Wednesday, 30 December 2009
The taxman cometh....
NRA Director: 21 Bulgaria Music Stars Guilty of Tax Evasion
Society
The Executive Director of Bulgaria’s National Revenue Agency (NRA), Krasimir Stefanov, has stated that 21 top Bulgarian musicians have been found to have discrepancies between declared income and their assets.
Of the 37 pop-folk and pop singers investigated by the NRA in December, 21 were revealed to have a discrepancy declared income and their assets. One unnamed singer is reported to have not declared any income while owning a property worth BGN 200 000.
Stefanov said that the aims of the ongoing investigations, “which do not immediately mean that the investigated people are guilty of any offense”, were to show Bulgarian society what harm undeclared taxes do. He said that after the recent investigation into Bentley owners an extra BGN 16 M had been added to the state budget. He also added that the aim of the investigation was not to throw a lot of people in jail.
Regarding the ongoing NRA investigation into a total of 261 Bulgarian top flight football players, Stefanov concluded that it was ridiculous that some of them declared a yearly income of BGN 3000. He added; “I hope that they will declare the loans from friends. I hope that public figures understand that if they want to live in this country they should pay their taxes.”
Friday, 11 December 2009
Again Strange but allegedly true !
BULGARIAN SWAPS 'ORIGINAL' MONET PAINTING FOR 2 TRACTOR LOAN
A painting alleged to be that of legendary French impressionist Claude Monet has been sold in Bulgaria for almost BGN 13 M after being put down as collateral for a USD 319 000 loan for two tractors.
Chude Georgiev, the original owner of the painting, stated that it is certainly authentic and worth EUR 24 M, but according to bank experts and a private bailiff it is fake and probably worth BGN 5000. The case is currently being dealt with in the Sofia City Court and the Supreme Cassation Prosecutor's Office.
At an auction Thursday morning, the private bailiff Stoyan Yakomov, sold the painting for BGN 12,8 M to one of nine private buyers. The painting was given as collateral by Georgiev for a loan from First Investment bank to his friend Alexander Dimitrov. Dimitrov later bought two brand new tractors with the loan. (Georgiev is the leader of the Bulgarian Socialist Workers Party, which has participated several times in local and parliamentary elections and Dimitrov is a close friend of the Communist Finance - Belcho Belchev.)
Georgiev allegedly received the painting from his grandfather, a merchant from Vratsa. Much later he said that he realized that it was from the early period of Monet an took it to be certified. According to him, it was investigated by Western experts, who confirmed that the painting was an original Monet, and invented a name for it: ‘Walk in the mansion’. Georgiev then insured it with DZI for USD 8 M and for the same sum with British insurance company Lloyd's.
Georgiev also said that the Christie's auction house told him that the price of the painting is between USD 15-24. Bulgarian experts, however, including the director of the National Art Gallery Boris Danailov, are explicit that it is fake. They say that the canvas itself is produced in the Soviet Union 50-years ago, and gave it a market price of USD 5000 .
After Thursday’s auction Georgiev, who will receive most of the money from the sale, launched a case in the Supreme Cassation Prosecution he argues that Yakimov is working jointly with First Investment Bank and that the bidder is connected to them. He stated that they will then sell it on for a much higher price to “Western” art lovers. He had also previously tried to stop the auction taking place but failed.
Another theory is that Georgiev is connected to the unnamed bidder who has not yet officially paid the sum over to the bank, and therefore the false price would have stopped the auction. Georgiev is also thought to have recently found a buyer in France who wants to pay him EUR 7 M for the painting.
A painting alleged to be that of legendary French impressionist Claude Monet has been sold in Bulgaria for almost BGN 13 M after being put down as collateral for a USD 319 000 loan for two tractors.
Chude Georgiev, the original owner of the painting, stated that it is certainly authentic and worth EUR 24 M, but according to bank experts and a private bailiff it is fake and probably worth BGN 5000. The case is currently being dealt with in the Sofia City Court and the Supreme Cassation Prosecutor's Office.
At an auction Thursday morning, the private bailiff Stoyan Yakomov, sold the painting for BGN 12,8 M to one of nine private buyers. The painting was given as collateral by Georgiev for a loan from First Investment bank to his friend Alexander Dimitrov. Dimitrov later bought two brand new tractors with the loan. (Georgiev is the leader of the Bulgarian Socialist Workers Party, which has participated several times in local and parliamentary elections and Dimitrov is a close friend of the Communist Finance - Belcho Belchev.)
Georgiev allegedly received the painting from his grandfather, a merchant from Vratsa. Much later he said that he realized that it was from the early period of Monet an took it to be certified. According to him, it was investigated by Western experts, who confirmed that the painting was an original Monet, and invented a name for it: ‘Walk in the mansion’. Georgiev then insured it with DZI for USD 8 M and for the same sum with British insurance company Lloyd's.
Georgiev also said that the Christie's auction house told him that the price of the painting is between USD 15-24. Bulgarian experts, however, including the director of the National Art Gallery Boris Danailov, are explicit that it is fake. They say that the canvas itself is produced in the Soviet Union 50-years ago, and gave it a market price of USD 5000 .
After Thursday’s auction Georgiev, who will receive most of the money from the sale, launched a case in the Supreme Cassation Prosecution he argues that Yakimov is working jointly with First Investment Bank and that the bidder is connected to them. He stated that they will then sell it on for a much higher price to “Western” art lovers. He had also previously tried to stop the auction taking place but failed.
Another theory is that Georgiev is connected to the unnamed bidder who has not yet officially paid the sum over to the bank, and therefore the false price would have stopped the auction. Georgiev is also thought to have recently found a buyer in France who wants to pay him EUR 7 M for the painting.
Overview
Dear Readers,
There are lots of posts I could have put on here regarding such things as the appointment of Rumiana Juleeva as Bulgaria's new EU Commissioner, the latest shennanigans in parliament,and further dire economic news, but I will confine myself to one piece of economic news that is just emerging.It appears that while Bulgaria is one of the worst affected economies there appear to be signs that a turnaround will happen next year.
Now please bear in mind that recovery is a slow as turning round an ocean liner (there were still over 7 million unemployed in the US in December 1941), but since this recession is basically created by disappearing credit, and therefore consumer confidence, it is not the same kettle of fish.
Let us hope so.
There are lots of posts I could have put on here regarding such things as the appointment of Rumiana Juleeva as Bulgaria's new EU Commissioner, the latest shennanigans in parliament,and further dire economic news, but I will confine myself to one piece of economic news that is just emerging.It appears that while Bulgaria is one of the worst affected economies there appear to be signs that a turnaround will happen next year.
Now please bear in mind that recovery is a slow as turning round an ocean liner (there were still over 7 million unemployed in the US in December 1941), but since this recession is basically created by disappearing credit, and therefore consumer confidence, it is not the same kettle of fish.
Let us hope so.
Winter is coming !
Its getting cold now, the last few nights and days have been chilly and tomorrow the snow is coming, according to the weather forecast.It appears that we will have a mild winter this year but, unless you love in a centrally heated place or one with air-con, every day the log fire has to be tended to, piled high at night and cleaned out and re-lit each morning.Coming from London this was a bit of a shock to the system, but you get used to the daily ritual plus the power cuts of varying length.Usually in this big village near a power station its only a few minutes or house, I dont envy the poor devils in isolated areas where it is far longer.
A wood supply for the winter is just over 200 pounds.Electric heating is, on the other hand, hideously expensive and bills of 100 pounds A MONTH can easily be run up.Gas supplies for a gas central heating system are by large bottled gas containers and are about half as expensive as electric heating.
Generally speaking Bulgaria functions well unless there is very heavy snow and then things, inevitably, start to fall apart. Cities and towns get cut off and airports get closed.If anyone is considering travelling here from the end of December till the end of February please bear this in mind.
A wood supply for the winter is just over 200 pounds.Electric heating is, on the other hand, hideously expensive and bills of 100 pounds A MONTH can easily be run up.Gas supplies for a gas central heating system are by large bottled gas containers and are about half as expensive as electric heating.
Generally speaking Bulgaria functions well unless there is very heavy snow and then things, inevitably, start to fall apart. Cities and towns get cut off and airports get closed.If anyone is considering travelling here from the end of December till the end of February please bear this in mind.
Tuesday, 24 November 2009
ET
BULGARIAN ACADEMY SCIENTISTS REPORTED TO BE IN TOUCH WITH ALIENS
Scientists from the Space Research Institute of the Bulgarian Academy of Sciences (BAS) have been reported to be in touch with extraterrestrial beings.
The Bulgarian Novinar Daily has reported that the Bulgarian scientists are currently working on deciphering pictograms which are said to have come in the form of the so called “crop circles” with which the aliens answered 30 questions posed by the BAS researchers.
“They are currently all around us, and are watching us all the time. They are not hostile towards us; rather, they want to help us but we have not grown enough in order to establish direct contact with them. They are ready to help us but we don’t know what to request from them in case of contact,” said Lachezar Filipov, Deputy Director of the Space Research Institute of the Bulgarian Academy of Sciences, as quoted by the Novinar Daily.
Filipov has said that even the Vatican had agreed that aliens existed. In his words, the humans are not going to be able to establish contact with the extraterrestrials through radio waves but through the power of thought.
He has stated that the human race was certainly going to have direct contact with the aliens in the next 10-15 years.
The deputy head of the Bulgarian Space Research Institute has also told the Novinar Daily that the extraterrestrials were critical of the people’s amoral behavior referring to the humans' interference in nature’s processes.
Filipov’s team is reported to be analyzing the 150 new crop circles which appeared around the globe in the past year.
The publication of the Novinar Daily about the BAS researchers communicating with aliens comes in the midst of a controversy over the role, feasibility, and reform of the Bulgarian Academy of Sciences, which last week even led to the exchange of offensive remarks between Bulgaria's Finance Minister, Simeon Djankov, and President Georgi Parvanov.
Scientists from the Space Research Institute of the Bulgarian Academy of Sciences (BAS) have been reported to be in touch with extraterrestrial beings.
The Bulgarian Novinar Daily has reported that the Bulgarian scientists are currently working on deciphering pictograms which are said to have come in the form of the so called “crop circles” with which the aliens answered 30 questions posed by the BAS researchers.
“They are currently all around us, and are watching us all the time. They are not hostile towards us; rather, they want to help us but we have not grown enough in order to establish direct contact with them. They are ready to help us but we don’t know what to request from them in case of contact,” said Lachezar Filipov, Deputy Director of the Space Research Institute of the Bulgarian Academy of Sciences, as quoted by the Novinar Daily.
Filipov has said that even the Vatican had agreed that aliens existed. In his words, the humans are not going to be able to establish contact with the extraterrestrials through radio waves but through the power of thought.
He has stated that the human race was certainly going to have direct contact with the aliens in the next 10-15 years.
The deputy head of the Bulgarian Space Research Institute has also told the Novinar Daily that the extraterrestrials were critical of the people’s amoral behavior referring to the humans' interference in nature’s processes.
Filipov’s team is reported to be analyzing the 150 new crop circles which appeared around the globe in the past year.
The publication of the Novinar Daily about the BAS researchers communicating with aliens comes in the midst of a controversy over the role, feasibility, and reform of the Bulgarian Academy of Sciences, which last week even led to the exchange of offensive remarks between Bulgaria's Finance Minister, Simeon Djankov, and President Georgi Parvanov.
Sunday, 15 November 2009
New Mayor in Sofia
Bulgaria's Ruling Party Candidate Fandakova Elected Sofia Mayor in Landslide - Exit Poll
|  Yordanka Fandakova (left) has been elected to succeed Bulgaria's Prime Minister, Boyko Borisov (right), as the Mayor of the capital Sofia. Fandakova's election is widely believed to have resulted from Borisov's active endorsement. Photo by BGNES |
More information about Yordanka Fandakova is available HERE.
Fandakova, who is currently the Education Minister in the GERB government, has been elected in a landslide, according to the exit poll of Gallup International. In addition to Borisov's GERB, she has also been backed by the nationalist Ataka party and the rightist Blue Coalition.
Despite the record low voter turnout - 21,4%, Fandakova has won in the first round, and so no runoff will be held. The Sofia Mayor by-elections have been widely regarded as a race with clear outcome from the very beginning due to the huge popularity and public support for Prime Minister Borisov and the GERB party.
The first exit poll results show that Fandakova, who is widely seen as a protege of Prime Minister Boyko Borisov, has won 65,6% of the cast votes.
Georgi Kadiev, the candidate of the Bulgarian Socialist Party, known as the "red yuppie", who has been seen as Fandakova's only serious competitor, has remained second with 26,5 % of the votes.
All other candidates have received a total of 7,9%.
With her election Sunday, Fandakova has become the first woman to be Mayor of Sofia, a fact described as an advantage by Prime Minister, Boyko Borisov.
The Bulgarian capital Sofia had to hold Mayor by-elections as former Sofia Mayor Boyko Borisov became Prime Minister after his party GERB won overwhelmingly the July 2009 Parliamentary Elections.
Borisov was himself first elected in by-elections in 2005, and then reelected at the regular elections in 2007. Under his administration in 2005-2009, Fandakova served as a Deputy Mayor of Sofia in charge of education, youth, culture, and science. She has been Minister of Education since July 2009.
Thursday, 12 November 2009
Theatre news .....
Bulgaria Culture Minister Exposes Huge Draining, 'Turkish Theaters'
Domestic
Bulgaria's Culture Minister, Vezhdi Rashidov, presented Thursday his report for his first 100 days in office, including the results from inspections of the previous administration.
“A lot of money have been siphoned off from the cultural institutions from around the country such as theaters, which had been turned into “gray companies”, Rashidov explained.
A huge number of violations have been uncovered with respect to contracts for the repair of the buildings of cultural institutions, where usually much larger sums were spent than the market value. One example is the repair of the National Art Gallery.
“A donation of EUR 48 000 had been received for the renovation of 300 square meters on the top floor of the gallery. The money was specifically given for that job. In addition, BGN 140 000 were demanded from the Ministry for the same purpose. Our audit showed that BGN 60 000 were enough to get the job done. Where is the other money?” Rashidov said.
Another type of huge violations had to do with the leasing of property of cultural institutions around the country for ridiculously small sums of money.
Grave violations have been uncovered in what Rashidov called “Turkish theaters”, i.e. the theaters in the regions dominated by the ethnic Turkish party DPS (“Movement for Rights and Freedoms”), which was one of the three parties of the former governing coalition.
“For example, in one of those theaters we found that 76 people are on the payroll, that is a huge budget with no income whatsoever. There were only a couple of performances. At the same time, there was an amateur dancing troupe of 25 people whose only function was to dance “kyuchek” (i.e.Turkish belly dancing) upon the arrival of the DPS activists. The director was drunk all the time, and did nothing. He appointed his wife, his son, who is underage, his aunt, and several of his cousins to positions at the theater. What a wild gang, a?” declared Minister Rashidov, who is a renown Bulgarian sculptor of ethnic Turkish origin.
The Chief Secretary of the Culture Ministry, Stoyan Stoyanov, explained that the results from all of the audits carried out in the last three months had already been submitted to the Agency for State Financial Inspection, and from there they would go to the Prosecutor’s Office.
Among the successful projects of his first 100 days in office, Culture Minister Rashidov pointed to the optimization of the staff and the number of institutions within the Ministry, and the adoption of a new Working Rules Statutes.
Domestic
Bulgaria's Culture Minister, Vezhdi Rashidov, presented Thursday his report for his first 100 days in office, including the results from inspections of the previous administration.
“A lot of money have been siphoned off from the cultural institutions from around the country such as theaters, which had been turned into “gray companies”, Rashidov explained.
A huge number of violations have been uncovered with respect to contracts for the repair of the buildings of cultural institutions, where usually much larger sums were spent than the market value. One example is the repair of the National Art Gallery.
“A donation of EUR 48 000 had been received for the renovation of 300 square meters on the top floor of the gallery. The money was specifically given for that job. In addition, BGN 140 000 were demanded from the Ministry for the same purpose. Our audit showed that BGN 60 000 were enough to get the job done. Where is the other money?” Rashidov said.
Another type of huge violations had to do with the leasing of property of cultural institutions around the country for ridiculously small sums of money.
Grave violations have been uncovered in what Rashidov called “Turkish theaters”, i.e. the theaters in the regions dominated by the ethnic Turkish party DPS (“Movement for Rights and Freedoms”), which was one of the three parties of the former governing coalition.
“For example, in one of those theaters we found that 76 people are on the payroll, that is a huge budget with no income whatsoever. There were only a couple of performances. At the same time, there was an amateur dancing troupe of 25 people whose only function was to dance “kyuchek” (i.e.Turkish belly dancing) upon the arrival of the DPS activists. The director was drunk all the time, and did nothing. He appointed his wife, his son, who is underage, his aunt, and several of his cousins to positions at the theater. What a wild gang, a?” declared Minister Rashidov, who is a renown Bulgarian sculptor of ethnic Turkish origin.
The Chief Secretary of the Culture Ministry, Stoyan Stoyanov, explained that the results from all of the audits carried out in the last three months had already been submitted to the Agency for State Financial Inspection, and from there they would go to the Prosecutor’s Office.
Among the successful projects of his first 100 days in office, Culture Minister Rashidov pointed to the optimization of the staff and the number of institutions within the Ministry, and the adoption of a new Working Rules Statutes.
Wednesday, 11 November 2009
Bulgaria and the 'fall' of communism
Yesterday was the twentieth anniversary of the collapse of the Communist regime.It was basically an internal coup organised by some communists to preserve their own power.To this day there are major connections between the old communist leadership (and their security apparatus) and politics and big business.
One reason Bulgaria had so many corruption and organised crime problems is the failure to come to terms properly with the communist period and its legacy.
Now finally it appears that the new government may be willing to address these issues and that Bulgaria may be evolving into a modern democracy.
One reason Bulgaria had so many corruption and organised crime problems is the failure to come to terms properly with the communist period and its legacy.
Now finally it appears that the new government may be willing to address these issues and that Bulgaria may be evolving into a modern democracy.
Land Deals and Tax
Bulgaria Makes Bank Payment Mandatory for Real Estate Deals
Properties
Draft amendments to the Notaries Public Act are going to make bank payment mandatory for all real estate property deals in Bulgaria starting January 1, 2010.
The news has been announced by the government press service, which points out that this move is intended to curb money laundering by paying in cash for the purchase of property, and to counter real estate fraud.
The legislative changes will require that both the vendor and the vendee specify their bank accounts for conducting a property deal. Alternatively, they could use the account of their notary public.
The conditions for depositing money into bank accounts as part of the deal will be specified by the respective sides in written agreements.
These legislative changes are seen as the first step to an all-out regulation of payment in purchase deals through a special law to be called Deposit Account Act.
Uncle's comment:It is difficult to know how this will pan out but it basically means more tax as the correct value goes on the title deeds.It will also mean that the statistics for real estate may actually have some meaning.The flip side is that the party is over for tax avoidance.
Properties
Draft amendments to the Notaries Public Act are going to make bank payment mandatory for all real estate property deals in Bulgaria starting January 1, 2010.
The news has been announced by the government press service, which points out that this move is intended to curb money laundering by paying in cash for the purchase of property, and to counter real estate fraud.
The legislative changes will require that both the vendor and the vendee specify their bank accounts for conducting a property deal. Alternatively, they could use the account of their notary public.
The conditions for depositing money into bank accounts as part of the deal will be specified by the respective sides in written agreements.
These legislative changes are seen as the first step to an all-out regulation of payment in purchase deals through a special law to be called Deposit Account Act.
Uncle's comment:It is difficult to know how this will pan out but it basically means more tax as the correct value goes on the title deeds.It will also mean that the statistics for real estate may actually have some meaning.The flip side is that the party is over for tax avoidance.
Saturday, 24 October 2009
Bargains Bargains !
Bulgaria Residential Property Prices Collapse by 28% in 2009 Q3
Properties
The prices of residential property in Bulgaria declined by an average of 28% in the third quarter of 2009 compared to the same period of 2008.
This becomes clear from data released Friday by the National Statistical Institute, which also show that the residential property prices around Bulgaria dropped by 5% in July-September 2009 compared to the second quarter of 2009.
According to the NSI, the average price of one square meter of residential property in Bulgaria in the third quarter of 2009 was BGN 1 021,45. The residential property prices are found to be the highest in the Black Sea city of Varna – BGN 1 770 per square meter, followed by the capital Sofia BGN 1 640,33, and the Black Sea city of Burgas – BGN 1 379,83.
In the third quarter of 2009, the residential property prices in Sofia dropped by 6% compared to the second quarter of 2009. The highest decreases are registered in the northern cities: Montana – 16,3%, Vidin – 10,1%, and Shumen – 10%.
Properties
The prices of residential property in Bulgaria declined by an average of 28% in the third quarter of 2009 compared to the same period of 2008.
This becomes clear from data released Friday by the National Statistical Institute, which also show that the residential property prices around Bulgaria dropped by 5% in July-September 2009 compared to the second quarter of 2009.
According to the NSI, the average price of one square meter of residential property in Bulgaria in the third quarter of 2009 was BGN 1 021,45. The residential property prices are found to be the highest in the Black Sea city of Varna – BGN 1 770 per square meter, followed by the capital Sofia BGN 1 640,33, and the Black Sea city of Burgas – BGN 1 379,83.
In the third quarter of 2009, the residential property prices in Sofia dropped by 6% compared to the second quarter of 2009. The highest decreases are registered in the northern cities: Montana – 16,3%, Vidin – 10,1%, and Shumen – 10%.
Friday, 23 October 2009
Taxi News
The ongoing saga of over-priced taxis who seduce customers by mimicking other companies’ logos has entered a new stage of arbitration.
The controversy mostly affects new arrivals at Sofia Airport unfamiliar with the feud between longstanding taxi companies and those who imitate their logos and phone numbers but charge extortionate rates. The matter has now gone to court but remains unresolved.
As The Sofia Echo has previously reported, the "victims" are ripped-off clients and - in most cases - OK Supertrans taxi, a reputable company of many years standing that is one of two firms contracted to service the airport.
Some of the companies who imitate OK Supertrans’ logo are OK Superchance and OK Superlux. In one such case, in April this year, experts from the European Anti-Fraud Office (Olaf) fell victim to unfair competition between different firms.
They took a taxi from the airport to central Sofia and were presented with a bill for 102 leva. The average bill should have been no more than 20 leva. OK Supertrans responded by alerting the Protection of Competition Committee (PCC) while clients chose to complain to the Consumer Protection Committee (CPC). As a consequence the PCC repeatedly imposed fines of hundreds of thousands of leva on the grounds of unfair competition. By contesting the fines in court, however, the "impostor" companies have managed to survive.
All taxi drivers in Bulgaria are entitled to charge any price they choose. Besides having their registration papers in order, they only have to display the tariff prominently on the vehicle. Unfortunately, by imitating other companies’ logos such drivers rely on unsuspecting passengers climbing into their taxis.
By the time the customer realises the scam, the bill is already high and the driver is fully entitled to demand payment. Protests about the logo resembling that of other firms are then a matter for the PCC and the CPC.
After extensive media coverage the issue reached boiling point in mid-October when the two organisations who claim to represent the taxi business held a meeting with the Transport Ministry. On one side was the recently-founded National Federation of Taxi Drivers in Bulgaria (NFTDB). Its chairperson is Yane Yankov, also head of OK Superlux, the firm fined 150 000 leva by the PCC for mimicking OK Supertrans’ logo. On the other side was the National Union of Private Carriers (NUPC), representing some of Sofia’s large taxi firms.
Both organisations asked the Transport Ministry to deal with the issue by changing the law. NFTDB demanded that every municipality should have the right to set one unified price for taxi companies in its region. The Transport Ministry and the NUPC, however, suggested that municipalities should be given the right to impose the maximum fare that cab companies would be allowed to charge. This, according to the ministry, would clamp down on cab drivers preying on unwitting foreigners and absent-minded customers.
Yankov responded with a news conference in which he accused the ministry of supporting the business of NUPC members. He asked for the resignation of the Ministry’s Car Administration Executive Agency head, Lyubomir Hristov and argued that rather than having maximum fares imposed on them, firms should be allowed to charge high prices as long as their cabs are painted in different colours so that clients can distinguish between rivals. The issue is yet to be resolved in Parliament.
Uncles Comment: If you go to Sofia airport, come out of the arrivals area and there is a taxi office for the proper company by the exit, they will take all your details and give you your drivers number and the taxi reg. number which will be waiting outside.
I dont understand why there is no mention of Varna airport where every taxi is a bandit, typically 160lv to Albena !.
The controversy mostly affects new arrivals at Sofia Airport unfamiliar with the feud between longstanding taxi companies and those who imitate their logos and phone numbers but charge extortionate rates. The matter has now gone to court but remains unresolved.
As The Sofia Echo has previously reported, the "victims" are ripped-off clients and - in most cases - OK Supertrans taxi, a reputable company of many years standing that is one of two firms contracted to service the airport.
Some of the companies who imitate OK Supertrans’ logo are OK Superchance and OK Superlux. In one such case, in April this year, experts from the European Anti-Fraud Office (Olaf) fell victim to unfair competition between different firms.
They took a taxi from the airport to central Sofia and were presented with a bill for 102 leva. The average bill should have been no more than 20 leva. OK Supertrans responded by alerting the Protection of Competition Committee (PCC) while clients chose to complain to the Consumer Protection Committee (CPC). As a consequence the PCC repeatedly imposed fines of hundreds of thousands of leva on the grounds of unfair competition. By contesting the fines in court, however, the "impostor" companies have managed to survive.
All taxi drivers in Bulgaria are entitled to charge any price they choose. Besides having their registration papers in order, they only have to display the tariff prominently on the vehicle. Unfortunately, by imitating other companies’ logos such drivers rely on unsuspecting passengers climbing into their taxis.
By the time the customer realises the scam, the bill is already high and the driver is fully entitled to demand payment. Protests about the logo resembling that of other firms are then a matter for the PCC and the CPC.
After extensive media coverage the issue reached boiling point in mid-October when the two organisations who claim to represent the taxi business held a meeting with the Transport Ministry. On one side was the recently-founded National Federation of Taxi Drivers in Bulgaria (NFTDB). Its chairperson is Yane Yankov, also head of OK Superlux, the firm fined 150 000 leva by the PCC for mimicking OK Supertrans’ logo. On the other side was the National Union of Private Carriers (NUPC), representing some of Sofia’s large taxi firms.
Both organisations asked the Transport Ministry to deal with the issue by changing the law. NFTDB demanded that every municipality should have the right to set one unified price for taxi companies in its region. The Transport Ministry and the NUPC, however, suggested that municipalities should be given the right to impose the maximum fare that cab companies would be allowed to charge. This, according to the ministry, would clamp down on cab drivers preying on unwitting foreigners and absent-minded customers.
Yankov responded with a news conference in which he accused the ministry of supporting the business of NUPC members. He asked for the resignation of the Ministry’s Car Administration Executive Agency head, Lyubomir Hristov and argued that rather than having maximum fares imposed on them, firms should be allowed to charge high prices as long as their cabs are painted in different colours so that clients can distinguish between rivals. The issue is yet to be resolved in Parliament.
Uncles Comment: If you go to Sofia airport, come out of the arrivals area and there is a taxi office for the proper company by the exit, they will take all your details and give you your drivers number and the taxi reg. number which will be waiting outside.
I dont understand why there is no mention of Varna airport where every taxi is a bandit, typically 160lv to Albena !.
Lots of good news from Easyjet
Wonderful set of news from Easyjet.From November 2009 there will be flights from Manchester to Sofia three times a week.This is great news for Northerners who are a bit cut off from Bulgaria at the minute facing lots of stupid changes.
From January 2010 an Easyhotel will open in Sofia prices are from 10 Euro's a night.
From January 2010 an Easyhotel will open in Sofia prices are from 10 Euro's a night.
Thursday, 22 October 2009
Sofia property news
Sofia Residential Property Prices Drop by 16% in 2009 3rd Quarter
Properties
The residential property prices in the Bulgarian capital Sofia have dropped by 16% in the third quarter of 2009 compared to the same period of 2008.
This has become clear from the new index of Raiffeisen Real Estate, which uses its own research, and official data from the National Statistical Institute, the National Real Estate Association, and other market sources.
The index, which had reached 177 points in the third quarter of 2008, is now down to 152 points. The residential property prices in Sofia are back to their levels from the end of 2007, and the beginning of 2008.
The Raiffeisen Real Estate index shows that the commercial property (offices, stores, storage space) prices have declined by 26% year-on-year; they reached their peak in the fourth quarter of 2008.
Properties
The residential property prices in the Bulgarian capital Sofia have dropped by 16% in the third quarter of 2009 compared to the same period of 2008.
This has become clear from the new index of Raiffeisen Real Estate, which uses its own research, and official data from the National Statistical Institute, the National Real Estate Association, and other market sources.
The index, which had reached 177 points in the third quarter of 2008, is now down to 152 points. The residential property prices in Sofia are back to their levels from the end of 2007, and the beginning of 2008.
The Raiffeisen Real Estate index shows that the commercial property (offices, stores, storage space) prices have declined by 26% year-on-year; they reached their peak in the fourth quarter of 2008.
Tuesday, 20 October 2009
On the Buses
The Sofia police are on the lookout for a man who fired a gun inside a public transportation bus in Sofia Sunday night.
According to information from the Interior Ministry's press center, a man had entered in an altercation with the driver of bus 76, broke the glass of the driver's cabin with the handle of a gun and fired a shot in the air before leaving the vehicle.
The incident happened around 9:30 pm in the Sofia “Mladost 4” district. Witnesses say the scandal began as the bus was departing from the stop in front of the “Pliska” hotel, on Sofia's main thoroughfare “Tsarigradsko Shosse.” The man, about 35-years of age, got enraged when the driver closed the doors without waiting for all passengers to board the bus. During the entire trip to “Mladost 4,” the man, who witnesses say spoke Russian, and his wife took turns to argue with the driver and yell at him. The man fired the gun before leaving the bus.
A similar incident happened in Sofia in February when shots were fired at a bus in the “Lyulin” district. Four windows on the side of the bus were broken, but there were no injured passengers.
According to information from the Interior Ministry's press center, a man had entered in an altercation with the driver of bus 76, broke the glass of the driver's cabin with the handle of a gun and fired a shot in the air before leaving the vehicle.
The incident happened around 9:30 pm in the Sofia “Mladost 4” district. Witnesses say the scandal began as the bus was departing from the stop in front of the “Pliska” hotel, on Sofia's main thoroughfare “Tsarigradsko Shosse.” The man, about 35-years of age, got enraged when the driver closed the doors without waiting for all passengers to board the bus. During the entire trip to “Mladost 4,” the man, who witnesses say spoke Russian, and his wife took turns to argue with the driver and yell at him. The man fired the gun before leaving the bus.
A similar incident happened in Sofia in February when shots were fired at a bus in the “Lyulin” district. Four windows on the side of the bus were broken, but there were no injured passengers.
Varna airport news
Just had a cursory check on Varna airports website.Interestingly there are now regular flights to both Moscow and Istanbul throughout the winter.Encouraging signs !.
Weather update
Weird weather has arrived in Bulgaria.We have had days of wet, cold 'Vremeto' and now it's going to be 20c and sunny, even hotter down Plovdiv way.October is always odd climate wise, and obviuosly 2009 is no exception.
The foreecast for the rest of the week is the same.
The foreecast for the rest of the week is the same.
Friday, 16 October 2009
I told you so
FINANCE MINISTER: BULGARIA'S ENERGY POLICY HAS SERVED RUSSIA
Bulgaria's energy policy has so far followed the "anything Russia wants" principle, Finance Minister Simeon Djankov said.
During a meeting with local businessmen in the southern city of Smolyan Thursday night, Djankov pointed out Bulgaria’s energy policy under the previous government had been guided by a small group of party functionaries connected with pro-Russian interests.
The Finance Minister believes the idea to build the Belene Nuclear Power Plant has been launched without any economic analysis. In his words, a thorough analysis would show Bulgaria does not need the Belene plant.
“Even if this project is economically sound, it is unclear how it will be funded especially during the present crisis. The idea to construct such an enormous facility in order to export electricity is not serious. Even if it is built, there is not enough demand for electricity, especially abroad,” Djankov said as quoted by BTA.
“In my view, the Belene idea has been connected with attempts to steal as much money as possible while claiming that this project is under way,” said Djankov.
He also stated that if someone wanted to build the Belene NPP, the Bulgarian government would regulate the process but it would not participate with any guarantees as the previous government intended to do.
Property purchase tax up
It has been announced that state property putchase tax will rise from 2.5 to 3%, this will bring total cost of buying to 6.5% of the price on the Notary Act.The increase is optional for the Local Authorities some of whom are concerned that the increase may lead to attempts at fraud to keep the bills down.
Thursday, 15 October 2009
Footie News
Having put on a truly shambolic display in losing 4-1 to Cyprus (only the Greek bit) in Larnaca, the Bulgarian national side have demolished Georgia 6-2 !.Am I alone in finding this rather iffy ?.All the goals bar one were scored in the first half...as a Bulgarian said to me 'someone paid for that'
'Red' Diesel comes to BG
To my astonishment the government has only just realised that there could be an illegal market in cheaper agricultural diesel and propose to 'colour' it. This has been standard in the UK for years.Still I suppose it's progress !.
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