Tirana Times
TIRANA, May 17 – The Albanian Transport ministry has sued a former Socialist Party minister for abuse of power over a cancelled rail deal with U.S. giant General Electric which has cost the Albanian state a 12 million euro fine.
A ministry statement says Spartak Poci failed to get parliamentary approval for the 75 million euro (92 million USD) contract to rebuild a 38-kilometre (28-mile) stretch of rail from Durres to the capital, Tirana. The deal also included a new link between Tirana and its airport.
The governing Democrats cancelled the agreement soon after coming to power in 2005, saying the country couldn’t afford it. General Electric went to the International Court of Arbitration in Rome, and won 12 million euros ($14.8 million) in compensation.
Poci, a Socialist, faces a maximum 7-year sentence if found guilty. The lawsuit was announced Monday. The ministry says the alleged offence by former Socialist Party minister Poci has cost the Albanian state 12 million euros, a bill which is increasing every day because of interest rates.
Poci’s failure to appear before the Arbitration court to make the necessary explanations influenced on the decision, said the ministry.
The Transport Ministry has called on the Prosecutor’ office to investigate into this crime which it says unfairly punishes the Albanians’ budget and damages the state’s economic interests.
“Mr’s Poci procedural announcement of December 3, 2003 requesting the immediate proceeding of part of the contract in violation of the legal framework in force in the Republic of Albania, respectively in the absence of consent (ratification) in parliament of the loan agreement, a component part of this agreement, served as proof in favour of General Electric Transportation System, Athena (Iliria Consortium) against the Albanian State in this trial,” said a statement by the ministry.
Ex-minister denies responsibility
TIRANA, May 19 – Former Socialist Party Minister Spartak Poci, who has been sued by current Transport Minister Sokol Olldashi over the cancelled rail deal with General Electric, has denied responsibility over the 12-million euro fine Albania has been imposed. In an interview with local media, Poci said that all procedures to sign the contract with General Electrics were carried out under law and that the finalization of the project, the construction of the Durres-Tirana new railway line, was up to the new government which emerged from the 2005 general elections.
The former minister said that Prime Minister Sali Berisha had approved the contract and even asked for the extension of the project but later changed his mind unilaterally canceling the contract, without previously sending it to Parliament. According to Poci, this is the only reason why Albania lost the case with General Electrics.
“If Berisha allowed Parliament to cancel the contract by vote, there would be no punishment by General Electrics. I am still unclear what the ministry wants from me and what the charge is about. I repeat that the whole fault was by Berisha government which cancelled the agreement without previously sending it to Parliament as most international rules foresee,” said Poci.
