Romania’s Digi Communications has published an update into an investigation into the company by the National Anti-Corruption Directorate (DNA).
The investigation, into bribery and money laundering, was initially disclosed by the company to the market and investors in an IPO prospectus dated April 26. It was also discussed in a supplemental prospectus (May 8), as well as subsequent public reports.
Digi adds that on July 25, RCS&RDS, the company’s subsidiary, was indicted by the DNA in connection with the offences of bribery and money laundering,Integrasoft (one of RCS&RDS’s subsidiaries) was indicted for the offence of accessory to money laundering, while Mihai Dinei (a member of the board of directors of RCS&RDS was indicted by the DNA in connection with the offences of accessory to bribery and accessory to money laundering.
Additionally, on July 25, the DNA confirmed that it attached two real estate assets pertaining to RCS&RDS. to secure an amount of approximately €3 million). Should RCS&RDS be found guilty for having committed the alleged criminal offences by a final court resolution, it is possible that enforcement be made against these assets up to the value of the secured amount.
Subsequently, on July 31 Serghei Bulgac (CEO of the company and general management and president of the board of directors of RCS&RDS, the company’s subsidiary), was indicted by the DNA in connection with the offence of money laundering.
Digi concludes by saying: “We restate that we will continue to fully cooperate with the investigation and believe that RCS&RDS, Integrasoft and their current and former officers have acted appropriately and in compliance with the law.
“We do not expect these measures to interfere with the company’s, RCS&RDS’s or any of their subsidiaries’ business in any material manner”.
