FRONTIERS OF FREEDOM VOICES CONCERNS ABOUT CORRUPTION, RULE OF LAW AND A WEAKENING OF DEMOCRATIC VALUES IN ROMANIA

Calls on the United States and European Union to Utilize Diplomatic Relations and Sanctions to Ensure Western Values are Protected.

FAIRFAX, Va., May 11, 2023 /PRNewswire/ -- Amid concerns about rampant corruption in the government, gross negligence for the rule of law, manipulation of a free-market economy and a recent slide in democracy, an independent foundation in the United States, Frontiers of Freedom, announced their concerns for the current situation in Romania and called on the international community, to include the United States and the European Union, to apply diplomatic pressure and targeted sanctions to ensure western values and interests are protected in Eastern Europe - particularly in Romania.

Frontiers of Freedom issued the criticism of the Romanian government officials as concerns grow towards potentially corrupt Romanian politicians and bureaucrats at the Autoritatea de Supraveghere Financiara (ASF) who are more than likely contributing to the destabilizing efforts by targeting Euroins Romania, a key unit of Euroins Insurance Group, the only insurance group providing critical maritime cargo for grain shipments and travel insurance for Ukrainians fleeing their country (through its two Ukrainian subsidiaries ? Euroins Ukraine and Euroins Ukraine), with unjust regulatory interference. By destabilizing Euroins Ukraine, Romanian politicians and bureaucrats are making attempts to undermine the sustainable business model of Euroins, thus negatively impacting the group's business in Ukraine as well.

"While corruption is certainly a problem in many countries, it is particularly concerning in Romania due to the context of the conflict between Russia and Ukraine," said George C. Landrith, President of Frontiers of Freedom. "By accepting bribes or other forms of corrupt payment from Russian entities, corrupt Romanian politicians, and bureaucrats at the ASF may be directly contributing to Putin's efforts to undermine Ukraine and destabilize the broader international community. These individuals may be using their positions to influence regulatory decisions or steer business away from Euroins in a way that is detrimental to not only the company, but the greater international business and investor community," added Landrith.

Maritime cargo insurance is a critical component of global trade, providing protection for goods in transit across the world. In the context of the conflict between Russia and Ukraine, this coverage is particularly essential, as it allows Ukrainian businesses to safely ship goods abroad and maintain important trade relationships.

"Russian President Putin has made no secret of his desire to assert Russian influence over Ukraine, in any ways possible, and undermine Ukrainian businesses and individuals far beyond the borders of Ukraine," Landrith. "To address such concerns in Romania, it is critical that the Romanian government takes proactive steps to root out corruption and ensure that politicians and bureaucrats at the ASF are held accountable for any illicit activities ? particularly those supporting Putin. Such measures could include strengthening the anti-corruption laws and regulations, increasing transparency and accountability at the AFS, and providing additional resources and training to law enforcement agencies to investigate and prosecute corruption cases," added Landrith.

Despite the critical importance of maritime cargo and travel insurance for Ukraine, the Romanian government has thus far failed to take meaningful action to address Putin's efforts to undermine these industries. It may not fully appreciate the significance of these industries. While the Biden-Harris Administration and other European governments are taking steps to support Ukraine through direct financial aid and economic sanctions against Russia, Romanian and Western governments have not focused on the critical role that insurance companies play in providing protection and support to Ukrainian businesses and individuals. By allowing Russian pressure to continue to erode these industries, the Romanian government is failing to fully support Ukraine in its efforts to resist Russian aggression.

In addition, it is important for international partners to continue working together to support Ukraine and counter Russian aggression. This could include providing financial support to Euroins and other Ukrainian insurers, engaging in diplomatic efforts to pressure Romanian regulators to cease their unfair and aggressively overreaching activities, and collaborating on intelligence and law enforcement efforts to identify and disrupt corrupt activities.

About Frontiers of Freedom
Frontiers of Freedom is a 501(C)4 nonprofit organization founded in 1995 by U.S. Senator Malcolm Wallup. The organization is an educational foundation with the mission to promote the principles of individual freedom, peace through strength, limited government, free enterprise, free markets, and traditional American values as found in the Constitution and the Declaration of Independence.

For more information about Frontiers of Freedom's position on current events in Romania or to speak with a representative about our work around the world, please contact Frontiers of Freedom at [email protected].