Backed by political leaders and Supervisory Board, BoA governor resists calls to resign following inside job theft of $7 million from central bank.
TIRANA, Aug. 7 – Eight more Bank of Albania employees have been arrested, bringing the total number of arrests to 10 in the case of the theft of $7 million over the past four years, to which at least on bank employee has confessed of being part.
The Bank of Albania Supervisory Board said it had concluded the theft was carried out and facilitated by employees who violated regulations on the entry-exit regime at the high security institution.
“This criminal event by a former employee does not affect the daily operations of the bank,” the board said in a statement.
The Bank of Albania Supervisory Board said it would continue to cooperate with the prosecution, until a full investigation to send those responsible to justice as soon as possible. It also approved additional measures to strengthen security in the processing and storage of cash.
The government called the theft “very serious” and urged the justice system to “punish any person involved in the shocking crime.” It also said that the government and parliament together with international institutions, should be found legal measures to guarantee control and transparency without sacrificing the independence of the Bank of Albania.
The government stop short on commenting on calls that BoA Governor Adrian Fullani be sacked for allowing the theft to go on under his administration. And the Supervisory Board as untrue reports that its latest meeting proposed dismissal of the governor.
However, as the board’s meeting took place, scores of civic organization protesters gathered in front of the main office of the central Bank of Albania to ask for the resignation of Fullani, who they hold responsible for the disappearance of 713 million leks from its storage facility.
The protesters held anti-Fullani slogans and also asked the governing leftist Socialist Party-led coalition of Prime Minister Edi Rama and also the opposition to react and stop protecting Fullani.
A media campaign has portrayed the central bank governor as politically well-connected and opulent, digging into personal photos of him and his children showing off designer watches, sports cars and lavish parties. He is also accused by the media of buying off politicians by hiring their relatives to work for the bank, which has a reputation to pay well above the private market. Fullani himself is the highest-paid official in the Albanian state.
That has led to a social media campaign for street protests demanding his resignation. There have been a couple of small protests so far. Civil society activists have also announced that they would continue protests until the resignation or dismissal for the governor.
Meanwhile, authorities in charge of auditing the public officials’ income and property said they have started an investigation on the complete staff of the bank, including Fullani to see how they have secured the income and the money over the last decade.
The investigation from the High Inspectorate of Declaration and Audit of Assets and Conflict of Interests of Albania is checking the collection of data and information, and the verification activities and administrative investigation would be extended to the officials’ family members and others related to them. Those results will be referred to the Prosecutor’s Office for further probe case by case, they said.
The local media reported that one of the two alleged thieves, Adrian Bitraj, has admitted that he took the cash out of the reserve over a four-year period and that he has mainly spent most of the money on gambling.
Last week Albania’s central bank said 713 million leks (5 million euros; $6.75 million) has been stolen from its reserve storage building and that two bank employees were arrested.
The Bank of Albania, which is in charge of the country’s price stability and coordinates work with 16 private banks, said the cash was stolen over time, without providing further details, but insisted that the bank’s operations had not been affected and it was supplying the country’s banking system with the necessary liquidity.
Political leaders in Albania have been reluctant to react to the central bank scandal.
The governing Socialist Party has not condemned or to asked for the resignation of the central bank governor. Erjon Brace, who heads the parliamentary economic commission, said after its meeting last week they had not asked for Fullani’s resignation.
The main opposition Democrats of Tirana Mayor Lulzim Basha took a was so much careful and delayed in their reaction. It only came out this Monday when their spokeswoman said that they urged a full investigation of the theft.
The Democrats former leader, Sali Berisha, came out in support of Fullani, saying that it was the bank itself that discovered the theft and that they have been reluctant to attack Fullani in order not to threaten the banking system.
But it was not the bank discovering the theft, it came out later. It was the employee that confessed who was first to approach prosecutors.
The Albanian Bankers Association called the theft worrying but but assured customers that the activity of commercial banks would continue normally.
Two staff members have been arrested and charged with the theft directly. Some of the stolen cash came from piles that were destined to be destroyed as part of the bank’s currency replacement program, the bank said.
One of the central bank’s staff members, Bitraj, has confessed to stealing the cash over four years to feed his gambling addiction, prosecutors said.
But prosecutors are not convinced that all the money was gambled away and are looking at bank transfers and property transactions to determine if any of it is was transferred outside the country or whether it can be recuperated through property confiscation.
The theft has sparked concern over the security measures at the central bank and has led to parliament members calling for a more thorough investigation of the independent institution.
