October and formed a coalition with the far-right Freedom and Direct Democracy and right-wing Motorists for Themselves parties. But the proposed prime minister and coalition ministers must be green-lit by Czech President Petr Pavel before taking office. Babiš has been entangled in legal woes, both at home and abroad, concerning his agriculture business empire Agrofert, which is a major recipient of EU subsidies. “Of course, I could have left politics after winning the election and had a comfortable life, or ANO could have appointed someone else as prime minister,” Babiš said Thursday night in a video address to voters. “But I am convinced that you would perceive it as a betrayal,” he added. “That is why I have decided to irrevocably give up the Agrofert company, with which I will no longer have anything to do, I will never own it, I will not have any economic relations with it, and I will not be in any contact with it.” Babiš’ ascension to the Czech premiership further tilts Central Europe in an anti-establishment direction, as the populist tycoon joins Hungary’s Viktor Orbán and Slovakia’s Robert Fico as potential thorns in Brussels’ side on key EU files. In stepping back from Agrofert, however, Babiš made clear the importance of retaking the prime ministerial role. The holding’s shares will now be managed through a trust structure by an independent administrator. “This step, which goes far beyond the requirements of the law, was not easy for me. I have been building my company for almost half my life and I am very sorry that I will also have to step down as chairman of the Agrofert Foundation,” Babiš said. “My children will only get Agrofert after my death,” he added. In response, Pavel announced that he would appoint Babiš as prime minister on Dec. 9. Andrej Babiš has been entangled in legal woes, both at home and abroad, concerning his agriculture business empire Agrofert, which is a major recipient of EU subsidies. | Gabriel Kuchta/Getty Images “I appreciate the clear and understandable manner in which Andrej Babiš has fulfilled our agreement and publicly announced how he will resolve his conflict of interest,” Pavel said. Pavel previously noted that strong pro-NATO and pro-EU stances, along with safeguarding the country’s democratic institutions, will be key factors in his decision-making regarding the proposed Cabinet. Czech conflict of interest law bars officials (or their close relatives) from owning or controlling a business that would create a conflict with their governing function. This doesn’t mean ministers can’t own businesses, just that they must prioritize the public interest over their own. Similar rules exist at the EU level. When he was prime minister the first time round, from 2017 to 2021, Babiš placed Agrofert — which consists of more than 250 companies — in trust funds, but the Czech courts as well as the European Commission in 2021 concluded that he still retained influence over them and was therefore in violation of EU conflict-of-interest rules.
Agriculture
Agriculture and Food
Politics
Conflict of interest
Fraud
Federica Mogherini resigns from College of Europe
The EU’s former top diplomat, Federica Mogherini, has resigned as rector of the College of Europe. In a statement, Mogherini said: “In line with the utmost rigour and fairness with which I always carried out my duties, today I decided to resign as Rector of the College of Europe and Director of the European Union Diplomatic Academy.” Mogherini and one of the bloc’s most senior diplomats, Stefano Sannino, were taken into custody Tuesday after Belgian police launched raids as part of a fraud probe. Sannino left his role in the Commission on Wednesday. The police searched the European External Action Service (EEAS) and the College of Europe over alleged corruption in the establishment of a training academy for diplomats. Mogherini, a former Italian foreign minister, was in charge of the EEAS from 2014 to 2019 and has been at the College of Europe since 2020.
Politics
Corruption
Fraud
US trolls EU over fraud scandal
The United States is paying attention to the fraud scandal that has rocked the EU this week. U.S. Deputy Secretary of State Christopher Landau used social media to take aim at Federica Mogherini, the former EU top diplomat who is at the center of the corruption scandal. Retweeting a France 24 story about Mogherini, Landau wrote: “This is the same person, incidentally, who characterized Communist Cuba as a ‘one-party democracy’ and fostered European investment, tourism, and trade that propped up the island’s repressive and stridently anti-American regime.” The European External Action Service’s 2016 Annual Report on Human Rights and Democracy in the World described Cuba’s political system as “a one-party democracy.” Mogherini was head of the EEAS at the time. Belgian authorities conducted dawn raids on Tuesday and detained Mogherini and ex-EEAS Secretary-General Stefano Sannino as part of an investigation into a tendering process to set up a diplomatic academy attached to the College of Europe, where Mogherini is now rector. Landau has had Europe in his sights this week. On Wednesday, he slammed European NATO allies for prioritizing their own defense industry over American arms suppliers. Landau told NATO foreign ministers not to “bully” his country’s defense firms out of participating in Europe’s rearmament.
Politics
Corruption
Fraud
‘The fish stinks from its head’: Right-wing populists mock EU over corruption scandals
BRUSSELS — Last year’s gathering of Europe’s far right in Brussels took place behind metal shutters after protesters, police and city politicians tried to stop it from going ahead. This year, the doors are wide open — albeit flanked by security guards — and it’s the EU’s mainstream leadership that is under siege. Just a day after the EU was rocked by the arrest of two senior figures in a corruption probe, many at the Battle for the Soul of Europe conference — hosted by MCC Brussels, a think tank with close links to Hungarian Prime Minister Viktor Orbán, and bringing together top officials from Budapest with right-wing politicians, activists and commentators from across the continent — said the time was right to channel public anger at the establishment. The latest corruption scandal is “another sign of double standards,” Balázs Orbán, political director to the Hungarian prime minister and the keynote speaker at the conference, said in an interview with POLITICO. “A corruption-based technocratic elite is mismanaging procedures. This element is very strong and it’s quite visible for the European voters but if you talk to Americans … this is what they see from Europe.” Prime Minister Orbán has repeatedly blasted the “EU elites” as out of touch and has sought to blame them for freezing funding for his own country over backsliding on democracy and the rule of law. There was a bullish mood at the event, held a stone’s throw from the EU Quarter of Brussels. Polish politician Ryszard Legutko, co-chairman of the right-wing European Conservatives and Reformists group, took aim at Commission President Ursula von der Leyen herself. | Thierry Monasse/Getty Images Polish politician Ryszard Legutko, co-chairman of the right-wing European Conservatives and Reformists group, took aim at Commission President Ursula von der Leyen herself. “The fish stinks from its head,” he blasted. John O’Brien, one of the organizers of the two-day conference, which kicked off on Wednesday, said “a couple of years ago people were scared to say some of these things about immigration, to raise concerns about environmental extremism, to talk about the mismanagement of economies … now, people are really finding their voices.” “It’s been demonstrated the last few years, time and time again, that Europe is dirty and needs to be cleaned up,” said O’Brien, as waiters in bowties served coffee to attendees. The latest embarrassment for the EU — the detention on Tuesday of former Commission Vice President Federica Mogherini and ex-top diplomatic official Stefano Sannino as part of a fraud probe — has given the right plenty of ammunition. At a panel on Thursday, French National Rally MEP Thierry Mariani and British political commentator Matthew Goodwin are set to take aim at the “deep-state web of civil service, NGOs and captured institutions.” Alice Cordier, a French activist and president of the Nemesis Collective, a self-described feminist campaign group that has been branded a far-right Islamophobic outfit by critics, said “corruption is a big issue.” The scandals, she said, compound public anger that has so far been focused largely on the consequences of migration. Balasz Orbán, however, was skeptical that the scandal would be a game-changer for national elections, including his own boss’s tough re-election fight next year. “Honestly,” he said, the internal corruption allegation is “not a big surprise for me, so it doesn’t add too much.” But according to Daniel Freund, an MEP from the German Greens, the far right is not “in any position” to credibly champion the anti-corruption cause. “They are the problem, not the solution,” Freund said, adding that the far-right Patriots group [in the European Parliament, to which Orbán’s Fidesz party belongs] has voted against “almost every measure that would strengthen the fight against corruption.” For now, the EU’s political leadership has been muted on the fraud investigation and is firmly on the defensive, its hands tied by ongoing legal proceedings. That has some worried: “The credibility of our institutions is at stake,” said Manon Aubry, co-chair of The Left group in the European Parliament. Others from von der Leyen’s own governing coalition want to see her take an unequivocally tough stance before her opponents capitalize on the idea that the Brussels bureaucracy is awash with the abuse of public money. “It needs to be dealt with at a European level,” said Raquel García Hermida-van der Walle, a Dutch MEP from the centrist Renew faction. “Whether it is … Qatargate, or these new fraud suspicions. Zero tolerance and more tools to tackle this.” Max Griera and Dionisios Sturis contributed reporting.
Politics
Security
Immigration
MEPs
Migration
Stefano Sannino exits Commission role amid fraud probe
BRUSSELS — Stefano Sannino, a director general in the European Commission who was detained by Belgian authorities as part of a fraud probe, is no longer in his job, the Commission said. The confirmation came after Belgian authorities, acting at the request of the European Public Prosecutor’s Office (EPPO), conducted dawn raids on Tuesday and detained Sannino, who led the Commission’s Middle East, North Africa and the Gulf department and was the former secretary-general of the European External Action Service. Sannino “is no longer serving in his function,” a Commission spokesperson said on Wednesday. “In light of allegations brought forward by the EPPO,” Sannino has “taken leave until end of the year, when he will then retire as planned.” Sannino has reached the retirement age. In an email sent to colleagues announcing his imminent retirement, first reported by Euractiv, Sannino said “under these circumstances, I do not consider it appropriate to continue in my present position.” He added that he was “confident in the work of the magistrates and confident that everything will be clarified.” The deputy director general of DG MENA, Michael Karnitschnig, will take over Sannino’s job until a replacement is appointed. The Commission spokesperson said “we must all respect the assumption of innocence until judicial proceedings are completed.” Sannino, as well as the EU’s former top diplomat Federica Mogherini, who was also detained on Tuesday as part of the probe, was released from custody after being held for questioning for several hours. Mogherini, the rector of the College of Europe, Sannino and a staff member of the College of Europe were detained Tuesday in connection to an investigation into whether the public tender awarded by the European External Action Service (EEAS) in 2021-22 to a higher education institution to host the EU Diplomatic Academy was rigged. The allegations are not proven and Mogherini, Sannino and the other individual detained are presumed innocent until deemed guilty by a court. “Yesterday I clarified my position with the investigators acting on behalf of the European Public Prosecutor’s Office,” Mogherini said in a statement on Wednesday. “The College has always applied and will continue to apply the highest standards of integrity and fairness.”
Middle East
Politics
Corruption
Fraud
Department
Kallas: Fraud claims against Mogherini ‘deeply shocking’
BRUSSELS — Top EU diplomat Kaja Kallas called allegations of fraud against her predecessor Federica Mogherini and a senior EU official “deeply shocking” in a letter to staff, as she sought to distance herself from the scandal. The internal letter, sent to European External Action Service (EEAS) staff on Wednesday and seen by POLITICO, stated that the events in question “took place under previous mandates” at the bloc’s foreign policy arm. Kallas took over from Josep Borrell as the EU’s High Representative, its most senior diplomatic post, in Dec. 2024. Before Borrell, Mogherini was in charge of the EEAS between 2014 and 2019, after which she went on to become rector of the elite College of Europe, which is now at the center of the fraud case. Stefano Sannino, another central figure in the scandal, was secretary general of the EEAS under Borrell before taking a senior position as head of the European Commission’s Middle East and North Africa department in early 2025. In the ongoing probe being led by Belgian police and the European Public Prosecutor’s Office (EPPO), Mogherini and Sannino are suspected of having rigged a tender process linked to the establishment of a European Diplomatic Academy at the College of Europe. “The accusations concern procurement fraud and corruption, conflict of interest and violation of professional secrecy,” the letter states, referring to the claims. Neither Mogherini nor Sannino have commented on the claims. Kallas’ letter goes on to outline anti-corruption measures that her team has put in place at the EEAS, including an updated “Anti-Fraud Strategy which is now fully in place and crucial for improved transparency.” “This includes prevention, training, and stronger cooperation with OLAF [the EU’s anti-fraud watchdog] as well as the first working arrangement with EPPO,” the letter states. “I can assure you that integrity and accountability will only improve under my watch and the ongoing process underlines that safeguards are in place and working.” Kallas concludes her letter by saying she will hold a town hall meeting on Thursday to answer staff questions about the allegations.
Politics
Corruption
Fraud
Foreign policy