US Ambassador to Moldova Kent D. Logsdon announced on Wednesday, October 26, that the US Treasury Department has imposed sanctions against former PDM leader Vladimir Plahotniuc and fugitive MP Ilan Shor, sentenced in 2017 to seven years and six months in prison for fraud and money laundering and placed under international wanted list, as well as against “several entities and individuals associated with them for corruption-related actions.”

Thus, as a result of this decision, all property and assets owned by the designated persons are blocked and must be reported to the Office of Foreign Assets Control (OFAC).

“(…) Just moments ago, the U.S. Treasury Department announced sanctions against two Moldovan oligarchs Vladimir Plahotniuc and Ilan Shor and several entities and individuals associated with them for actions related to systemic corruption and election interference supported by the Kremlin. Inclusion on the list of sanctioned persons means that any assets owned by Vladimir Plahotniuc and Ilan Shor that are in the US, or owned or controlled by other persons in the US, are blocked and must be reported to the Office of Foreign Assets Control (…),” the ambassador said.

Meanwhile, Moldovan President Maia Sandu announces that the US has designated 21 individuals and entities involved in corruption, which have seriously harmed Moldova and its citizens.

According to the head of state, the US Treasury’s Office of Foreign Assets Control (OFAC) has found Vlad Plahotniuc responsible for corruption on a particularly large scale. He has been included on the Global Magnitsky Act sanctions list.

“The US authorities have confirmed that Vlad Plahotniuc has captured and corrupted judicial and rule of law institutions in the Republic of Moldova. Plahotniuc used corruption money and political influence to eliminate political rivals and subordinate the country’s judiciary,” Maia Sandu said.

At the same time, OFAC found that Ilan Shor, who is also among the beneficiaries of the theft of the billion, is “complicit in actions to undermine the rule of law for the benefit of the Russian Federation”.

“Shor, together with other corrupt oligarchs and with the involvement of foreign entities, is taking actions to destabilise the political situation in the Republic of Moldova. Supported by these entities, Shor has undertaken efforts to undermine the process of the Republic of Moldova to obtain the status of EU candidate country (…) As a result of this decision, all property and assets owned by the designated persons are blocked and must be reported to OFAC. I thank all those who contributed to sanctioning the corrupt. Minister of Justice Sergiu Litvinenco, colleagues from the Ministry of Justice, other public institutions, civil society organisations and investigative journalists who contributed to this process – thanks to you, the Republic of Moldova will succeed in the fight against corruption.

It is my hope that these OFAC findings and the actions taken by the US Government will serve as an example for the Moldovan justice system, which has sabotaged and prevaricated in prosecuting, examining cases in court, holding people accountable for corruption and recovering money from Plahotniuc, Shor and other corrupt people”, added the President.

“The United States is committed to supporting Moldova’s efforts to combat corruption, reform its justice sector, strengthen the independence and transparency of its democratic institutions, and promote accountability for those who seek to undermine its democracy,” according to a State Department statement.

In doing so, the US designated two fugitive oligarchs, Vladimir Plahotniuc and Ilan Shor, and a larger group of individuals and entities “for their involvement in corruption and Kremlin-related efforts to interfere in Moldova’s democratic elections.”

“We designate Vladimir Plahotniuc, Ilan Șor and 19 other individuals and entities linked to systemic corruption and Kremlin-linked electoral interference in Moldova. The United States will continue to support democracy in Moldova and the fight against corruption,” reads a message posted on Secretary of State Antony Blinken’s Twitter page.

We are designating Vladimir Plahotniuc, Ilan Shor, and 19 other individuals and entities related to systemic corruption and Kremlin-linked election interference in Moldova. The United States will continue to support Moldova’s democracy and its fight against corruption.

— Secretary Antony Blinken (@SecBlinken) October 26, 2022

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Prime Minister Natalia Gavrilița said that with this decision, today the citizens of Moldova have been given justice.

“(…) This paves the way for corrupt oligarchs to go to court, for their assets to be confiscated and returned to the aggrieved citizens. Vlad Plahotniuc and Ilan Shor are on that list. The former – responsible for corruption on a massive scale. The latter is complicit in undermining the rule of law for the benefit of the Russian Federation. The list of sanctioned persons also includes those who received illegal financial aid during electoral campaigns, aid which in fact steals the genuine vote of citizens: Igor Dodon and the National Alternative Movement (…). This fight is not just a fight of state institutions. It is the struggle of each and every one of us,” said Natalia Gavrilița.

Justice Minister Sergiu Litvinenco said that “the US government’s decision is a recognition of the fact that Plahotniuc and Shor are declared criminals on an international scale”.

“(…) After four years of cooperation with the US government authorities, today we have good news. The US has decided that 21 individuals and entities linked to acts of corruption and the Kremlin’s efforts to interfere in democratic processes in our country have been included on the Magnitsky list. This is a victory for the citizens of Moldova and a result of the recognition of the efforts of the authorities in our country to fight corruption and reform the justice system… The decision of the US government is a recognition of the fact that Plahotniuc and Shor are declared criminals on an international scale. De facto, they are internationally recognized criminal organization or thieves with an international passport. Today’s decision is also a big step towards continuing efforts to catch them and bring them to justice for the crimes they have committed against the people of Moldova (…),” Litvinenco said.

Asked by journalists where Vladimir Plahotniuc is now, the justice minister said the former PDM leader is in Northern Cyprus.

“The last information I have is that he is in Northern Cyprus. It is a more specific entity (…),” Litvinenco said.

June 2022 marks three years since Shor and Plahotniuc left Moldova. Prosecutors claim that the whereabouts of the former PDM leader have not been officially established, while giving assurances that the necessary steps have been sent to the relevant institutions to locate him. Meanwhile, according to prosecutors, Ilan Shor is in Israel. On the other hand, the lawyers for Șor and Plahotniuc say they do not know the whereabouts of their clients, citing “confidential data between client and lawyer”.

Former PDM leader Vladimir Plahotniuc announced that he plans to return to politics in Moldova. Several statements attributed to Plahotniuc were published on Friday 28 October by the Tribuna portal.

Plahotniuc, for whom the magistrates of the Chisinau Ciocana court in July issued a 30-day arrest warrant in absentia in the “Metalferos” criminal case, said he will not return to the country but will communicate by phone and online communication platforms “with people in the territory, former colleagues and current politicians”.

“(…) And the question “why did I leave?” or “what made me leave?” should be put slightly differently – “why did I give up power?”, because I left because I gave up power and, for at least a year, there was nothing left for me to do (…) As I said earlier, I wanted first to give the new ACUM coalition with PSRM the opportunity to demonstrate their “skills”, then I gave the same opportunity to the “harvardists”, so that they too could show what they could do in government without having the excuse of saying that something or someone in the place had hindered them from showing themselves. And they’ve had three years to bring good times to the country. How well they have done – you can see from the situation in the country and this is also the subject, the reason that made me take the decision, which I am announcing now: I have decided to return to politics in Moldova. I am a politician who knows well how to solve crisis situations and my time is coming now (…).

(…) Given the situation with the files in Moldova, I will start communicating on the phone, but also through online communication platforms with people in the territory, with former colleagues, with current and former opposition politicians. As for the transparency of my work going forward, as well as the possibility to take into account your opinions and impressions, I will already be much more receptive to listen to your opinion and answer at least some of the questions you will ask,” Plahotniuc said.

At the same time, Plahotniuc says he intends to carry out his “governance plans” for 2019.

“(…) I have not yet shown my full potential in Moldovan political management (…). I want to be very clear, I am not going to stay long in Moldovan politics. Just as long as it takes to solve the crises and put the country on the path of normal and sustainable development. And that will take me fewer years than you imagine. After that, I will only deal with my foreign affairs, with a sense of duty to the country fulfilled, but also with the peace of mind that I have completed the planned projects (…). I remind the current government of a message that I once sent, which has lost none of its essence and relevance. As I once promised you, I will not leave you on your own (…)”, said the former leader of the PDM.

Vladimir Plahotniuc left Moldova in June 2019, after the party he led, PDM, handed over the government to a coalition formed by the ACUM Bloc and PSRM, which broke up in November 2019. In March 2020, the US Embassy in Chisinau confirmed that Plahotniuc is on US soil.

Fugitive MP Ilan Shor, convicted in 2017 of fraud and money laundering and placed on international wanted list, says he is “not affected” by sanctions imposed by the US Treasury Department for “actions to undermine the rule of law for the benefit of the Russian Federation.”

“The US sanctions against me are a great victory,” said Ilan Shor, who was found by the US Treasury’s Office of Foreign Assets Control (OFAC) to be “one of the beneficiaries of the billion theft”.

“I congratulate you, dear citizens. With the application of sanctions against me, all the problems of Moldovan citizens have been solved. From now on, we will have electricity that will cost less than one leu, a cubic meter of gas – 30 money, there will be no more problems with unemployment, with the economy, pensions have reached 2000 euros. But if we are serious, the US sanctions against me are a great victory,” said Shor.