Prosecutors indict Romanian telco RCS & RDS for bribery

By bne IntelliNews August 23, 2017

Romania’s National Anticorruption Directorate DNA announced it has formally indicted telecom company RCS & RDS, some of its former managers, and the former head of the Professional Football League (LPF) Mitica Dragomir in a bribery case. RCS & RDS allegedly paid a €3.1mn bribe to Dragomir, who in exchange amended a contract between RCS & RDS and LPF by lowering the fees paid by the former for the broadcasting rights.

According to the DNA statement, in 2008, the LPF organised a tender for granting exclusive rights to broadcast the matches of the First League for the 2008-2009, 2009-2010 and 2010-2011 seasons. The tender was won by a consortium comprising RCS & RDS and another firm, for a price of €100mn. In 2009, against the background of the economic crisis, the consortium asked LPF to give it more advantageous conditions.

Dragomir, who was head of LPF at that time, asked representatives of RCS & RDS to enter into a business agreement with a company that he controlled. According to the contract, RCS & RDS paid €3.1mn to the company controlled by the former football official. In return, he supported the company’s interests at the LPF level. 

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